Regional Coal: Queensland to spend $1b to boost coal exports

The Queensland Government will fast-track planning for another A$1 billion worth of key rail and port projects to avoid any delay in lifting the capacity of the state's coal export business to 235 million tonnes a year by 2010, Australia's The Courier-Mail reported.

The project is in addition to $1.4 billion worth of investment already committed and a feasibility study on the proposed $1 billion "missing link" upgrade of Abbot Point and integration of the Newlands rail system with the electrified Goonyella network in the northern Bowen Basin.

The Government's coal infrastructure co-ordination group headed by State Development Minister Tony McGrady has recommended fast-tracking detailed planning, design and approvals for a raft of other projects to ensure construction started as soon as mining companies signed contracts required to underpin development.

These included further upgrades of the Goonyella, Blackwater and Moura rail systems; further expansions of the coal terminals at Gladstone, Hay Point and Abbot Point; and the provision of power and water to new mines and expansions.

Queensland's $10 billion coal export industry is poised for massive expansion which will see the amount of coal railed to central Queensland ports rise by as much as 13 per cent a year over the next five years to between 215 million and 235 million tonnes a year.

Queensland Rail is on target to rail a forecast 155 million tonnes this financial year.

The "action program" also identifies strategic planning to cater for demand to 235 million tonnes a year and "significant additional investment" in new locomotives and wagons needed to get the product to port.

The infrastructure plan has won support from the Queensland Resources Council and coal companies frustrated over lengthy delays in receiving a commitment for the expansion of the key Dalrymple Bay Coal Terminal near Mackay.(*)