Name of the Project
Carmichael coal mine project.

Location
The project is located about 160 km north-west of Clermont, in Queensland, Australia.

Project Owner/s
Adani Mining, a wholly owned subsidiary of India’s Adani Group.

Project Description
The Carmichael project is a thermal coal mine and rail project, which will transport coal from the Galilee basin to countries in Asia, including India, Vietnam and China.

Although the project has the approvals to produce up to 60-million tonnes of coal a year, the mine will initially produce ten-million tonnes a year and ramp up to 27.5-million tonnes of coal a year in the first stage.

The reduced plan requires only a 200 km rail spur connecting to Aurizon Holdings’ rail line, rather than a new 388 km competing line, and no port expansion.

Potential Job Creation
The project will deliver more than 1 500 direct jobs for the mine and rail projects during the initial ramp-up and construction phase, and will support thousands more indirect jobs, all of which will benefit regional Queensland communities.

All-in Sustaining Costs/All-in Costs
Not stated.

Net Present Value/Internal Rate of Return
Not stated.

Capital Expenditure
The project is expected to cost A$16.5-billion.

Planned Start/End Date
Not stated.

Latest Developments
Siemens president and CEO Joe Kaeser said during a press conference this month that the company might not have decided to get involved in the Carmichael coal project, had it been aware of anticoal sentiments in the region.

Siemens signed a contract with Indian major Adani in December 2019 to provide signalling for the project, a move that has caused a significant backlash from environmental groups.

Siemens announced in January that it had decided to uphold the contract, with Kaeser explaining at the time that the Carmichael project had been approved by the local and federal governments, Australian courts and the indigenous people in the region, with the environmental approvals process including a number of public consultations.

Kaeser said that correspondence from then Minister for Resources and Northern Australia Matthew Canavan had also indicated that the Australian people had "clearly voted to support Adani at the federal election in May 2019, especially in regional Queensland", and that it "would be an insult to the working people of Australia and the growing needs of India to bow to the pressure of anti-Adani protestors".

He further noted that there was practically no legally and economically responsible way to unwind the contract with Adani without neglecting fiduciary duties, and given that competing offers had been made for the signalling system, the project would have gone ahead regardless of Siemens’ involvement.

However, Kaeser noted that Siemens had secured the right to pull out of the contract if Adani violates the stringent environmental obligations at Carmichael.

Kaeser said that, as Siemens had said that it would be climate neutral by 2030, and would reduce its emissions by 50% by this time, it seemed "almost grotesque" that a large number of environmental activists had targeted the company because of the signalling system being provided for Adani.

Key Contracts and Suppliers
Downer Mining (construction and operation of the mine); Austrak (concrete sleepers); Arrium Mining and Materials (railway tracks) and GA Services (refurbishment of camp accommodation).

Contact Details for Project Information
Adani Mining, tel + 61 7 3223 4800, fax + 61 7 3223 4850 or email Reception.Australia@adani.in.