Australia approves Adanis $2.2-bn rail line for coal project

Written by fe Bureau | Ahmedabad | Updated: Aug 15 2014, 08:10am hrs
Adani Mining Pty, the Australian subsidiary of Ahmedabad-based Adani Enterprises, has received approval for execution of the Galilee Basin rail line project. The nod follows the Australian Federal governments recent decision to give environmental approval to Adani Mining's $16.5 billion Carmichael Coal Mine in Queensland. Earlier, in July, Adani had announced that it had signed an agreement with POSCO E&C, a subsidiary of the South Korean construction company, POSCO, as the EPC contractor and joint venture partner on the North Galilee Basin Rail (NGBR) project.

The NGBR represents a significant milestone for infrastructure development in Queensland. The state's first standard gauge rail line, it will underpin greatly expanded and vital export opportunities across the basin, providing a lasting legacy of infrastructure to this state beyond our already significant port and mine investments here, said Adani Enterprises in a statement filed with the BSE.

Welcoming the decision, Patrick Suckling, Australia's High Commission to India, said, The 300-km rail line will be a key link connecting the Carmichael coal mine west of Moranbah to the port of Abbot Point. The proposed standard gauge greenfield rail line will cost $2.2 billion and be able to transport 100 million tonnes of coal a year.