BILLIONAIRE mining magnate Clive Palmer says he is considering launching an online newspaper staffed by former Fairfax journalists, which he wants to call "Rage".

"One of the things we are thinking about very seriously is running an online news service across Australia and offering some hope to all the journalists that are being dismissed at The Age and Fairfax," he told reporters in Brisbane.

"We could have that online soon, so we can have more diversity in the media in Australia."

Mr Palmer also said if he chose to run at the federal election, he would try his chances for preselection in Fairfax, on the Sunshine Coast.

After abandoning his tilt at the Brisbane seat of Lilley, held by Treasurer Wayne Swan, Mr Palmer flagged challenging Bob Katter in his north Queensland electorate of Kennedy or running in Fairfax.

Fairfax, where Mr Palmer has a home and owns the Coolum resort, is held by retiring Liberal MP Alex Somlyay.

"I've narrowed it down, probably to Fairfax being the seat I most favour at the moment," he said.

"I don't want to seek an office if I went for federal parliament, I don't seek to be a minister, I've got no ambition on being prime minister, I just seek to promote ideas."

He said he would seriously consider his intentions when the Liberal National Party calls for preselection for the seat.

He also hosed down reports he was planning to spend up to $4 billion to create an international hotel, casino and tourism destination on the Sunshine Coast on par with world-class facilities in Dubai.

Mr Palmer said he had no firm plans, but a $4 billion price tag wasn't realistic.

"I don't have that sort of money to spend," he said.

"We're certainly looking at a lot of options, drawing up a lot of plans, looking at different ways we can go about things.

"We're just still examining things, talking to the community, talking to the local government."

Originally published as Palmer wants to broadcast his 'Rage'