Fortescue, Queensland gov reach truce over scrapped electrolyser facility dispute
The State of Queensland, Minister for Economic Development Queensland and iron-ore major Fortescue have reached a confidential settlement to resolve their dispute over the former state government’s public funding contributions to Fortescue’s scrapped green hydrogen electrolyser manufacturing facility in Gladstone.
The deal effectively ends court proceedings and transfers project land and infrastructure to the state.
While the terms of settlement are confidential, the settlement ensures that value from the state’s $66-million investment has been retained in Queensland for Queensland taxpayers, including through the transfer of the project land, electrical substation and associated common-user infrastructure, together with other agreed arrangements.
This settlement recognises the assets and infrastructure remaining in Queensland and allows both parties to move forward.
Fortescue shut down testing and development at the site in May 2025, following which the state government took legal action to claw back the $66-million public funds contribution it made.
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