Xstrata plans $930 mln Australia coal port
Xstrata Plc , the world's No. 1 exporter of steam coal, plans to build a new A$1 billion ($927.6 million) coal port in Australia, it said on Friday.
The proposed Balaclava Island coal export terminal will have an export capacity of up to 35 million tonnes a year and will ship coal from the Bowen and Surat basins in the northeastern state of Queensland, said a spokesman from Xstrata's coal unit in Australia.
Xstrata said the port, which will be able to accomodate vessels of up to 110,000 tonnes, will help alleviate congestion at three other coal terminals in Queensland, located at Gladstone, Dalrymple Bay and Abbot Point.
Most of Australia's coal ports are dogged by infrastructure constraints and suffer from endemic congestion, with the bottlenecks resulting in lengthy queues of ships waiting for berths.
The ship queues and lengthy waiting times for vessels to load coal have in recent years become a big headache for Australian coal miners, as the logjams have crimped their sales and cost them millions of dollars in shipping penalties.
According to documents filed with the federal environment department, Xstrata said existing port capacities and known future port expansions will not be able to handle its production growth expectations.
The Balaclava port will service increased production at Xstrata's Rollestone and Oaky Creek coal mines, the documents showed.
Xstrata hopes to start construction of the port in 2012 and for the facility to be operational by 2014.
The proposed Balaclava Island coal export terminal will have an export capacity of up to 35 million tonnes a year and will ship coal from the Bowen and Surat basins in the northeastern state of Queensland, said a spokesman from Xstrata's coal unit in Australia.
Xstrata said the port, which will be able to accomodate vessels of up to 110,000 tonnes, will help alleviate congestion at three other coal terminals in Queensland, located at Gladstone, Dalrymple Bay and Abbot Point.
Most of Australia's coal ports are dogged by infrastructure constraints and suffer from endemic congestion, with the bottlenecks resulting in lengthy queues of ships waiting for berths.
The ship queues and lengthy waiting times for vessels to load coal have in recent years become a big headache for Australian coal miners, as the logjams have crimped their sales and cost them millions of dollars in shipping penalties.
According to documents filed with the federal environment department, Xstrata said existing port capacities and known future port expansions will not be able to handle its production growth expectations.
The Balaclava port will service increased production at Xstrata's Rollestone and Oaky Creek coal mines, the documents showed.
Xstrata hopes to start construction of the port in 2012 and for the facility to be operational by 2014.