Carmichael coal mine project, Australia
Name of the Project
Carmichael coal mine project.
Location
The project is located about 160 km north-west of Clermont, in Queensland, Australia.
Client
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 produce 27.5-million tonnes of coal a year.
Coal will be transported from the Carmichael mine to the Port of Abbot Point using a 200 km narrow-gauge rail network that connects to existing rail infrastructure, delivering a seamless international freight transport network.
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.
Value
The project is expected to cost A$2-billion to implement.
Duration
Not stated.
Latest Developments
A rare bird could threaten the development of the Carmichael coal project, Adani has revealed.
The Queensland Department of Environment and Science told the Indian major in December that it was referring Adani’s Black-throated Finch management plan to an external panel for review, despite an assessment process that had spanned 18 months.
However, Adani raised concerns that five out of the six review panel members were part of the Threatened Species Recovery Hub, which had made anticoal and anti-Adani statements in the past.
The panel has now released the draft report, which Adani says reads “like an anticoal, antimining, anti-Adani lobbying brochure”.
“This draft report contains false and inaccurate statements about the management plan, includes sections that directly contradict advice from the Queensland government itself, and even contains unverified opinions regarding climate change and other projects in the Galilee basin, which are completely outside the scope of the Black-throated Finch management plan,” a spokesperson for Adani has said.
“The point of a management plan is to demonstrate how a business will meet the conditions of its environmental authority. This draft report has strayed so far beyond this requirement that the report is of no value. The draft report represents nothing more than a shopping list of ideas and suggestions that do not correspond with the Environmental Authority conditions or the relevant legislative framework.
“It also demonstrates the lack of capability of the panel to assess such a management plan, when they have no idea of its purpose in practice.
“If the Queensland government accepts any part of this report, it means their own Department of Environment’s work over the past 18 months is at best, incompetent, and at worst, using purposeful delay tactics to slow down the delivery of the Carmichael project and the thousands of jobs it will provide,” the spokesperson has said.
Adani has written to the Department of Environment and Science to once again express its “serious concerns” regarding this review process and the draft report, and is awaiting feedback on the report.
“The Queensland government keeps shifting the goal posts for Adani. Adani needs clarity on timing and process from the Queensland government so it can get on with delivering thousands of jobs for regional Queenslanders who desperately need them. We are simply seeking a fair go.”
The Carmichael project was granted its Environmental Authority in 2016, and has been granted mining leases, water licences and several other approvals, including federal approval from the Department of Environment and Energy.
Meanwhile, the Greens party is also trying to block the development of the Carmichael project, through the Resources (Galilee Basin) Amendment Bill (Queensland), which is being assessed by a Parliamentary Committee.
If passed, the legislation would ban coal mining in the Galilee basin.
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.
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