The demand for extractive resources in Victoria has been tracking at levels higher than previously forecast due to a ramp up in major transport infrastructure investment and strong underlying housing demands. Total extractives production in Victoria is expected to increase to more than 100 million tonnes per annum by 2050. While demand for extractive resources is at an all-time high, supply is constrained.

The subject site contains a geologically depleted resource type that is in relatively short supply across the State. The strategic value of this resource is underpinned by several characteristics that are not easily replicated elsewhere:

• Quality: The resource comprises high-grade, low-variability rock that exceeds market specifications, supporting its suitability for a wide range of end uses, including high-performance construction applications.
• Economic viability: The deposit is large and continuous, located close to the surface with minimal overburden, enabling efficient and cost-effective extraction.
• Safety: Favourable geological structures and rock mass conditions support the safe and sustainable extraction of the resource, reducing operational risk and enhancing long-term viability.

This project seeks to extend the existing extraction boundary of Montrose Quarry, releasing approximately 26 million tonnes of resource over 32 years to meet growing market demand for construction products.

The project would help secure a long-term supply of extractive resource materials at competitive prices close to existing demand centres, enabling construction of significant infrastructure, housing and other projects. Extending the current quarry extraction area rather than sourcing essential quarry products from a new greenfield site would result in significantly less environmental impact.

Alternative sites are located further from demand centres, or have less available resource, increasing the cost of the resource and threatening competitive supply.

In absence of the project, the market would prematurely lose a significant source of quality construction aggregates that is well located to serve the Melbourne market.