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Business

King Island mine to be diesel-powered for years using repurposed government grant

King Island Cassy OConnor Fortescue Future Industries
The Dolphin Tungsten Mine will be powered by diesel generators for the next two years, the operators say. (Facebook: Group 6 Metals)

Operators of a mine on Tasmania's King Island plan to use a multi-million-dollar government grant to lease diesel generators to power the project, despite the money being initially granted to connect the mine to the island's grid.

The Dolphin Tungsten Mine closed 30 years ago, but is due to restart at the end of April under the operation of Sydney-based firm Group 6 Metals, formerly run by King Island Scheelite, with the help of a $10 million government loan.

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