A warm 'Buenas!' to you and welcome to the Queensland Economic Buzz. This edition brings a unique South American flavour.
In September I had the privilege and pleasure of travelling with the Minister for State Development and eight Queensland business people on a nine day trade mission to Peru and the United States. This trip was an invaluable opportunity to put Queensland companies front and centre in a bid to win valuable business and further contracts.
On 23 September our group visited Perumin 2015, one of the most important mining conventions in the world, and toured Extemin the mining technological exhibition showcasing mining innovations from around the globe to 100,000 national and foreign visitors. This year, exhibitors included Queensland companies Ausenco, Austin Engineering, Deswik, Global Road Technology Australia and PMR Global.
Like Queensland, the resources sector is the backbone of the Latin America's economy, and Peru and South America are going through a similar period of growth in their resources industry.
Partnerships like these are helping to grow and expand our mining engineering, technology and services (METS) sector. Queensland has more than 400 operating METS companies, many of them in regional hubs servicing mining clusters. More than half of those companies are currently exporting to South America, and one in five has an office or does business in Peru.
Importantly, they work with world-renowned resource-focused research and development institutions and universities. Our advanced expertise can be taken to the world, through events such as Perumin 2015, and will ultimately help our companies grow and employ more staff.
We, as a department, will become more active in the METS space to leverage industry experience gained throughout the mining boom and have commenced negotiations with the Commonwealth in respect to establishing a new METS Growth Sector in Queensland. It is an exciting opportunity and a demonstration of our department's emerging role in driving the growth of high potential industries in Queensland.
Travelling through the US on the way back, we attended many business functions and meetings in Houston, Texas. During the establishment of Queensland's gas sector we learnt much from our US colleagues and our recent meetings were instrumental in strengthening those close ties and exploring the next wave of opportunities.
We also met with company representatives from US giant Lockheed Martin, to identify upcoming opportunities for Queensland companies in the production of F-35A Joint Strike Fighters. Lockheed is already using Queensland companies, Ferra Engineering, Heat Treatment Australia, Micreo and TAE as part of their global supply chain. The Department of State Development's Defence Industries Queensland unit will now brief and prepare Queensland companies for the next round of strike fighter contracts due later this year, and again in 2016.
It's great to be back and I look forward to continuing our work of growing Queensland's economy.
Photos (top to bottom): Dr Anthony Lynham, Minister for State Development and Minister for Natural Resources and Mines speaking at Perumin 2015; and out in the field - Director, Elizabeth Dickens in Peru;
The department's delivery of new and upgraded sporting infrastructure for the Gold Coast 2018 Commonwealth Games™ (GC2018) is progressing well with construction underway on three new venues at Coomera, Carrara and Chandler.
Construction of the $40 million Coomera Indoor Sports Centre project commenced earlier in the year and is on schedule for completion in mid-2016, more than 18 months before hosting the gymnastics competition and netball finals for GC2018.
All Type Welding is just one of the many local businesses benefiting from construction of the new and upgraded venues which is set to create 1000 full time equivalent jobs during design and construction. All Type Welding is fabricating and installing the 600 tonne steel superstructure which at more than 20 metres high is double the height of most other indoor sports venues.
View the video for a close up look at what's involved in constructing a steel structure of this size.
The Coomera Indoor Sports Centre will feature eight mixed-use indoor sports courts and a gymnastics arena to provide much needed sport and community infrastructure for one of the Gold Coast's fastest growing regions.
Find out more about the GC2018 venue projects including the latest design and construction photos.
Photos: Concept images of Coomera Indoor Sports Centre.
They may not have got the result they wanted at the NRL Grand Final, but the Brisbane Broncos are about to receive a boost. The Queensland Government has agreed to lease a portion of land at the former Ithaca TAFE site at Red Hill that is no longer required for service delivery.
The site will be transformed into a three-storey Training, Administration and Community Facility that includes:
The community will be able to access part of the training facility when not in use by the Broncos and benefit over a 40-year term through a range of community programs. The Broncos will invest in programs such as the 'Beyond Broncos' Indigenous mentoring program, game development across the state - reaching 50,000 participants, and alliances with 'Deadly Choices' - a health campaign aimed at Aboriginal and Torres Strait Islander peoples.
The community benefits will be preserved for the full term of lease by the Broncos and will be reviewed and regularly updated.
The Broncos have also committed to undertaking significant rehabilitation to the bed and banks of Ithaca Creek and the construction of a new park as part of this development.
