New milestone for Abbot Point expansion

Published Wednesday, 10 April, 2013 at 12:07 PM

Deputy Premier, Minister for State Development, Infrastructure and Planning
The Honourable Jeff Seeney

The proposed new Abbot Point coal loading expansion has moved to the next critical phase after the Newman Government invited two proponents to move to Stage Two.

Deputy Premier and Minister for State Development, Infrastructure and Planning Jeff Seeney today announced mining group Anglo American, as well as NorthHub - an Aurizon and Lend Lease joint venture - had both been shortlisted for the potential staged expansion of coal handling infrastructure at Abbot Point (AP-X).

“The export coal sector is a critical part of the state’s economy and infrastructure needs,” Mr Seeney said.

“Coal is the state’s leading export earner.

“The Port of Abbot Point is a strategic state asset and any expansion needs to be managed carefully.

“It was clear the industry was not supportive of the multi-cargo facility (MCF) put forward by the previous Labor Government.

“The proposals outlined by the Bligh Government were never going to come to reality. They were unrealistic and undeliverable.

“Any future plans for the port at Abbot Point will need to take into consideration the short and long-term needs of industry.

“In the coming weeks, the government will enter into negotiations with these two groups around Preferred Proponent Agreements and we intend to work with each group to assist them in preparing terminal development proposals.”

Mr Seeney said the Government anticipated there may be a need to further expand coal export capacity at Abbot Point as new coal mining projects emerged, particularly in the Galilee Basin.

He said the AP-X process was designed at the outset to encourage incremental terminal expansion and development over time.

“Further demand for terminal development may be considered beyond 2013 and once the capacity of current proposals was further understood,” he said.

“The government wants to ensure ‘open access’ arrangements are available to companies which are not able to fund terminal developments themselves and wish to access terminal capacity on commercial terms in the future.

“The government will facilitate the dialogue necessary for these companies to have the opportunity to negotiate suitable commercial arrangements with the preferred proponents.”

Mr Seeney said respondents to the AP-X Registration of Interest process would be able to seek feedback on their submissions from the project team.

Member for Burdekin Rosemary Menkens said it was an exciting time for the region with the Deputy Premier and this LNP government clearly backing Abbot Point and the people of North Queensland.

“Projects like these have the potential to create thousands of jobs and provide billions of dollars in export revenue and royalties which will flow on to our towns.”

[ENDS] 10 April 2013

Media Contact: John Wiseman – 0409 791 281 or Kate Haddan – 0418 373 516