The National Reconstruction Fund Corporation (NRFC) will invest $75 million in Central Queensland-based advanced materials company Alpha HPA, backing the company’s First-Of-A-Kind processing technique for producing ultra-high purity alumina.

Alpha HPA is a Gladstone-based industrial minerals company that has commercialised the world’s first adoption of the solvent extraction purification technique to produce high purity alumina (HPA) with fewer critical impurities, less waste and lower emissions.

High purity alumina produced by the company will be used across a host of applications and growth industries that are critical to the emerging economy, including semiconductors, pharmaceuticals, and lithium-ion batteries.

HPA was added to Australia’s Critical Minerals list in 2022 and is particularly in demand due to its use in cooling high-powered computer chips in AI data centres.

As part of a $225 million funding round, the NRFC’s cornerstone commitment acted as a catalyst, helping to crowd in the remaining $150 million from private investors to complete the raise.

The investment will allow Alpha HPA to complete Stage Two of its expansion, which involves building the world’s largest single manufacturing facility for HPA, capable of producing 10ktpa of HPA-equivalent per annum. Once completed, the project will be the nation’s first commercial-scale HPA facility. 

The company has been operating Stage One of the project – a small-scale commercial production facility since 2022. The project site in Gladstone is located within the Net Zero Economy Agency’s Central Queensland Priority Region.

Alpha HPA has previously raised approximately $590 million for Stage Two, including securing a $320 million debt facility from the Northen Australia Infrastructure Facility (NAIF) and Export Finance Australia (EFA). The company has undertaken a further capital raise to accelerate project delivery.

Alpha HPA currently employs ~130 people, and the project will create up to 420 jobs during construction and commissioning. Once construction is complete, the facility will create an additional 120 ongoing full-time positions over its operational life of more than 25 years.

Chemicals company Orica is a key strategic partner and shareholder in Alpha HPA. The HPA First Project in Gladstone is adjacent to Orica’s facility, enabling a closed-loop recycling arrangement in which Alpha HPA utilises reagents supplied by Orica and returns by-products for reuse. Combined with the lower energy and temperature requirements of Alpha HPA’s proprietary processing technology, this integrated approach delivers a significantly lower-waste, lower-emissions product than conventional HPA production methods.

Quotes for use by media

NRFC Chief Executive Officer David Gall:

“This investment backs a truly innovative Australian company but also improves Australia’s economic security and supply chain resilience around a critical mineral that is key to the future economy.”

“As well as creating high quality jobs and sovereign capability, NRFC’s investment will deliver huge sustainability benefits.

“Alpha’s unique IP makes lower temperature processing possible. Coupled with the project’s use of 100% renewable electricity this means it produces around 70% less emissions than current methods of producing HPA.”

“The NRFC is delighted to be supporting an Australian company that is commercialising breakthrough IP to create products the world and Australia will increasingly need.”

Alpha HPA Managing Director Rob Williamson:

“NRFC’s investment is a strong endorsement of Alpha HPA’s strategy, technology and role in building sovereign manufacturing capability in Australia.”

“High Purity Alumina is a critical input into semiconductors, lithium-ion batteries and pharmaceutical manufacturing, where ultra-high purity materials are essential for performance, safety and reliability.”

“Our Gladstone HPA First Project positions Australia as a trusted supplier into diversified global supply chains.”

“This investment supports Australia’s ability to move up the value chain, manufacturing high-value materials onshore rather than exporting raw inputs, while creating skilled jobs and long-term industrial capability in regional Queensland.” 

[ENDS]

About the process

Alpha HPA’s proprietary processing uses nitric acid to leach high grade aluminium hydroxide followed by ion exchange and solvent extraction (Smart SX) to recover and separate aluminium nitrate at very high purities for conversion into an intermediate precursor product and finally HPA. Smart SX refines HPA at lower temperatures than conventional processes, making it significantly less energy intensive. The Project has been developed to operate at high concentration leading to a small compact processing plant with high recycling of materials thereby producing low levels of waste.

About the National Reconstruction Fund Corporation (NRFC)

The NRFC is Australia’s sovereign investor in manufacturing capability. It has $15 billion to invest through direct loans, equity investments and loan guarantees across seven priority areas: renewables and low emissions technologies; enabling capabilities; defence capability; transport; value-add in resources; value-add in agriculture, forestry and fisheries; and medical science. 

The NRFC’s role is to invest in Australian businesses and projects that design, refine and make to transform capability, grow jobs and a skilled workforce, and diversify our economy. The NRFC is a corporate Commonwealth entity, established by the National Reconstruction Fund Corporation Act 2023 (NRFC Act) in September 2023.

For more information, visit nrf.gov.au.

NRFC media contact: media@nrf.gov.au 

About Alpha HPA

Alpha HPA Limited (ASX: A4N) is an Australian advanced materials company developing and commercialising innovative technology to manufacture ultra-high purity alumina (HPA).

The Company’s HPA First Project in Gladstone, Queensland is Australia’s first commercial-scale HPA manufacturing facility and is designed to supply high-purity materials into global markets, including semiconductors, lithium-ion batteries and pharmaceutical applications.

Alpha HPA’s proprietary processing technology enables lower-temperature, low-emissions production with high material efficiency and near-zero waste, positioning the Company as a competitive and trusted supplier of critical materials to global industries.

Alpha HPA is focused on building long-term, value-added manufacturing capability in Australia while supporting regional employment, supply chain resilience and the transition to a low-emissions economy.

For more information, visit alphahpa.com.au.(Opens in a new tab/window)

Alpha HPA media contact: Ellie Millar – emillar@alphahpa.com.au