Development of a large dam on the upper Burdekin River at Hells Gates in Queensland is technically and economically feasible, with no major environmental barriers, a $2.2 million federally funded study has found.

The 12-month Hells Gates Dam Feasibility Study, led by SMEC and project managed by Townsville Enterprise, has confirmed the viability of the $5.35 billion irrigated agricultural and power project following its review by State and Federal Governments.

The study’s findings found that the project has the potential to redefine Northern Queensland’s agriculture sector and underpin long term export market growth and investment.

If a range of factors, including the development of largescale markets for high value agricultural products are realised, the project could inject billions of dollars into the region, potentially creating an estimated 12,000 jobs during construction and more than 5000 direct and indirect jobs once completed.

While the study only covered preliminary investigations into the issue of power, it did suggest the potential for a pumped hydro-electricity plant, generating up to 1200MW of clean, low cost, dispatchable energy.

In a statement, Townsville Enterprise said it acknowledged that Hells Gates is a long-term vision to develop Northern Australia and that it is not relevant to Townsville’s current water security plans, as this is predominately an agricultural and power project.

The next step for the project is a detailed business case, and Townsville Enterprise said it will be working with all levels of government towards securing a commitment towards the $25 million business case to progress the project.