On-site activity is increasing at the proposed Borumba Pumped Hydro Project, with FKG Group mobilising to deliver an interim civil works package valued at more than $20 million.

The package forms part of Queensland Hydro’s exploratory works program at Lake Borumba, between Imbil and Jimna.

It includes access tracks, temporary creek crossings and portal-pad preparation needed to support planned underground tunnelling and surface geotechnical drilling.

Current Queensland Hydro works notifications show that machinery, quarry materials and temporary structures are being transported to the project site throughout July 2026.

The movement of heavy equipment represents a visible step forward for one of Queensland’s largest proposed energy-storage developments.

However, it is important to separate the current exploratory and enabling works from construction of the full pumped-hydro project.

Queensland Hydro states clearly that the exploratory program does not represent a decision to proceed with full project construction.

The broader Borumba proposal remains subject to:

• a refreshed business case and commercial assessment
• future Queensland Government decisions
• remaining regulatory and planning approvals
• confirmation of the final project design
• funding and investment decisions
• future procurement and delivery strategies

For contractors and suppliers, the distinction is important.

There is real work underway, and FKG Civil is now a confirmed principal contractor. But businesses should not assume that the main construction packages for the proposed multi-billion-dollar project have been released.

FKG Mobilises for the Borumba Interim Civils Package

Queensland Hydro appointed FKG Group following a competitive procurement process, with the interim civils contract valued at more than $20 million.

The package will deliver:

• construction and upgrading of site access tracks
• temporary creek crossings
• portal-pad preparation
• working areas for tunnelling mobilisation
• access for surface geotechnical drilling
• supporting drainage and erosion controls
• movement and establishment of heavy plant
• temporary project infrastructure

A portal pad is a prepared construction platform near the proposed entrance to an underground tunnel.

It provides a stable area for excavation equipment, cranes, temporary services, spoil handling, worker access and future tunnelling operations.

For Borumba, preparing this area is necessary before more substantial underground investigations can begin.

The works will help Queensland Hydro gather better information about:

• rock and soil conditions
• groundwater behaviour
• tunnelling requirements
• access constraints
• construction methodology
• environmental conditions
• project risk
• future cost and schedule assumptions

Queensland Hydro’s Executive General Manager – Delivery, Geoff Scott, said the package would allow underground tunnelling and surface geotechnical investigations to mobilise.

The information obtained through these investigations will help the project team understand site conditions and reduce uncertainty before future investment decisions are made.

What Is Happening at Borumba in July 2026?

Queensland Hydro’s current works program identifies several activities taking place around the project area during July 2026.

These include:

• oversize machinery deliveries using approved northern and southern haulage routes
• delivery of quarry materials by heavy vehicles
• transport of temporary structures to the project site
• continued construction of the Borumba Dam compound
• non-intrusive geophysical surveys
• mobile laser scanning
• land and cadastral surveys
• cultural-heritage surveys
• environmental assessments and compliance monitoring

The northern haulage route passes through the Imbil area using roads including Yabba Creek Road and Bella Creek Road.

The southern route accesses the project area through Kilcoy, including Kilcoy Murgon Road, Sunday Creek Road and Yielo Road.

Local communities may experience:

• large flatbed trucks
• truck-and-dog combinations delivering quarry material
• vehicle escorts
• temporary traffic control
• localised noise and dust
• short road closures during some survey work

These activities show that the interim package has moved beyond a contract announcement and into mobilisation and site-support activity.

Exploratory Works Are Not Full Project Construction

The current program should not be described as the start of construction of the complete Borumba Pumped Hydro Project.

Exploratory works are being undertaken to improve the technical information available to Queensland Hydro, the Queensland Investment Corporation and the Queensland Government.

They are intended to reduce uncertainty before decisions are made about whether the full project should proceed, in what form and under what delivery model.

The exploratory phase can still involve substantial construction activity.

It may require roads, bridges, camps, compounds, drilling pads, tunnels, drainage, environmental controls and heavy plant.