September brought two exciting announcements in this space. Firstly, ASF Consortium appointed local architectural firm Cox Rayner to lead the design and ensure local context in the development of the Gold Coast Integrated Resort masterplan.
ASF Local Project Director, Tim Poole, said the engagement of Cox Rayner is an assurance to the local community that the unique values and culture of the Gold Coast will be central in the creation of an internationally recognised destination. The firm is behind some of the Gold Coast's best-known buildings and places, including Gold Coast Aquatic Centre, Ferry Road Markets, Griffith University Health Centre and Sanctuary Cove Building 56.
Cox Raynor is the first of several engagements required to support a detailed proposal to the department to deliver a world-class tourism precinct on a five-hectare site between Sea World and the Fisherman's Cooperative at Main Beach.
The Gold Coast Integrated Resort masterplan will form part of the ASF Consortium's response to the department's Request For Detailed Proposal scheduled for lodgement in early 2016.
The resort will include world-class entertainment, gaming, performing and visual arts, retail, hotel, unique leisure, cultural, residential and outdoor pursuits.
Secondly, the team behind the Aquis Great Barrier Reef Resort project in Cairns signed a Process Deed to re-enter the Integrated Resort Development (IRD) Process.
The IRD process is a rigorous way to protect the community's interests and also evaluate Aquis' credentials and financial capacity. The government will issue Aquis with a Request For Detailed Proposal (RFDP) document in the near future.
Probity processes will also commence shortly alongside the RFDP process and Aquis will need to provide information to the regulator as required under the Casino Control Act. The Queensland Government hopes to receive the Detailed Development Proposal in 2016.
Investor Tony Fung said Aquis was looking forward to working with the government to deliver the project. The proposed $8 billion Aquis development is planned to start with an initial $3.5 billion stage and once the resort is fully operational it could create up to 16,000 jobs.
On 26 October 2015 the final Environmental Impact Statement (EIS) for the Abbot Point Growth Gateway Project was submitted to the Commonwealth Government.
This is a significant milestone for the project, as it concludes the department's preparation of the EIS and allows the Commonwealth Government to consider the supplied information and make a decision on whether the project should go ahead.
The final EIS includes responses to approximately 55,000 submissions received during the consultation phase undertaken in August and September. This phase of the project saw the team consulting with key stakeholder groups in Brisbane and North Queensland, including conservation groups, tourism groups, commercial fishers, business and economic development groups, the Juru People and the Bowen community.
The Abbot Point Growth Gateway Project was progressed by the department on behalf of Galilee Basin developer Adani which is meeting the costs of the approvals process. The port's expansion is a vital link to opening up the Galilee Basin and exporting these products to international markets.
The Queensland Government is advancing the port master planning process for the Port of Gladstone.
Port master planning for the state's major, long established bulk commodity ports - the priority ports of Gladstone, Abbot Point, Townsville and Hay Point/Mackay, is in line with the joint Australian and Queensland governments' Reef 2050 Long-Term Sustainability Plan.
Master planning will set a clear pathway for growth now and well into the future for priority ports, to deliver sustainable regional development and protect the reef. Master planning for priority ports will be mandatory under the Sustainable Ports Development Bill 2015, if passed. Read more about the Bill.
As an early step of the process, a proposed boundary for the Gladstone port master planned area was released for public comment in June and July 2015.
Submissions have informed a review of the proposed boundary for the Gladstone Port master planned area. View the amended boundary map and a report on the consultation.
Currently, a study is underway examining the economic, environmental, cultural heritage and community aspects of the reviewed proposed boundary area. This study will form an evidence base for Gladstone port master planning and is being developed in consultation with Gladstone Ports Corporation, state agencies, local council and local industry, environmental and community groups.
Draft port master planning documentation will be developed and released for public comment in 2016.
The port master planning process for Abbot Point is planned to commence later this year, and early next year for Townsville and Hay Point/Mackay.
Find out more at www.statedevelopment.qld.gov.au/sustainableports
Photo: LNG ship Seri Bakti arrives at the Santos GLNG site, Port of Gladstone, September 2015
Queensland companies are in line for work as part of major maritime defence contracts including the SEA 1000 Future Submarine and SEA 3036 Pacific Patrol Boat Replacement projects, and the department's Defence Industries Queensland (DIQld) is behind the push for local industry involvement.
Queensland is a significant player in the maritime sector with the ability to construct, refit and repair a range of defence, commercial and recreational vessels. The state also has shiplifts catering to vessels up to 600 tonnes and is home to the largest slipway in northern Australia with 3000-tonne capacity.
