Up­grades for Adani mine plan

Townsville Bulletin - - NEWS - TONY RAGGATT

ADANI says it is well ad­vanced with se­cur­ing fund­ing for its huge cen­tral Queens­land coal projects as a lead­ing ad­vi­sory firm up­grades its prospects for the de­vel­op­ments.

Adani’s Galilee Basin plans in­clude a $ 50 mil­lion airstrip, a $ 2.5 bil­lion coal rail line and $ 600 mil­lion spur line, a $ 300 mil­lion trans­mis­sion project and its $ 4 bil­lion stage 1 coal mine project. It also plans a $ 2.5 bil­lion Ab­bot Point coal ter­mi­nal ex­pan­sion.

A ma­jor projects re­port by BIS Ox­ford Eco­nomics re­leased ear­lier this year listed all of the projects as un­funded and “un­likely” to pro­ceed.

But one of its au­thors, se­nior econ­o­mist Adrian Hart, who will ad­dress an in­dus­try fo­rum in Townsville to­day, told the Bul­letin “pos­i­tive” an­nounce­ments by Adani had led them to up­grade the projects’ sta­tus to “cred­i­bly pro­posed”. It meant that while the projects re­mained listed as un­funded, BIS Ox­ford Eco­nomics were more con­fi­dent they would pro­ceed.

“It’s re­ally based on the range of an­nounce­ments that have been made … which have made us feel they are more likely to pro­ceed,” Mr Hart said.

“( Adani) are sound­ing a lot more pos­i­tive about devel­op­ment of the projects but at the end of the day fund­ing is still a crit­i­cal is­sue.”

De­bate has raged about the coal de­vel­op­ments with en­vi­ron­men­tal­ists tar­get­ing protests at banks and ques­tion­ing the projects’ vi­a­bil­ity.

An Adani Aus­tralia spokesman yes­ter­day said the com­pany was mov­ing for­ward with fund­ing ar­range­ments and would be happy to have the bulk of fi­nance in place by the end of the year. He said Adani’s fund­ing ac­tiv­i­ties were “well ad­vanced” and “there­fore, the project will hap­pen”.

BIS Ox­ford Eco­nomics’ Ma­jor Projects Pipeline Re­port lists the Galilee Basin airstrip with a start date of 2018- 19, does not pro­vide a start date for the rail projects and has the mine and port work oc­cur­ring from 2019- 20 and 2020- 21 re­spec­tively.

Mr Hart be­lieved much of the con­struc­tion work would ramp up nearer the end of their five- year out­look.

Newspapers in English

Newspapers from Australia

© PressReader. All rights reserved.