However, these works are different from the main project packages that would be required to construct:

• the upper reservoir
• major dam infrastructure
• waterways and shafts
• the underground powerhouse
• main access tunnels
• high-voltage electrical systems
• permanent roads and bridges
• transmission connections
• operational facilities

Contractors should therefore treat the current phase as a genuine but limited work pipeline rather than assuming the entire proposed project has reached final investment approval.

The Scale of the Proposed Borumba Project

The proposed Borumba Pumped Hydro Project is being developed as a long-duration energy-storage system at Lake Borumba and surrounding areas between Imbil and Jimna.

The current project concept has been identified as capable of:

• dispatching up to 2,000MW
• storing energy for up to 24 hours
• providing approximately 48,000MWh of potential storage
• supplying power equivalent to the needs of up to two million Queensland homes when operating at full capacity

Pumped hydro uses electricity to move water from a lower reservoir to an upper reservoir when energy is available.

When additional electricity is needed, the stored water is released downhill through turbines, generating power before returning to the lower reservoir.

This allows large volumes of energy to be stored for longer periods than many conventional battery systems.

The proposed project would also require new transmission infrastructure.

Powerlink is progressing work on potential connections from Borumba toward Woolooga in the north and Halys in the south-west.

The transmission component remains subject to its own environmental, planning, corridor and government approval processes.

Refreshed Business Case Remains Critical

Oversight of Queensland Hydro was transferred to the Queensland Investment Corporation in June 2025.

Queensland Hydro is now preparing a refreshed business case and commercial assessment aligned with the Queensland Government’s energy strategy.

The assessment is intended to examine issues including:

• future electricity-system requirements
• project scale and configuration
• capital cost
• delivery schedule
• commercial structure
• construction risk
• potential private investment
• alternatives to the current design

The proposed project has previously been associated with a reported cost estimate of approximately $18.4 billion.

That figure should not be treated as a final approved construction budget.

The refreshed business case may recommend changes to the design, staging, timing, funding structure or overall scope.

The current civil and investigative works are intended to give decision-makers better information before determining the project’s future.

Why Geotechnical Investigations Matter

Underground pumped-hydro projects depend heavily on reliable knowledge of geological conditions.

Major elements such as tunnels, shafts, caverns, waterways and powerhouse structures must be constructed through rock that may vary significantly across the project area.

Geotechnical drilling and exploratory tunnelling can identify:

• rock strength and quality
• faults and fractured zones
• groundwater pathways
• areas requiring additional support
• potential excavation methods
• likely spoil characteristics
• tunnel-lining requirements
• construction access constraints

Without this information, estimates for cost, schedule and construction risk can contain significant uncertainty.

The FKG package is therefore not simply road maintenance or general site preparation.

It provides the physical access and working platforms required to undertake investigations that may influence the design and commercial viability of the wider project.

Contractor Opportunities From the Interim Civils Phase

The principal interim civils contract has already been awarded to FKG Civil.

However, delivery of the package may create opportunities through subcontracting, supply agreements and supporting services.

Civil Construction and Earthworks

Potential work areas may include:

• bulk earthworks
• access-road construction
• road maintenance and grading
• temporary creek crossings
• drainage and culverts
• erosion and sediment controls
• portal-pad construction
• quarry-material supply
• aggregate and gravel supply
• concrete works
• fencing and barriers
• rehabilitation of disturbed areas

Plant, Equipment and Logistics

The package may require support from businesses providing:

• excavators and dozers
• graders and compactors
• water trucks
• articulated dump trucks
• cranes and lifting equipment
• wet and dry plant hire
• heavy haulage
• flatbed transport
• fuel supply
• field servicing
• tyre and mechanical support
• equipment washing and maintenance

Environmental and Land Services

Work may also be required across:

• environmental monitoring
• surface-water sampling
• erosion-control inspections
• weed and pest management
• revegetation
• land rehabilitation
• ecology surveys
• aquatic-fauna protection
• cultural-heritage monitoring
• surveying and spatial services

Site Support and Workforce Services

Regional suppliers may find opportunities involving:

• temporary buildings
• site accommodation
• catering and cleaning
• security and access control
• medical and emergency response
• PPE and workwear
• safety signage and barriers
• waste and spoil management
• traffic control
• labour hire
• communications equipment
• site consumables

FKG Brings Regional Civil Capability

FKG Group is a privately owned Australian contractor delivering civil, construction and development services.