To promote the state's marine capabilities, DIQld recently exhibited at the Pacific 2015 International Maritime Exposition along with 14 Queensland industry partners.
As part of the event, the Queensland Government hosted a breakfast with key industry representatives and senior military personnel, where the latest DIQld promotional video was presented showcasing Queensland's maritime capability.
Dr Anthony Lynham, Minister for State Development and Natural Resources and Mines, delivered a keynote address at the function and stressed Queensland's shift towards a more innovative, technologically advanced and globally connected manufacturing industry through the establishment of the Industry and Manufacturing Advisory Group (IMAG), initiatives such as Advance Queensland, and the ongoing work of DIQld.
Queensland showed it was already a forerunner in the innovation space at the expo with four of the ten companies shortlisted for this year's Maritime Australia Limited Industry Innovation Awards from the state and Queensland company AirBerth winning the prestigious award.
Involvement in big ticket projects like SEA 1000 and SEA 3036 plus exploration of innovative solutions for the defence and greater marine industry has the potential to drive significant investment and revenue for the state. To this end, DIQld will continue engaging with prime contractors and the Department of Defence to keep Queensland capability front of mind.
Congratulations to Mueller College in Rothwell for taking out first and second place in the 2015 Unmanned Aerial Vehicle (UAV) Airborne Delivery High School Challenge.
The UAV Challenge is a collaborative program between the CSIRO, the Queensland University of Technology, the Australian Research Centre for Aerospace Automation and the Queensland Government and focuses on search and rescue applications of UAV technology.
Participants had to remotely control an unmanned aircraft to drop an EpiPen as close as possible to 'Outback Joe' so that he could treat his anaphylaxis immediately while medical aid travelled to reach him.
The program is important to get students thinking about how to use technology to solve real-life problems and fosters the development of entrepreneurial skills that will shape the future of young Queensland innovators.
The UAV Challenge Medical Express is a new challenge developed for 2016. The response to the new challenge has been global and teams from 19 countries have entered including Armenia, Australia (24), Brazil, Canada (4), China, France, Germany, Hong Kong, Kenya, India (10), Iran, Poland (3), Singapore, Spain, Switzerland (3), Thailand (2), The Netherlands, UK, USA (7). The Technical Committee is currently assessing teams for suitability.
Next year's Medical Express participants must successfully locate 'Outback Joe' on a remote Queensland property, pick up a blood sample utilising a remote landing and take-off site close to him, and return it back to base for analysis within one hour. The winning team will receive $50,000 in prize money. Good luck to all competitors!
The Queensland Government has provided a total of $30,000 over 2015 and 2016, and has supported the program since 2007.
Photo: UAV Challenge 2015 competitors at the ready in Calvert. Image courtesy of Stefan Hrabar/CSIRO.
The Queensland Charter for Local Content is delivering enhanced opportunities for Queensland businesses, resulting in jobs, and helping to grow the state's economy.
Through the charter the department is giving Queensland businesses the best possible opportunity to tender for major government procurements. The charter, developed and implemented by our Industry Programs team, aims to increase the participation of local suppliers in major government projects and procurements.
The team works closely with procurement areas across the state government to ensure that local suppliers are given full, fair and reasonable access to tender opportunities under the charter. We also partner with Industry Capability Network (ICN) Queensland, whose skilled team of procurement specialists help local suppliers to identify emerging opportunities.
In the 2014-15 financial year, projects reportable under the charter worth $1.66 billion saw $1.35 billion of contracts awarded to Queensland businesses.
Some of the major Queensland Government projects that reported Queensland businesses winning contracts include the Sunshine Coast Public University Hospital, 1 William Street office tower, New Generation Rollingstock Wulkuraka Maintenance Centre, and the Gold Coast 2018 Commonwealth Games™ Venues.
The benefits to the local economy will increase considerably from a project like the Gold Coast 2018 Commonwealth Games™ with procurements to the value of $2 billion being expected over the next two and a half years. With the assistance of ICN and the transparency of the games forward procurement plan, the charter will ensure the maximum possible benefit for local suppliers.
The department will continue to monitor the application of the charter across government agencies, analyse reporting results and encourage feedback from industry.
The first Gold Coast Regional Major Projects Forum was held on 2 September 2015 attracting over 110 guests keen to hear about promising growth, public and private sector projects and industry opportunities across the Gold Coast, Logan and Redlands regions.
