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General News

10 September, 2024

Katter's Mount Isa Mines bill rejected by state committee

The report found the Katter bill lacked adequate detail of key legal definitions.

By Troy Rowling

Robbie Katter's use-it-or-lose it bill for the Mount Isa Mines lease is up in flames.
Robbie Katter's use-it-or-lose it bill for the Mount Isa Mines lease is up in flames.

Robbie Katter’s proposed amendments to the Mount Isa Mines Act have been rejected by a state parliamentary committee inquiry in what the KAP leader has labelled a “politically motivated decision”.

Mr Katter has accused the committee, which consisted of three Labor and three LNP state members, of conspiring to undermine the KAP on the eve of the state election.

The committee’s recommendation to not allow legislative passage of the proposed Katter amendments, which sought to give the resources minister the power to open the Mount Isa Mines lease to third party tenders, removes the final hurdle to Glencore’s planned closure of its Mount Isa Copper Operations (MICO) in July next year.

The committee concluded in its report that state government-imposed continuation of operations could threaten sovereign risk in the wider mining sector and any ministerial intervention into operational activities could lead to legal challenges.

The report found the Katter bill lacked adequate detail of key legal definitions, especially in its explanatory notes.

The committee also accepted Glencore’s view that dividing the existing lease between two companies would create “unworkable” logistical issues.

Mr Katter defended the bill, claiming any “vagaries” in the proposed amendments were designed to provide the minister with a broad oversight role to “do his job properly.”

He rejected the committee’s findings that Glencore was already providing adequate evidence to the state government to prove the mine was no longer commercially viable.

“(Minister for Resources) Scott Stewart has conveniently removed himself from all responsibility for this travesty and the devastation it is reeking on our local economy,” Mr Katter told North West Weekly.

“We have a government so it will step in and ensure our resources are utilised for the best benefit of the people. In this case I think there is a pretty good case that it is not happening.

“If there is no argument for viability of that mine then Glencore, Labor and LNP have nothing to worry about because there would be no disruption because there would be no intervention by a third party into the mine.

“As good as my word is, there is definitely strong interest in that mine from some major mining companies both in the region and outside the region. If this had not been a KAP bill then it might have stood a chance.”

The report singled out the $50 million Mount Isa Transition Fund, of which $20 million is yet to be announced, and the CopperString project, as apparent efforts to provide some economic benefit to the city following the MICO closures.

Glencore was approached for comment.

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