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Australia waits on new Abbot Point dredging plan

  • Spanish Market: Coal, Coking coal, Metals
  • 04/09/14

Proponents of the expansion of Queensland's Abbot Point coal port could bring forward new proposals to address a major environmental concern, Australia's environment minister has said — raising hopes that resistance to the port expansion can be overcome.

Expansion of the Abbot Point port, which would open large coal deposit developments in the Galilee Basin up to export, has faced threats of curtailment since the government approved plans to dump large volumes of waste material near the Great Barrier Reef marine park — home to the world's largest coral system. But alternative on-land dumping proposals could offer a lifeline to the project.

"The minister has publicly and clearly stated that if the proponents bring forward a plan for on-land disposal, he will consider it on its merits and in accordance with national environment law," a spokesman for environment minister Greg Hunt said.

The government has not yet received a new plan for dredging at Abbot Point, although proponents including port authority North Queensland Bulk Ports have said they will consider on-shore disposal of dredge spoil as an alternative to disposing in the sea.

Canberra has already given approval for any dredging at the 50mn t/yr Abbot Point to dump 3mn m³ of waste material near the Great Barrier Reef marine park. But widespread opposition has hampered these plans, with a Greens party senate inquiry calling for a temporary moratorium on dumping in the reef until an expert panel has reviewed its impacts. The plan has also raised concerns at UN heritage body Unesco, which has deferred until next year a decision on whether the Great Barrier Reef should be put on its endangered list because of coal and LNG port developments on Queensland's coast.

An expansion of the Abbot Point is associated with the development of coal deposits in the Galilee basin where several projects are being promoted by their owners, which include Indian infrastructure firms Adani and GVK, US investment group AMCI, Australia's Hancock Prospecting, Bandanna Energy, Chinese state-backed Waratah Coal and China's Meijin.

The most advanced of the Galilee projects is the A$16.5bn ($15.35bn) 60mn t/yr Carmichael thermal coal project, which is operated by Adani, which is also the operator of the existing coal export terminal at Abbot Point.

km/rjd

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