The Queensland Government has confirmed a new four-year subsidy for the Mount Isa Line, supporting industry, strengthening freight corridors and providing certainty for businesses across Northern Queensland.
All users of the Mount Isa Line will receive a 10 per cent subsidy on below-rail access charges for the next four years, enabling companies to plan, invest and grow with confidence. The corridor is a strategic link connecting one of Australia’s richest mineral provinces to the Port of Townsville, keeping exports moving efficiently and supporting the Queensland economy.
By lowering rail transport costs, the subsidy reinforces the Mount Isa Line as a critical freight corridor. For example, a phosphate customer moving 0.5 million tonnes per year between Cloncurry and Townsville could save $2.80 per tonne — roughly $1.4 million annually, or $5.6 million over four years.
The announcement precedes the Government’s bid for United States’ Critical Minerals funding, including a $300 million investment package for Queensland infrastructure projects, such as upgrades to the Mount Isa Rail Line.
Minister for Transport and Main Roads Brent Mickelberg said the subsidy delivers practical support to industries that underpin jobs and regional communities.
“By lowering rail transport costs, we’re making rail a more competitive option for industry, improving freight corridors and supporting growth across the North West Minerals Province,” Mickelberg said.
He added the subsidy encourages a shift from road to rail, improving safety on Queensland’s roads and strengthening long-term freight resilience.
Minister for Natural Resources and Mines Dale Last said the investment demonstrates the Government’s commitment to unlocking the full potential of North-West Queensland.
“The Mount Isa Line is the backbone of the North West economy, moving mineral concentrates, processed metals, fertilisers, phosphate rock and acid to export markets,” Last said.
The subsidy complements capital investment into Glencore’s copper processing facilities in Mount Isa and Townsville, and supports projects such as Graphinex’s Esmeralda Graphite Project near Croydon.
“This is a targeted investment that backs the Queenslanders who rely on a strong resources sector and sends a clear message that Queensland is open for business,” Last said.