The event was opened by the Minister for State Development Dr Anthony Lynham who highlighted that GC2018 would bring with it 'once in a generation' infrastructure development, private investment and industry growth opportunities.
Department of State Development's Director-General, Michael Schaumburg also facilitated an engaging panel discussion with the City of Gold Coast Mayor Tom Tate, Redland City Council Mayor Karen Williams and Logan City Council Mayor Pam Parker. Presentations from the day are also available.
Regional Major Projects Forums are hosted throughout Queensland and we have a packed program of inspirational speakers lined up at future events. Register here and don't miss out.
Recognising that North Queensland is an important contributor to the state's economy, the Queensland Government is implementing the Lower Burdekin Catchment Development project.
The project has been developed in response to the growing demand to access water from the Burdekin Falls Dam and associated water distribution systems for the purpose of enabling appropriate and sustainable economic development and growth.
The project's aim is to provide the Queensland Government with a clear understanding of the future development potential of the lower Burdekin and to identify how the existing water infrastructure and water resources can be better used.
The project will be delivered through a seven-part program of work. Independent contractor Psi Delta, engaged to deliver Part 1, has submitted its report to the Queensland Government and a summary of the findings will be released shortly.
Independent contractors, Pricewaterhouse Coopers (PwC) and MWH Global have now been engaged to deliver Parts 2-7. PwC and MWH have begun meeting with key stakeholders and viewing critical infrastructure and development sites in the Burdekin. The project is on track to be completed in February 2016.
Photo: on location in the Lower Burdekin catchment area, Queensland Government staff with representatives from Burdekin Shire Council and Lower Burdekin Water.
On 2 September, Gourmet Garden at Palmwoods in the Sunshine Coast hinterland opened its doors for a manufacturer's networking event, hosting 65 local businesses.
After 'around the room' discussions Gourmet Garden's Chief Operating Officer, Andrew Eves-Brown, shared the company's story, providing insights into their new product development strategy. The event concluded with a factory tour of their production and packaging processes.
These networking events are an initiative of the department's SEQ North Regional Office and are convened in various locations across the region, with a different local company opening their facilities to other manufacturers to see their operations and to hear about their business challenges and successes.
The department's next manufacturer's networking event will be held on 29 October and hosted by Packer Leather – Queensland's Exporter of the Year 2015 – at Narangba. For more information email email@example.com
Photo: Gourmet Gardens product range
Three days, three locations, 10 mentors, 19 businesses, 1200 kilometres - a business mentoring marathon where everyone is a winner.
The business mentoring project is one of eight Queensland Murray Darling Basin projects developed in response to the federal government water buy back scheme taking water out of the irrigation systems of these agriculturally-reliant regions, which will have an economic impact on the broader communities. As a state and federal government priority, $100 million has been allocated nationally to assist with regional economic diversification across the basin.
The department's Darling Downs South West team is managing the mentoring project in partnership with Goondiwindi regional and Balonne shire councils. Up to 40 businesses will access the mentoring program which concludes in June 2016.
Participant Esme Cairns, Executive Officer, Goondiwindi SILO Inc said:
"through your excellent facilitation… the session provided us with a great opportunity to start our Board review and succession planning processes and we look forward to continuing this through further robust conversations. We really appreciated [the mentors] honest and well considered input (as well as their challenges!) and we look forward to strengthening the future of the SILO Board."
Goondiwindi SILO Inc (Schools Industry Links Outreach) is a community based organisation with a focus on creating rural training and employment opportunities across the Border Rivers and South West Queensland regions.
For more information about DSD's business mentoring project email firstname.lastname@example.org
Photo of Goondiwindi courtesy of Dan Proud Photography.
Registration for the annual Queensland Gas Conference & Exhibition is now open. The free-to-attend, trade-focused event will run from 24-25 November 2015 at the Brisbane Convention and Exhibition Centre.
With two compelling days of educational seminars, mini-training sessions, workshops, and a range of exhibitors including Bilfinger Water Technologies and NETZSCH, there is plenty to keep visitors interested and busy. Visitors will be given the opportunity to learn from specialists, network with potential suppliers and customers, as well as receive crucial information needed to adapt in this rapidly changing industry.
The Queensland Government is a supporting partner of the Queensland Gas Conference & Exhibition. The program is now available at www.queenslandgas.com.au
The events listed are either coordinated or supported by the Department of State Development. We rely on and acknowledge the valuable assistance we receive from our business and local government partners from across Queensland.
Visit the Department of State Development website for events and workshops across the state.