THE Ubobo community is appealing to the State Government to help them entice new residents as the small Boyne Valley township struggles to survive.

Long-term resident Margaret Pengelly said the town had seen many changes.

"We're looking at tourism," she said. "That might be the one thing that might save the valley."

The focus was on the little town south of Gladstone at the weekend as it hosted the Ubobo Bush Festival as part of Queensland Week.

Once a soldiers' settlement and dairy farm country, the town's community has turned to grazing and timber and now, it is hoped, more tourism to survive.

"(Timber) is one of the industries that has lasted the whole time in the valley," Mrs Pengelly said.

"It's just hanging on by the skin of its teeth."

Mrs Pengelly said only a handful of people lived in the town.

"It's always been supported by the surrounding community," she said.

There are nine blocks of land, which residents want released for newcomers.

Ubobo Progress Association secretary and fourth-generation resident Mark McLachlan said the Gladstone Regional Council had applied to the State Government to purchase the land and release it to the public.

"The State Government came back with a really high valuation on the land," he said.

"The price is so high the council can't justify the cost."

Mr McLachlan said it was a government asset that was "just sitting there" and residents wanted to negotiate.

"We need more land available for people to build houses on," he said. "I think there's between 80-100 people driving to town every day now to go to work."

The Gladstone-Monto Rd is also a thorn in the side of residents.

"The water board built it as part of their contractual obligations and it was passed to Main Roads and Main Roads accepted it in its condition," Mr McLachlan said.

"It should be raised so we don't get cut off (when it floods)."