Channel project granted consent

SOUTH Port has been granted resource consent by Environment Southland for its Kia Whakau channel and harbour deepening project.

The project involves dredging and removing seabed materials to 9.7m chart datum (CD) in the harbour entrance channel, 10.7m CD in the Island Harbour berth basins and 9.45m CD in the swinging basin.

A media release from the port yesterday said the benefits of removing the high points in the channel and increasing the current operating draft by 1m would assist with improving safety margins for ship movements and provide greater capacity for vessels to take on additional cargo.

It was a major project for the port and would benefit the region’s customers ‘‘for years to come’’, the statement said.

The resource consent would start 15 working days after August 31 unless an appeal was lodged during that time.

Chief executive Nigel Gear said an accurate estimate of the cost could not be supplied yet as the port was still working through various issues, including contractor availability, timing of the work and the outcome of the current dredging being undertaken for the deemed consent.

South Port is exercising an existing coastal permit to remove any already blasted or fragmented rock that remains in the channel from previous ‘‘capital dredging’’ campaigns more than 40 years ago.

That work is under way, dredging completed in 30% of the entrance channel.

The port said that while early signs were positive, it would be in a better position to update the market on the success of that dredging in the coming weeks.

A decision on the timing of the dredging pursuant to the resource consent granted would depend on several factors, including the outcome of the current dredging campaign under the existing coastal permit.

Last month, the company posted a net profit after tax of $12.83 million, up 19.7% on the previous year, and operating revenue of $48.58 million, a 2.7% increase.