GLENCORE will close its final two copper mines in Queensland’s Mt Isa next week, ending more than 60 years of upstream operations after deeming them unviable due to deteriorating ore quality, said Bloomberg News on Wednesday.
The mining giant announced the shutdowns in October 2023 following a comprehensive review. However, the fate of an associated smelter and Townsville refinery remains uncertain, with Glencore seeking government support to maintain these facilities.
The company is lobbying state and federal authorities for financial assistance to preserve the smelter, which processes third-party concentrate, and the coastal refinery producing finished copper products. A decision is expected by September’s end.
Queensland’s Natural Resources Minister Dale Last confirmed a “genuine offer” had been made but warned against providing unlimited support to a company that recently distributed $2.2bn in shareholder returns. Federal backing is also required, he added.
The Mt Isa smelter currently processes over one million tonnes of concentrate annually from Australian miners, including material from BHP’s Olympic Dam operation in South Australia, said Bloomberg News.
Troy Wilson, Glencore’s Australian metals chief, blamed Chinese competition and subsidies for creating an uneven playing field, forcing Western smelters to consider closure despite positive copper market sentiment.
Separately, Glencore announced the sale of its Lady Loretta zinc mine to Austral Resources Australia on Tuesday.
Glencore’s half-year results are due on August 6.
