Australian Coal Port $10-bln Extension Shelved

Posted by George Backwell
Friday, June 20, 2014

A proposed $10 billion Australian coal port expansion, one of two port expansions planned near the Great Barrier Reef, was shelved by its sponsors on Friday who pointed to a lack of demand for the extra capacity.

The Dudgeon Point coal terminal project, designed to handle 180 million tonnes a year, was withdrawn on Friday ahead of a deadline for submitting all the studies for its application for environmental approval.

The decision came in the wake of a slide in coal prices to five-year lows that has forced miners, led by BHP Billiton Ltd and Glencore, to cancel coal projects, shut mines and sack thousands of workers.

The two-terminal project was backed by India's Adani Enterprises Ltd and a subsidiary of Brookfield Infrastructure and led by ports operator North Queensland Bulk Ports Corp (NQBP).

"Those interested in port development must demonstrate demand and current and short-term forecast market demand for coal does not support an expansion to the capacity proposed in the Dudgeon Point Coal Terminals Project," NQBP Chief Executive Brad Fish said in a statement.

NQBP is also involved in plans to expand another coal port, Abbot Point, in Queensland, which faces a legal challenge by green groups and marine tourist operators concerned about potential harm to the Great Barrier Reef.

They fear the Abbot Point project, which involves dredging and dumping 3 million cubic metres of sand about 25 kilometres (15 miles) away from the reef, could harm corals and a range of marine life on the reef.

The Dudgeon Point project would have involved dredging about five times the amount of sand.

The Australian and Queensland governments are under pressure from United Nations agency UNESCO's World Heritage Committee to take more action to protect the Great Barrier Reef otherwise it may be put on a list of sites in danger next year.

Bowing to those concerns, Fish said NQBP would do a broad port planning review and revise the scope of the Dudgeon Point project at the port of Hay Point, but gave no timeframe for completing that work.

"Recent strategic assessments of the Great Barrier Reef will be considered as part of the port planning," NQBP said.

Adani spokesman Craig Dowling said Adani remained interested in building a terminal at Dudgeon Point, but said Adani plans to use Abbot Point for its A$16.5 billion Carmichael coal and rail project.

"We have not changed our view, but we are happy to go along with the new master plan," Dowling said.

($1 = 1.0639 Australian Dollars)

(By Sonali Paul;

Maritime Reporter June 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

People & Company News

NSRP Risk Management Panel and SCA Joint Meeting

The National Shipbuilding Research Program (NSRP) Risk Management Panel will be meeting jointly with the Shipbuilders Council of America (SCA) November 5-6, 2014 in Virginia Beach, Va.

WEG to Showcase Drive Solutions at SMM

WEG, a global supplier of drive systems, will showcase its range of systems for the shipbuilding and offshore industry at this year’s SMM (Shipbuilding, Machinery & Marine Technology Fair) in Hamburg.

Kirby Reports Record Q2 2014

Record 2014 second quarter earnings per share of $1.31 compared with $1.11 in the 2013 second quarter, which included a $0.07 benefit due to the reduction of the United earnout liability.

Ports

Redwood City Sees Cargo Movement Boost

Port of Redwood City reports 19% increase in cargo movement; highest since 2006 and third highest in modern history Reflecting a significant increase in construction

Montreal Could Become an Oil Export Hub

Montreal has emerged as an export base for Western Canadian heavy sour crudes as prospects to construct new pipelines to the British Columbia coast, Eastern Canada and U.

Fifth Tanker of Iraqi Kurdish Oil Loading in Turkey

The fifth cargo of crude oil from Iraqi Kurdistan was being loaded at Turkey's Mediterranean port of Ceyhan on Thursday and the tanker was scheduled to depart on Friday, Turkish energy officials said.

Finance

Kurdistan Says Crude Cargo Near Texas Legally Sold

A $100 million cargo of crude oil in a tanker near Texas was legally shipped and sold by Kurdistan, lawyers for the autonomous region in Iraq told a U.S. court in a letter seen on Thursday,

Kirby Reports Record Q2 2014

Record 2014 second quarter earnings per share of $1.31 compared with $1.11 in the 2013 second quarter, which included a $0.07 benefit due to the reduction of the United earnout liability.

UK Oil Imports Exceed Exports for First Time in 30 Years

Britain imported more oil products than it exported last year for the first time in 30 years, an official report shows, and analysts say the country is likely to

Energy

US DOE Approves Oregon LNG Export Project

The U.S. Energy Department said on Thursday it has approved Oregon LNG to export liquefied natural gas, as the Obama administration works through applications to

Kurdistan Says Crude Cargo Near Texas Legally Sold

A $100 million cargo of crude oil in a tanker near Texas was legally shipped and sold by Kurdistan, lawyers for the autonomous region in Iraq told a U.S. court in a letter seen on Thursday,

Kirby Reports Record Q2 2014

Record 2014 second quarter earnings per share of $1.31 compared with $1.11 in the 2013 second quarter, which included a $0.07 benefit due to the reduction of the United earnout liability.

 
 
Maritime Security Maritime Standards Offshore Oil Pipelines Port Authority Salvage Ship Repair Shipbuilding / Vessel Construction Sonar Winch
rss | archive | history | articles | privacy | terms and conditions | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1952 sec (5 req/sec)