BHP Billiton, Centennial, Donaldson, Peabody l, Felix, Whitehaven plan new coal terminal at Kooragang, on NSW Hunter river

“The new coal terminal and shiploading facilities to be built near Kooragang, will include new rail infrastructure, stockyards and a deepening of the Hunter River,” he said. “The consortium building the terminal facilities — the Newcastle Coal Infrastructure Group (NCIG) — has estimated the project will create up to 1000 extra jobs in the Hunter, boosting coal exports by $1 billion and generating up to 5000 jobs across NSW.”

Who’s who: The NCIG is made up of BHP Billiton, Centennial Coal, Donaldson Coal, Peabody Energy Australia Coal, Felix Resources and Whitehaven Coal, reported The Australian Financial Review, (28/9/2007), p. 26.

Support from Federal Treasurer: Treasurer, Costello said overcoming infrastructure bottlenecks was a key economic priority for Australia. “The current bottlenecks have resulted in delays and unnecessary costs for exporters,” he said. “Earlier this year, there were lengthy queues of empty ships off the major east coast coal ports waiting to load cargoes bound for the thriving North Asian markets. “I welcome the massive investment being undertaken by NCIG to help overcome the bottlenecks that have unnecessarily cost Australia jobs and growth.”

Port Waratah model: Port Waratah’s controlling shareholders, Rio Tinto subsidiary Coal & Allied Industries, and Xstrata Coal, now argue that both NCG and an expansion of the existing terminal are needed to keep up with demand. Xstrata has also gained an interest in the development of the NCIG terminal, which will handle the coal from the Anvil Hill mine, which it earlier this month agreed to buy from Centennial for $425 million.

The Australian Financial Review, 28/9/2007, p. 26