The package aims to make the state a "global leader" in supplying the world with copper, zinc, vanadium and aluminium as it targets a net zero emissions future.
"The critical minerals strategy lays out the blueprint to mine and process the minerals and to manufacture the renewable technologies right here in Queensland," Premier Annastacia Palaszczuk told the World Mining Congress in Brisbane on Tuesday.
She later told reporters the northwest minerals province from Townsville to Mount Isa had an opportunity to capitalise on global commodity demand.
The strategy includes $55m towards free rent for new and existing exploration permits for the next five years and $75m to support critical minerals projects in certain areas, beginning with Julia Creek-Richmond and around Mt Isa.
The government has earmarked $13m for research, including $5m towards extracting minerals from mining waste.
A Critical Minerals Queensland office will be based in Townsville and oversee development in the sector, with the premier confident of attracting international investment.
The push to build batteries locally is boosted through a $100m Critical Minerals and Battery Fund.
It is estimated untouched minerals found in the northwest minerals province are valued at $500 billion, with the government eager to utilise their investment in CopperString 2032 to link mines to the renewable energy grid.
CopperString is a high-voltage, 1110km line from Townsville to the northwest, which holds vast copper, zinc, lead, silver and phosphate deposits.
State-owned Powerlink will start construction next year, with the project due to be completed by 2029.
The package comes as the Palaszczuk government faces backlash from the coal lobby over the progressive royalties regime it introduced in 2022, which resulted in a record $12.3b surplus amid soaring coal prices.
Speaking at the congress, BHP chief Mike Henry again criticised the increase in royalties and warned the mining giant "will not be investing any further growth dollars in Queensland under the current conditions".
He said the state government's approach involved "no industry engagement, no effort to understand and no interest in understanding".
Mr Henry contrasted Queensland with Chile when its government sought to raise copper royalties, saying the process there was "respectful, with a focus on understanding and collaboration".
The Palaszczuk government has defended the coal royalties increase, with Treasurer Camon Dick saying in his budget speech the decision to "take on the mining lobby ... has delivered a rich reward for Queenslanders".
