April-May maintenance to close Australian coal systems
Australian rail firm Aurizon will close the 50mn t/yr Blackwater coal system in Queensland over 13-17 April for maintenance, with further closures scheduled for May.
The firm, which operates the Central Queensland Coal Network (CQCN), confirmed that it plans to close its 60mn t/yr Goonyella system during 1-3 May, its 15mn t/yr Moura system for 14-16 May and Blackwater again during 27-29 May, as part of an annual planned maintenance programme. The only CQCN system not included in the maintenance programme is the 15mn t/yr Newlands system.
Blackwater and Moura deliver coal to the port of Gladstone from the southern end of the Bowen basin. Goonyella delivers to the adjacent ports of Dalrymple Bay Coal Terminal, which is a multi-user facility, and BHP-operated Hay Point from the central Bowen basin. Newlands delivers to Abbot Point from the northern Bowen basin.
Aurizon, Pacific National, BHP and some smaller coal haulage operators use the CQCN.
Aurizon is targeting a 5pc year-on-year growth in coal haulage by its fleet across the CQCN and New South Wales/southern Queensland in the 2023-24 fiscal year to 30 June. This implies a target of 194mn t for 2023-24. It hauled 94mn t during July-December, leaving it a target of 100mn t for January-June.
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Mitsui makes delayed exit from Paiton power project
Mitsui makes delayed exit from Paiton power project
Tokyo, 1 May (Argus) — Japanese trading house Mitsui completed on 30 April the ¥109bn ($690mn) sale of its stake in Indonesia's 2,045MW Paiton coal-fired power plant in east Java following multiple delays. Mitsui originally tried to complete its exit by the end of March 2022 . It said the procedures with Paiton's offtaker Indonesian state-owned power firm Persero took more time than expected without providing further details. Japanese thermal power producer Jera withdrew from Paiton by selling its 14pc share in 2021. Mitsui sold its 45.515pc share in Paiton Energy, as well as a 45.515pc stake in Netherlands-based subsidiary Minejesa Capital and a 65pc stake in Singapore-based IPM Asia that are related companies of the Paiton project. Mistui sold the stakes to RH International (RHIS), which is a Singapore-based subsidiary of Thai power producer Ratch, and Indonesian power company Medco Daya Abadi Lestari's subsidiary Medco Daya Energi Sentosa (MDES). Paiton Energy is now owned by RHIS, MDES and Qatar-based company Nebras Power. Mitsui did not disclose their ownership ratios. Paiton consists of the 615MW No.7, 615MW No.8 and the 815MW No.3 units, which sell electricity to Persero through an unspecified long-term contract. Mitsui now holds 9.6GW of power capacity assets globally, with 8pc being coal-fired projects. The exit from Paiton cut its coal-fired ratio by 8 percentage points, while raising its renewable ratio by 3 percentage points to 32pc. Growing global pressure against coal-fired power generation likely prompted Mitsui to exit Paiton. Energy ministers from G7 countries this week pledged to accelerate "efforts towards the phase-out of unabated coal power generation". By Nanami Oki Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
New US rule may let some shippers swap railroads
New US rule may let some shippers swap railroads
Washington, 30 April (Argus) — US rail regulators today issued a final rule designed to help customers switch railroads in cases of poor rail service, but it is already drawing mixed reviews. Reciprocal switching, which allows freight shippers or receivers captive to a single railroad to access to an alternate carrier, has been allowed under US Surface Transportation Board (STB) rules. But shippers had not used existing STB rules to petition for reciprocal switching in 35 years, prompting regulators to revise rules to encourage shippers to pursue switching while helping resolve service problems. "The rule adopted today has broken new ground in the effort to provide competitive options in an extraordinarily consolidated rail industry," said outgoing STB chairman Martin Oberman. The five-person board unanimously approved a rule that would allow the board to order a reciprocal switching agreement if a facility's rail service falls below specified levels. Orders would be for 3-5 years. "Given the repeated episodes of severe service deterioration in recent years, and the continuing impediments to robust and consistent rail service despite the recent improvements accomplished by Class I carriers, the board has chosen to focus on making reciprocal switching available to shippers who have suffered service problems over an extended period of time," Oberman said today. STB commissioner Robert Primus voted to approve the rule, but also said it did not go far enough. The rule adopted today is "unlikely to accomplish what the board set out to do" since it does not cover freight moving under contract, he said. "I am voting for the final rule because something is better than nothing," Primus said. But he said the rule also does nothing to address competition in the rail industry. The Association of American Railroads (AAR) is reviewing the 154-page final rule, but carriers have been historically opposed to reciprocal switching proposals. "Railroads have been clear about the risks of expanded switching and the resulting slippery slope toward unjustified market intervention," AAR said. But the trade group was pleased that STB rejected "previous proposals that amounted to open access," which is a broad term for proposals that call for railroads to allow other carriers to operate over their tracks. The American Short Line and Regional Railroad Association declined to comment but has indicated it does not expect the rule to have an appreciable impact on shortline traffic, service or operations. Today's rule has drawn mixed reactions from some shipper groups. The National Industrial Transportation League (NITL), which filed its own reciprocal switching proposal in 2011, said it was encouraged by the collection of service metrics required under the rule. But "it is disheartened by its narrow scope as it does not appear to apply to the vast majority of freight rail traffic that moves under contracts or is subject to commodity exemptions," said NITL executive director Nancy O'Liddy, noting it was a departure from the group's original petition which sought switching as a way to facilitate railroad economic competitiveness. The Chlorine Institute said, in its initial analysis, that it does not "see significant benefit for our shipper members since it excludes contract traffic which covers the vast majority of chlorine and other relevant chemical shipments." By Abby Caplan Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
First TMX cargo booked on Aframax to China
First TMX cargo booked on Aframax to China
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G7 countries put timeframe on 'unabated' coal phase-out
G7 countries put timeframe on 'unabated' coal phase-out
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