Old Greenvale line could be a boon for silica mine and others

THE initial results of studies to re-lay and reopen the old Greenvale rail line are encouraging, a company researching plans for a big fertiliser plant in Townsville says.

Agripower Australia Ltd, a Sydney-based public company with international connections, produces amorphous silica fertiliser in a plant at Charters Towers.

But last year it announced exciting plans to rebuild the Greenvale line and haul silica from a mine near the former nickel town to a new processing facility in Yabulu.

The Greenvale line, made famous by Stan Coster song Three Rivers Hotel, previously supplied the Yabulu nickel refinery but was ripped up in 1997 when Greenvale reserves were exhausted and its track used on central Queensland coal lines.

Agripower Australia director Peter Prentice said they were about six months into two years of studies costing $12 million to prepare detailed engineering and design plans and finalise permits for development approvals.

They were looking at the Yabulu region for a site but this was not finalised, he said.

“What we are working on is to look at reopening the Greenvale to Yabulu rail line and, at that point, also constructing further processing facilities near the coast, giving us a direct rail access into the (Townsville) tice said.

“It would be a multi-user facility so other mining companies could use it and particularly if the (Hells Gates) dam proceeds, for crop growers to get port,” Mr Prento the port as well.” Agripower holds a mining lease and exploration permits over the world’s largest known resource of amorphous silica in an ancient lake bed northwest of Greenvale.

At present, the material is trucked to Charters Towers where fertiliser for broadacre agriculture is produced but there are plans to progressively ramp up production as demand requires.

The Townsville plant would be a staged development producing up to one million tonnes a year, employing 500 people in construction and 500 when in operation.

Including the processing plant, rail line, a mine to Greenvale conveyor and port loading facilities, Mr Prentice said total investment was estimated at $663 million.

“We are about six months into (studies) and the results are very encouraging. By end of the calendar year will have most of the engineering completed to get capital and operating costs determined,” Mr Prentice said. “The first half of next year will be spent on finalising permits and approval for development.”

They hope to have approvals in place by September next year.