The company has experience across roads, earthworks, drainage, concrete structures, utilities, energy and regional infrastructure.

FKG’s regional and remote construction experience is particularly relevant to Borumba, where delivery requires management of:

• restricted access routes
• heavy equipment mobilisation
• environmentally sensitive areas
• community traffic impacts
• creek and drainage crossings
• temporary construction infrastructure
• changing ground conditions
• regional workforce and supply chains

The package also gives suppliers a named principal contractor to monitor when preparing for potential subcontract and supply opportunities.

Existing Borumba Contractors Show the Breadth of the Supply Chain

Queensland Hydro’s supplier information page, current as at June 2026, identifies a broad range of companies already supporting the exploratory program.

Selected appointments include:

• AFRY-Aurecon Joint Venture for pumped-hydro design
• Water2Wire Joint Venture, comprising GHD, Mott MacDonald and Stantec, for dam design
• GHD for access-road design
• WSP for independent geotechnical assurance
• GeoDrill Australia, Tier 1 Drilling and SJ Drilling for geotechnical drilling
• Decmil for temporary worker accommodation design and construction
• Sirrom Corporation for camp operations and maintenance
• Durack Civil for site-access improvements and civil maintenance
• Flexihire for temporary site facilities
• ONF Surveyors for principal surveying services
• P.H.E. Power and Infrastructure for access-control systems
• R2S Medical for emergency-response services
• SMEC for project-support services
• FKG Civil for interim civils

This list shows that exploratory works can create packages across engineering, drilling, civil construction, accommodation, surveying, environmental management, medical support and site services.

It also demonstrates that many opportunities are likely to flow through principal contractors rather than directly from Queensland Hydro.

How Suppliers Can Register for Borumba Opportunities

Queensland Hydro identifies two principal procurement pathways.

Direct Queensland Hydro Opportunities

Businesses seeking to tender directly to Queensland Hydro should register through VendorPanel and monitor Queensland Government tender channels.

Companies should select all relevant supply categories so they can be notified when matching opportunities are released.

Principal Contractor and Subcontract Opportunities

Most project-related supply opportunities are expected to be managed through appointed contractors.

Queensland Hydro encourages businesses to:

1. create a company profile on Gateway by ICN
2. search for the Borumba Pumped Hydro Project
3. complete the project’s general expression of interest
4. select the option to receive future project notifications
5. monitor FKG Group and other appointed contractors

Businesses can review the Borumba Pumped Hydro Project page on Gateway by ICN for project information and future expressions of interest.

How Contractors Should Prepare

Businesses seeking work on the exploratory program should prepare before individual packages are released.

Recommended actions include:

1. registering on VendorPanel and Gateway by ICN
2. preparing a concise capability statement
3. identifying relevant FKG and principal-contractor contacts
4. documenting previous civil, energy, tunnelling or regional work
5. confirming licences, insurance and prequalification status
6. reviewing workplace health and safety systems
7. confirming available plant and workforce capacity
8. preparing local-industry and First Nations participation information
9. demonstrating environmental and reporting capability
10. monitoring project works notifications and supplier briefings

A strong capability statement should identify:

• services and equipment available
• relevant project experience
• regional office or depot locations
• workforce numbers
• mobilisation time
• safety and quality certifications
• environmental-management systems
• previous government or tier-one clients
• local employment and procurement commitments

Contractors and suppliers can also improve their Queensland industry visibility by maintaining an accurate profile in the Bowen Basin Index business directory.

A Growing Energy and Infrastructure Pipeline Around Gympie

Borumba is not the only major energy or infrastructure development creating contractor interest around the broader Gympie region.

Construction has also commenced on the Lower Wonga Solar and Battery Project near Gympie, creating demand across civil, electrical, battery, transport and regional services.

BBI has also examined the Jones Hill Water Treatment Plant project, adding another significant civil and process-infrastructure development to the regional pipeline.

At a statewide level, Borumba forms part of the broader Queensland infrastructure investment pipeline spanning roads, rail, water, energy, hospitals and regional construction.

