Mount Isa's 218 MW gas-fired Mica Creek Power Station will be placed into cold storage after 1 January 2021.
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The power station, 6km out of town is owned by Stanwell Corporation, and commenced operation as a coal-fired power station in the 1960s, converting to gas in 2000.
It is not connected to the National Electricity Network and currently supplies electricity to two industrial customers. Both customer contracts are due to expire on 31 December 2020.
Mica Creek Power Station Manager, Paul Smith, said the power station would have required a costly life-extending overhaul in order to supply energy to customers beyond 2020.
"Mica Creek Power Station is unable to compete with more modern power stations in the region," Mr Smith said.
"Neither of our current customers are renewing their contracts after the end of this year.
"Our team at Mica Creek will continue to deliver a safe and reliable supply of energy to our current customers until their contracts end on 31 December this year."
Stanwell said it would continue its involvement in the North West Minerals Province, investigating projects which may have the potential to support the future supply of secure affordable electricity to the region.
The nearby Diamantina Power Station, opened in 2014 and owned by APA, is unaffected.
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Derek Barry
Editor of the North West Star Mount Isa since January 2016. Prior to that, an editor at several regional southern Queensland newspapers. Passionate about telling local stories. Comes with a strange accent to due an Irish accident of birth.
Editor of the North West Star Mount Isa since January 2016. Prior to that, an editor at several regional southern Queensland newspapers. Passionate about telling local stories. Comes with a strange accent to due an Irish accident of birth.
