Qld government dumps plan to turn gold mine into pumped hydro

Mt Rawdon pumped hydro project shelved by Qld government Mon 29 Jun 2026 at 7:23am In short: The Queensland government will not progress a project that would turn a gold mine into a renewable electricity project. The Mt Rawdon pumped hydro project was part of the government's Energy Roadmap. What's next? Mine operator Evolution Mining will seek interest from private investors and assess the site's ongoing viability as a mine. The rehabilitation of a gold mine into a renewable project that could power up to 2 million homes will not be progressed by the Queensland government. The Mt Rawdon pumped hydro project at Mt Perry, 75 kilometres south-west of Bundaberg, was flagged under the government's Energy Roadmap, with $50 million allocated in last year's budget towards acquisition of the project. Mine operator Evolution Mining chairman Jake Klein said the Queensland Investment Corporation (QIC) did an extensive review over the past six months. "Unfortunately, with the release of the budget, we were advised the Mount Rawdon project is not a priority project for the Queensland government, and they have priorities investing in Borumba as a pumped hydro project," Mr Klein said. "We were a little surprised, and certainly disappointed." Millions for Borumba Queensland Hydro will invest $324.3 million this financial year into early works of the Borumba Pumped Hydro Energy Storage, in what is expected to be an $18.4 billion project. The 2,000-megawatt Borumba facility was a signature part of the former Labor state government's plan to power 2 million homes with renewable energy. A total of seven dams would be required for the project on the Mary River system, including an upper reservoir 1.5 times the size of the existing Borumba Dam. In comparison, the 2,000-megawatt Mt Rawdon project would require a $6 billion investment in an already-established environmental footprint, 27km from the energy grid. The project would use the mine's steep topography to move water between two dams at the top and bottom of a hill, generating a lot of power over a short distance. The budget also said following the first stage of a review of hydro projects by the Queensland Investment Corporation, investigations would progress into the 750-megawatt Capricornia pumped hydro project near Mackay. A spokesperson for the QIC said it was tasked with undertaking a full assessment of delivery options for the proposed Mt Rawdon, Big-T (north of Toowoomba), Capricornia and Borumba hydro projects for consideration this year. "Following extensive consultation, QIC has completed its assessment and is currently in the process of debriefing proponents. Assessment findings are confidential," they said. Mine's future uncertain Mr Klein said Evolution Mining was now assessing its options for what would come next. "We are assessing whether there are private capital opportunities for progressing that," he said. "As an alternative, we are still processing very low-grade stockpiles at the site, which is due to finish in September as planned, and then we will assess its options, if any, as to the future of the project as a gold mine."