PERTH (miningweekly.com) – The Saint Elmo vanadium project, in Queensland, has been granted major project status by the federal government.

The project is expected to initially produce some 10 000 t/y of vanadium pentoxide, but project owner Multicom Resources has said that subject to market conditions, the project could be expanded.

The opencut operation is expected to create more than 200 jobs during construction, and would employ a workforce of more than 150 during operations, with construction slated to start next year, followed by first production in 2021.

Major project status provides companies with extra support from the Major Projects Facilitation Agency, including a single entry point for Commonwealth government approvals, project support and coordination, and help with state and territory approvals.

Minister for Industry, Science and Technology Karen Andrews said the government is committed to backing projects that will boost local jobs and create opportunities for regional businesses.

“Not only do projects like this hold enormous economic potential for local communities, they also generate millions of dollars for the Australian economy,” Andrews said.

“Granting major project status demonstrates the government’s support for companies with nation-building plans, especially in areas which are of significant value to overseas markets.”

Minister for Resources and Northern Australia Matt Canavan said there is increasing global demand for rare earths and valuable resources like vanadium, which are on the critical minerals list in Australia and the US.

“Australia is cementing its place as a powerhouse for critical minerals and rare earth production now and into the future,” Canavan said.

“My recent trip to the US focused heavily on strengthening US-Australia ties on critical minerals, and this project will be one of many that will benefit from the opportunities provided by this collaboration.

“Granting major project status to Saint Elmo is evidence of this government’s support to this vitally important sector which has everyday applications in electric vehicles, renewable energy and smart phones.”

Multicom executive director Nathan Cammerman welcomed the major project status award, saying the designation sent a clear signal to international partners that the Australian government is committed to enabling critical minerals projects.

“Support with the final project construction and development approvals required for the project will also help towards significant employment and economic outcomes for the Julia Creek and broader North Queensland region,” Cammerman said.

The Queensland Resources Council has also welcomed the designation, with CEO Ian Macfarlane saying it was an important next step to create new mining jobs in North Queensland.

“Queensland has a leading role to play in the development of the critical minerals industry.

“These new critical minerals projects will deliver new jobs in regional Queensland, and will play a strategic role for Australia in terms of defence industries, manufacturing, trade and regional development.

“Vanadium is just one of the critical minerals the Queensland resources industry can mine and process.”