CuString bid sparks Chinova’s interest

MINING group Chinova Resources has backed plans to revive the CuString transmission line project as a catalyst for powering the North West Minerals Province.

The project, which would connect Cloncurry and Mount Isa into the east coast electricity grid, was scuttled in 2010 but revived when proponents CuString Pty Ltd met this month with the Australian Energy Market Operator and potential North West industrial users IncitecPivot, Glencore, MMG and Chinova Resources in Townsville.

Glencore has given in- principle support while Chinova says there are good reasons the project should be advanced.

These include lowering capital and operational costs and opening the potential for solar projects in western Queensland to supply power back to the east coast during its evening peak demand period.

Chinova senior manager mining technology Phil Jay said the need for mining com- panies to build their own plants and transmission lines had long been a hurdle for projects to proceed.

Chinova is looking at a $ 40 million cost to upgrade its Osborne gas- fired plant and develop a 55km transmission line to supply the Mount Dore copper project.

“Infrastructure is always a big hurdle for all the players in North West Queensland,” Mr Jay said. “We have to provide a lot of additional infrastructure than just developing a processing plant and mine.

“We see the CuString project as a great strategic initiat- ive. It would lower start- up costs and operational costs and there are a lot of incidental benefits which would provide opportunities for people in North West Queensland.”

CuString founder John O’Brien said the enthusiasm for the project highlighted the interdependence of the region’s industrial players and the need to improve supply.

Mr O’Brien said the project would provide electricity materially cheaper than existing gas- fired plants.

Talks with the Northern Australia Infrastructure Facility for debt funding have begun.

“I believe AEMO has a much stronger appreciation of the uniqueness and economic significance of the NWMP and appreciates their role in facilitating CuString to integrate this region into the NEM ( National Electricity Market),” Mr O’Brien said.

“We have agreed a range of activities to progress our collaboration, including ongoing liaison with key stakeholders, including the State and Federal government and relevant agencies such as NAIF.”

The company hopes to commission an interconnector in 2021- 22.