Glencore has confirmed that its Mount Isa copper mine in north-west Queensland will cease production at the end of July 2025, marking the end of over 100 years of continuous operation. The closure, initially announced in October 2023, is attributed to low ore grades and aging infrastructure that render the mine no longer economically viable. Final ore extraction is scheduled for July 29 or 30. Glencore’s studies revealed the remaining mineral resources are not viable for safe and profitable extraction.
The closure will directly impact approximately 500 workers, a reduction from the initial estimate of 1,200 jobs. Glencore has redeployed 170 employees to other operations within the company, while others have opted for retirement or resignation. The Queensland government and Glencore have pledged up to AUD 20 million each for an economic adjustment package to support affected workers and help diversify Mount Isa’s economy. Efforts are underway to transition the region towards critical minerals exploration and development.
Mount Isa Mines, established in 1924, has been a cornerstone of Australia’s copper production and regional development. At its peak, the mine supported roughly one-third of Mount Isa’s workforce and contributed significantly to the local economy. However, global competition from heavily subsidized smelters in Asia and Africa has increasingly challenged Australia’s copper processing industry. Glencore is seeking government support to maintain operations at its Mount Isa smelter and Townsville refinery, which are vital for national security as they process both domestic and imported copper.
The closure also raises questions about Australia’s role in meeting growing global demand for copper, a critical metal for renewable energy technologies and electric vehicles. Prime Minister Anthony Albanese has highlighted opportunities in rare earth metals and other critical minerals as potential avenues for economic revitalization in north-west Queensland. Rare earth exploration could play a key role in filling the economic gap left by Mount Isa’s closure.
