Image source: GrenofInvestment in landmark Gladstone facility to secure domestic supply of essential chemicals.
QIC is partnering with sustainable chemical technology leader Grenof to deliver Project Halogen, a groundbreaking chlor-alkali production facility in Gladstone set to reshape the nation’s industrial landscape.
Addressing a long-standing opportunity to enhance Australia's supply chain resilience, the project will establish a second, independent source of chlorine and produce caustic soda locally.
In doing so, Project Halogen will create a more competitive and reliable market, benefiting critical sectors from water treatment to mineral processing and battery manufacturing.
QIC’s Critical Minerals and Battery Technology Fund (QCMBTF) has committed up to $30 million to support the project, including an initial $5 million to progress a Final Investment Decision with an option to follow-on with up to $25 million in additional equity at the construction stage.
QIC Senior Investment Director Jonathan Crombie said the investment recognises Project Halogen’s strong sovereign capability outcomes and strategic relevance to Queensland’s industrial base.
"Domestic capacity provides supply security and price stability, which is why Project Halogen is a step-change in Queensland's industrial resilience."
Jonathan Crombie - Senior Investment Director
“Australia currently imports more than three billion litres of caustic soda every year. Reducing this reliance not only mitigates supply chain vulnerabilities in areas like water security, mineral beneficiation and downstream manufacturing, but it also introduces much-needed competition to the market.
“This kind of localised production is a cornerstone of the sustainable industrial ecosystem Gladstone - one of Australia’s largest caustic soda user hubs - has been working to build for years.
“With a distinct co-location of energy infrastructure, port logistics and major industrial consumers, Gladstone is the natural location for a chlor-alkali facility of this scale, and QIC is proud to help catalyse its delivery.”
Grenof Managing Director Scott Barnes said the project marked a pivotal moment for Australian industry.
“It’s an investment in national resilience and our capacity for a more self-reliant economic future," Mr Barnes said.
"By producing these vital chemicals on our own shores, we are building a secure supply chain for our most important industries and changing the landscape for the better. For our partners in Gladstone, this means a secure, localised supply that strengthens the entire region's industrial ecosystem.
"We are incredibly excited to have a partner of QIC's calibre on board. Their investment is a powerful vote of confidence, not only in the strength of Project Halogen, but in Grenof's long-term vision. This partnership is crucial as we work together to shape a more resilient and self-sufficient industrial future for Australia."
Supporting the transition to a more sustainable industrial base, the project will utilise energy-efficient technology that consumes 25 per cent less electricity than current Australian plants and will be free of harmful materials like mercury and asbestos.
Located within the Gladstone Development Area, Project Halogen is planned to produce up to 160,000 tonnes of chemicals annually once complete in 2028, creating more than 100 jobs for the region.
The QCMBTF investment sees the Fund join Grenof as a 50 per cent shareholder on Project Halogen.
QCMBTF is a $150 million Queensland Government initiative managed by QIC, with earlier capital investments including Alpha HPA’s sapphire glass project in Gladstone, the Vecco Critical Minerals Project and Ark Mines’ flagship Sandy Mitchell Rare Earths Project.
For more information on QCMBTF, visit Queensland Critical Minerals and Battery Technology Fund.
For more information on Project Halogen, visit grenof.com/halogen.
QIC is a trusted Australian investment manager and sovereign investor, delivering with discipline across a global portfolio of alternative and liquid assets. We manage more than A$131 billion on behalf of around 120 institutional and government clients, providing specialist expertise across infrastructure, real estate, private equity, private debt, and fixed income and multi-asset solutions.
An Australian leader in clean chemical technology since 2014, Grenof provides sustainable solutions with a core focus on supply reliability and safety. The company's proprietary products, Hub and Spoke model and commitment to energy-efficient production underscore its dedication to solving Australia's critical infrastructure challenges.