Photo by: Bloomberg
PERTH (miningweekly.com) – The federal government has granted Major Project status to ASX-listed Cobalt Blue for its A$560-million Broken Hill project, in New South Wales.
The project will produce 16 700 t/y of high purity cobalt sulphate, which will be used in the manufacture of lithium-ion batteries. This production will build downstream processing capacity enabling the product to be fed into the global market’s growing demand for battery products.
The project will also produce 300 000 t/y of elemental sulphur, which will reduce Australia’s dependence on imports for fertiliser production.
The project is expected to deliver 450 jobs during its two-year construction phase and 410 jobs each year during 17 years of full production.
Minister for Industry, Energy and Emissions Reduction Angus Taylor said the project would help further cement Australia’s reputation as a critical minerals powerhouse.
“The Broken Hill cobalt project’s pilot plant has already produced samples for shipping to battery precursor manufacturers across the country and the world – and now we’re helping to supercharge its potential.
“This mine will not only help the surrounding regional communities in and around Broken Hill, it will also help power the growing battery industry and reduce emissions.”
Minister for Resources and Water Keith Pitt said the project demonstrated the incredible potential of Australia’s critical minerals to boost Australia's reputation as a leading and reliable supplier of the resources the world needs.
“Once operational, the Broken Hill cobalt project will further open up new opportunities for Australian resources exports, especially given the incredible demand for high-quality cobalt,” Pitt said.
“We have tremendous rich reserves of cobalt and projects such as this one will allow us to take full advantage of them.”
Cobalt Blue CEO Joe Kaderavek said that the granting of Major Project status to the Broken Hill project would greatly assist the company to raise development capital.
“This milestone is critically important for overseas partners and well-timed in our development journey. Cobalt Blue can now boast both Made in Australia and Backed by Australia.”
Major Project status is the Australian government’s formal recognition of a project’s national significance to Australia. The initiative is administered by the Major Projects Facilitation Agency, which provides facilitation services to major projects seeking assistance to navigate the Australian government regulatory approvals pathway.