Queensland is backing critical minerals while coal continues to generate billions in revenue, with the 2026–27 State Budget delivering new funding aimed at growing the state’s next generation of mining projects.
Coal remains a major contributor to Queensland’s finances, even as the state ramps up investment in critical minerals. Budget papers forecast coal royalties will rise to $6.9 billion in 2026–27.
“This Budget sends a clear signal Queensland is open for business and serious about growing the industries that underpin our economy,” Queensland Minister for Natural Resources and Mines Dale Last said.
“We are backing the resources sector with targeted investment to fast-track exploration, support critical minerals development and give proponents the confidence to invest and get projects moving,” Last said.
Association of Mining and Exploration Companies (AMEC) chief executive officer Warren Pearce said the Budget highlighted the role mining plays in the state’s economy.
“We know how important our industry is to the Queensland economy. It continues to make an enormous contribution to the State Budget,” Association of Mining and Exploration Companies (AMEC) chief executive officer Warren Pearce said.
“Those returns do not happen by accident. They are the result of investment, exploration, development, approvals and infrastructure working together.”
An extra $100 million is being poured into the Queensland Critical Minerals Fund to help attract investment into new projects, while another $46.1 million over three years will support the extraction, processing and export of critical minerals, particularly in the North West Minerals Province and surrounding regions.
“The injection of $146 million critical minerals investment is a boost for industry,” Pearce said.
“It is aimed at accelerating the extraction, processing and export of high-quality critical minerals to a global market.”
Queensland is also looking to unlock value from the past, committing $6.4 million over two years to investigate how valuable minerals can be recovered from former mine sites and historic tailings.
The Budget has also turned the spotlight to Queensland’s Financial Provisioning Scheme (FPS), with a fresh review set to examine how the system supports mine rehabilitation and whether it is keeping pace with the needs of the exploration sector.
“The Financial Provisioning Scheme must work for all parts of the industry, not just the largest operators,” Pearce said.
“Junior and mid-tier companies are often the ones taking the early risk in developing new mineral projects which in-turn creates opportunities in regional Queensland.”
The Queensland Resources Council also welcomed continued support for CopperString, which received a record $3.2 billion commitment ahead of the budget.
Designed to connect Mount Isa and the North West Minerals Province to the national electricity grid via Townsville, the project is expected to support existing mining operations while helping unlock future critical minerals developments across the region.
Read more: Queensland ‘back in business’ with critical projects fast-tracked
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