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Premier Annastacia Palaszczuk has welcomed the announcement by industrial manufacturer Incitec Pivot that it has secured arrangements for the continued operation of its chemical plant near the Port of Brisbane and the jobs of the 400 workers at the plant, thanks to the Queensland Government’s domestic gas policy.  

The three-year gas supply agreement will support an investment of over $100m by Incitec Pivot in major plant maintenance over the next three years.

The Premier was welcomed to the Gibson Island plant today by Incitec Pivot workers and Managing Director & CEO Jeanne Johns.

“For years, Queensland has been the state doing the heavy lifting when it comes to gas supply for Eastern Australia,” the Premier said.

“Domestic gas supply is vital for electricity supply, for energy for industrial customers and as a feedstock for companies like Incitec Pivot.

“Whether its Incitec Pivot here in Brisbane, Sun Metals near Townsville, or Rheinmetall’s soon to be completed Military Vehicle Centre of Excellence near Ipswich, Queensland is cementing its place as Australia’s new home of industrial manufacturing.

“We have the resources, we have the ports, we have the gas and we have the willingness to work with industry to find innovative solutions for their businesses.”

Minister for Natural Resources, Mines and Energy, Dr Anthony Lynham said Queensland’s move to allocate gas tenements exclusively for manufacturing was an important extension of the Palaszczuk Government’s domestic-market-only gas policy.

“We know that all businesses crave certainty when it comes to planning for future investment,” Dr Lynham said.

“Incitec Pivot’s three-year deal with APLNG provides them with that certainty to plan for the future.

“APLNG’s joint venture partner Armour Energy is one of four companies to be awarded domestic-use only tenders since September 2018.

“This year we’ve also seen Senex reach agreement with CSR to supply gas for its brick, plasterboard and insulation businesses in south-east Queensland.

“Senex is also exploring for more ‘domestic use only’ gas on a 153 square kilometre site near Miles.”

Incitec Pivot Managing Director and CEO Jeanne Johns said securing this gas supply agreement and other commercial arrangements provides a future for workers at Gibson Island, as well as supporting Incitec Pivot’s customers, suppliers and shareholders.

“We are grateful for the support of the Queensland Government, particularly Premier AnnastaciaPalaszczuk and her Government’s domestic-only gas policy initiative to support local manufacturing businesses and jobs,” Ms Johns said.

“We also acknowledge the efforts of Minister Anthony Lynham and Minister Cameron Dick and their respective departments, for their valuable assistance in our endeavours on behalf of Gibson Island,” Ms Johns said.

“The new supply agreement demonstrates the benefits of the Queensland Government’s domestic only gas policy initiative in supporting local manufacturing businesses and jobs in Queensland,” Ms Johns said.

Incitec Pivot’s Gibson Island plant uses gas as a feedstock to produce industrial chemicals and fertilisers, distributing to more than 4,000 cotton, sugarcane and sorghum farmers in Queensland and northern New South Wales.

SOURCE: http://statements.qld.gov.au/Statement/2019/6/4/industrial-jobs-and-106-million-investment-secured-at-incitec-pivot