Pilbara Ports
Representing the world’s largest bulk export ports, Port Hedland and Port of Dampier, Pilbara Ports Authority continues to lead with a pipeline of projects nearing completion.
THE Pilbara Ports Authority (PPA) ended last financial year with a record breaking annual throughput of 699.3 million tonnes.
Iron ore exports for the year totalled 508.9 million tonnes; up 14.3 million or 3 per cent from the year before.
Iron ore exports in June were 47.2 million tonnes, showing growth of 4.2 million tonnes or 10 per cent from the previous year.
The PPA currently accounts for about 50 per cent of the world’s seaborne iron ore exports, 75 per cent of Australia’s iron ore exports, and 9 per cent of global LNG exports.
Once Port Walcott joins its ranks, pending legislation, up to 90 per cent of Australia’s iron ore exports would pass through the PPA.
The PPA, which holds the Port of Port Hedland, Dampier and Ashburton within its portfolio, could also add the proposed ports of Anketell, Cape Preston East and the Port of Balla Balla to the Ports Authority Act, pending legislation.
PPA chief executive Roger Johnston said for the rest of the year, the PPA would focus on lithium exports and ensuring its construction projects remained on track for completion.
Growth Projects
In July, the PPA was nominated by the International Harbour Masters as manager of the world’s most efficient and safest ports.
Mr Johnston said over the last six years it had worked on implementing world-first innovations and technology.
“We started on a journey back in 2012 when we weren’t happy with the old spread sheet type models, which modelled the Port of Port Hedland to deliver 495 million tonnes,” Mr Johnston said.
“We modelled the port based on our Dynamic Port Capacity Model and saw the capacity at 577 million tonnes…and proof to concept we delivered 520mt last year.
“Each year we have tested our theories and have slowly become better at pushing more product out.”
The Dynamic Port Capacity Model feeds off live information and measures the time it takes for a ship to load, the load amount, and the number of ships capable of going on a tide.
“Our model isn’t a spread sheet of algorithms – it picks up live data.
“We’ve been running it since 2015 and have become better and better at managing the channel because of it.”
Other innovations included the Dynamic Under Keel Clearance system, which measured tides, wave action and wind action.
“The information is fed into computer systems given a ships design, calculates how close to the sea bed we can sail the ship, and how much iron ore can be loaded,” he said.
“Over the years we have been able to get ships that previously loaded 254t – like the Abigail N- [and] to load 264t; [about] 10,000t of additional iron ore going on a ship.”
Integrated Marine Operations Centre
PPA was also constructing a new Integrated Marine Operations Centre (IMOC) at the Port of Port Hedland to assist with the movement of the increasing number of vehicles through the harbour.
The $70.8 million project will replace the existing Shipping Control Tower, and house best practice vessel traffic service systems.
These included improved control capability, enhanced channel risk mitigation, dredging management, port security, and marine pilot briefing facilities.
The centre was only a few months away from completion, and would provide a facility for all marine operations including dredge managers, traffic officers and harbour masters to sit in one place.
Mr Johnston said the centre would be furnished in October with desks, chairs and carpeting.
“The project is on time and under budget and we will soon be re-training our traffic officers to learn about the new technologies and hopefully have it in operation by the end of the calendar year,” he said.
Channel Risk Optimisation Project (CROP)
PPA’s $100 million CROP project includes improving the trade capacity through targeted dredging, enhancing the existing deep water refuge zone and delivering an emergency passing lane alongside the shipping channel.
Following the completion of the first phase of dredging works, stage two was set to begin later this month, with the final stage underway from mid-September to early December.
Lumsden Point
Development was also set to take place at one or potentially two berths at Lumsden Point, with the first stage scheduled to be completed in early 2019.
“The development will comprise new general cargo wharves, laydown areas and a logistics hub area to ease shipping congestion associated
with growth of non-iron ore trade at Port Hedland.”
The multi user facility has been planned to meet the future growth of non-iron ore industries in the Pilbara, such as agriculture, general cargo and lithium exports.
“The development will comprise new general cargo wharves, laydown areas and a logistics hub area to ease shipping congestion associated with growth of non-iron ore trade at Port Hedland,” Mr Johnston said.
In May, land remediation works and stage 1 dredging works took place and the PPA was now evaluating response to the expressions of interest for general cargo facilities development.
Increasing Lithium Exports
The first trial of Spodumene Direct Shipping Ore (DSO) was shipped through Port Hedland’s Utah Facility at the end of 2016.
Mr Johnston said the shipment was “a huge leap forward” for the port.
“We met all demands as the market lifted from near zero to 3 million tonnes in a year, which is a big lift,” he said.
“Some may have reservations, because people are doing 520 tonnes, but if I said that Geraldton shipped 3 million tonnes they would be dancing in the streets.
“It’s a big volume. It gets lost as a number against the huge numbers we do but it is a very good kick off for a new trade.”
In March, lithium concentrate was included as an approved product for export from the Port Hedland Eastside berths, and now Mr Johnston said the PPA was planning to accommodate an anticipated ramp up of the product.
Advancing Ashburton
Chevron’s Wheatstone project, which ships liquefied natural gas out of the Port of Ashburton, was forecast to achieve throughput of 6.7 million tonnes of LNG shipment during 2018 and 2019.
Mr Johnston said there would be further opportunities to increase import and export capacities once PPA accepted the transfer of the Port of Ashburton facilities later this year.
The PPA for now would continue its marine operations to provide overwatch of port activities and vessel traffic services.
“Final handover will be later this year when second gas comes on, which is only months away,” he said.
Outlook
Mr Johnston said PPA’s focus for the rest of the year would be to complete its growth projects.
“There are some I have not mentioned like the replacement of the deck on berth 3, which will cost about $30 million,” he said
“Apart from that, our second focus for the year is to keep an eye on the lithium concentrate exports ensuring they start up successfully.
“Thirdly, we are halfway through mustering season and I want to make sure we can facilitate live exports successfully for the second year in a row.”
“We met all demands as the [lithium] market lifted from near zero to 3 million tonnes in a year, which is a big lift.”