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.
Net Present Value/Internal Rate of Return
Not stated.
Capital Expenditure
The entire project is expected to cost A$16.5-billion.
Planned Start/End Date
Not stated.
Latest Developments
The Queensland government and Adani have extended the target date to conclude a royalty deferral and repayment agreement for the Carmichael coal mine.
The agreement is now targeted for completion by the end of November this year.
Deputy Premier and Treasurer Jackie Trad has said that the royalties deferred under the agreement will have to be repaid in full, with interest, and with security of payment in place.
The precedent for a royalties deferral and repayment agreement was set in August this year, when New Century concluded an agreement for its zinc mine in the North West minerals province.
Adani has said that the start of construction at Carmichael will not depend on the finalisation of the Resources Regional Development Framework negotiations.
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).
On Budget and on Time?
The project has been delayed for years, as opposition from environmental groups has led banks to steer clear of funding what will be the biggest coal mine in the country.
Contact Details for Project Information
Adani Mining, tel + 61 7 3223 4800, fax + 61 7 3223 4850 or email Reception.Australia@adani.in.