Green light for QR's Northern Missing Link

By Rob McKay
Source: Lloyd’s List Daily Commercial News

The Goonyella to Abbot Point project includes the 69km Northern Missing Link, which connects the Goonyella coal rail system to the Newlands rail system, as well as upgrades to the Newlands system.
Premier Anna Bligh said the five companies which have agreed on the central Queensland project are BHP Billiton, Rio Tinto, Macarthur Coal, Lake Vermont Resources and QCoal.
"Construction will begin in early May with completion of the Northern Missing Link targeted for January 2012, consistent with the timing requested by the coal companies,” Bligh said.
Bligh said the Goonyella-Abbot Point expansion would "open a whole new transport corridor for coal companies, giving them a huge increase in export capacity for their existing mines and for future mining developments in the region.
"This project will support the $845 million expansion at the Abbot Point Coal terminal, which is underway and committed to by coal companies.”
QR Network executive general manager Michael Carter said earthworks would start next month at three locations to prepare the new rail corridor for the Northern Missing Link.
"We will combine our specialist rail design and engineering capability with companies that can bring civil engineering, construction, and signalling expertise to the project," he added.
QR chief executive Lance Hockridge said the completion of contracts with the miners was the final step before construction could begin, marking a great step forward for customers.
"This is an important milestone for QR as we prepare for the privatisation of our coal and freight operations. It confirms the tremendous growth potential for our business," Hockridge said.
The endorsement allowed QR Network to execute a 15-year take-or-pay contract with Middlemount Coal, the Macarthur Coal/Noble Group joint venture.
The contract is for track access of up to 3mtpa from the Middlemount Mine to Abbot Point from January 1st, 2012.
The 3mtpa rail access arrangement matches the 3mtpa Abbot Point port contract previously secured by Macarthur Coal.

Source: www.lloydslistdcn.com.au