Idemitsu Australia, through its subsidiary Idemitsu Debella, has increased its stake in Vecco Group to 51 per cent, committing over $75 million to the company’s integrated critical minerals and vanadium electrolyte project.
Recently declared a coordinated project by the Queensland Coordinator-General, the $798 million Vecco critical minerals project will establish an operation to mine and refine high-purity vanadium in Julia Creek, north-west Queensland.
The refined vanadium will then be transported to Vecco’s vanadium electrolyte manufacturing facility in Townsville.
Construction is set to begin in 2026, with operations expected to commence in late 2027. The project is expected to create nearly 600 jobs in the region.
Idemitsu Australia chief executive officer Steve Kovac highlighted how the investment aligns with the company’s focus on renewable energy storage and critical minerals.
“We are delighted to extend our strategic partnership with Vecco Group and support a significant project that has potential to deliver large-scale, long-duration energy storage solutions, while creating new jobs and industries here in Queensland,” Kovac said.
“Fundamental to the energy transition and one of the most strategically important critical minerals due to its applications in energy storage, steelmaking, and clean energy technologies, vanadium will catalyse the world’s development of sustainable energy technologies.”
Vecco Group managing director Thomas Northcott welcomed Idemitsu’s investment, calling it a boon for Queensland’s critical minerals and battery industry.
“We are proud to deliver Vecco’s critical minerals project and commercial-scale vanadium electrolyte manufacturing plant, establishing an end-to-end vanadium battery supply chain from mining to energy storage,” Northcott said.
“With the support of our partners, Vecco is uniquely positioned to integrate mining and manufacturing, leveraging our expertise in critical minerals to strengthen the downstream supply chain in Queensland.
“The transformative Vecco critical minerals project will create hundreds of regional jobs and positions the nation as a leader in meeting the world’s rapidly growing energy storage demands.”
The Vecco critical minerals project will extract vanadium, high-purity alumina, and molybdenum over its 28-year lifespan, producing key components for grid-scale energy storage and battery technology.
A comprehensive environmental impact statement is underway to assess the project’s impact on local communities.
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