The project also sits within a changing energy-storage market that includes the new Queensland battery projects being tracked by BBI.

Although batteries and pumped hydro use different technologies and delivery models, both are intended to store electricity and support grid reliability when renewable generation is unavailable.

Borumba Pumped Hydro Project Snapshot

• Project: Borumba Pumped Hydro Project
• Proponent: Queensland Hydro
• Government oversight: Queensland Investment Corporation
• Location: Lake Borumba and surrounding areas between Imbil and Jimna
• Traditional Country: Kabi Kabi Country
• Interim civils contractor: FKG Civil
• Interim civils value: More than $20 million
• Current package: Access tracks, temporary creek crossings and portal-pad preparation
• Supporting works: Underground tunnelling and surface geotechnical investigations
• Proposed generation capacity: Up to 2,000MW
• Proposed storage duration: Up to 24 hours
• Indicative storage capacity: Approximately 48,000MWh
• Current phase: Exploratory and early works
• Current activity: Interim civils mobilisation, compound construction, surveys and investigations
• Business case: Refreshed assessment in progress
• Full construction decision: Not yet made
• Reported broader project estimate: Approximately $18.4 billion

What Happens Next?

The next major project signals for contractors and suppliers include:

• progress of FKG’s interim civils package
• mobilisation of underground exploratory tunnelling
• surface drilling and geotechnical results
• completion of the refreshed business case
• Queensland Government consideration of the project
• confirmation of the preferred project scale and design
• remaining state and federal approvals
• transmission environmental assessment
• future procurement strategies
• additional principal-contractor appointments
• release of subcontract and supplier expressions of interest
• a future final investment decision

The refreshed business case and future Queensland Government response will be the most important indicators of whether the current exploratory program leads to full project delivery.

Final View

FKG’s mobilisation marks a genuine increase in construction activity at Borumba.

The more than $20 million interim civils package will establish access, temporary crossings and portal infrastructure needed to support underground tunnelling and geotechnical investigations.

For regional contractors, the work creates immediate relevance across civil construction, quarry materials, heavy equipment, transport, environmental services and site support.

However, the project remains at an exploratory stage.

The current works do not confirm that the complete 2,000MW pumped-hydro system will be constructed, and they should not be presented as a final investment decision.

The accurate position is that Queensland Hydro is spending money to improve its understanding of the site, reduce technical uncertainty and give government better information about the project’s future.

That still makes Borumba a major project to watch.

The package has a confirmed contractor, active site mobilisation, identifiable supply-chain pathways and a wider development proposal that could become one of Queensland’s largest future civil, underground and energy-infrastructure programs.

Disclaimer

This article is based on publicly available information from Queensland Hydro, Powerlink, FKG Group, Gateway by ICN and industry reporting available at the time of publication.

The interim civils and exploratory works discussed in this article do not constitute confirmation that full construction of the Borumba Pumped Hydro Project has been approved.

The broader project remains subject to a refreshed business case, future government decisions, regulatory approvals, project design, funding arrangements and a final investment decision.

Potential contractor and supplier work areas discussed in this article are indicative and are based on Queensland Hydro supplier information and the typical requirements of comparable civil, tunnelling, pumped-hydro and energy-infrastructure projects.

Project value, scope, timing, design, procurement arrangements and contractor appointments may change.

Businesses, suppliers and jobseekers should verify current opportunities directly with Queensland Hydro, FKG Group, appointed principal contractors and authorised procurement portals before making commercial or employment decisions.

Sources

1. Queensland Hydro — FKG Group awarded Interim Civils works for Borumba Pumped Hydro Project
2. Queensland Hydro — Borumba Pumped Hydro Project overview and status
3. Queensland Hydro — Borumba current works and notifications
4. Queensland Hydro — Supplier pathways, potential work areas and awarded contractors
5. Powerlink Queensland — Borumba Pumped Hydro transmission connections
6. FKG Group — Civil construction capability
7. Gateway by ICN — Borumba Pumped Hydro Project supplier page
8. The Courier-Mail — FKG begins Borumba works amid uncertainty over the broader project