By rosebell
Queensland Hydro has suspended procurement for two contracts associated with the proposed Borumba Pumped Hydro Project in Queensland, Australia. The affected packages cover exploratory tunnelling and drilling works, as well as surface civil engineering.
The developer confirmed the suspensions in a procurement notice published on 22 October 2026. The affected tenders are Exploratory Tunnelling & Drilling (RFT-BUR-1006) and Surface Civils (RFT-BUR-1009).
Queensland Hydro stated that neither contract had been awarded and thanked contractors and suppliers that had participated in or expressed interest in the procurement processes. The company has not disclosed the reasons for the suspensions or provided a timeframe for restarting the tenders. Any future procurement opportunities will be advertised through its VendorPanel platform.
Exploratory tunnelling scope
In September 2024, Queensland Hydro appointed engineering consultancy SYSTRA to provide underground technical services and management support for the exploratory tunnelling and drilling programme.
The proposed works include the design and construction of two access tunnels to support geological investigations and the development of the project’s underground infrastructure. SYSTRA’s responsibilities include technical oversight, construction management and independent quality assurance.
The consultancy initially anticipated that site-based construction activities would begin in the first half of 2025, subject to regulatory approvals.
The exploratory programme is intended to establish detailed ground conditions and technical requirements ahead of potential main construction works, helping to identify and manage geological and engineering risks.
Borumba pumped-hydro project
Located near Imbil, approximately 180km northwest of Brisbane, the proposed Borumba scheme would comprise new reservoirs, underground water conveyance tunnels, an underground powerhouse and associated infrastructure.
The project is designed to provide 2,000MW of generating capacity and up to 24 hours of energy storage, with the potential to supply electricity to approximately 2.3 million Queensland homes.
The scheme remains in the investigation and planning phase. Queensland Hydro is undertaking exploratory activities and preparing a revised business case to inform future government decisions. The developer has stressed that exploratory investigations do not represent a decision to proceed with full construction.
Other site preparation works continue
In May 2026, Queensland Hydro awarded a separate Interim Civils contract to FKG Group. The package covers enabling works, including access tracks, temporary creek crossings and preparation of tunnel portal areas.
The developer said these activities would support the mobilisation of underground tunnelling and surface geotechnical investigations.
Despite the suspension of the two procurement packages, other site activities continue, including geotechnical drilling, environmental assessments, surveys and infrastructure preparation.
The permanent tunnels, underground powerhouse and other main construction works remain subject to regulatory approvals and future Queensland Government decisions. The Office of the Coordinator-General continues to list the project as progressing through the approvals process, with no confirmed completion date for the main works.
