Expected to boost coal exports by $A1 billion, the coal terminal and ship loading facilities will be built near Kooragang in a project that will also include new rail infrastructure, stockyards and deepening of the Hunter River.

 

Treasurer Peter Costello endorsed the new terminal under the Federal Government's foreign investment policy saying : "I welcome the massive investment being undertaken by NCIG to help overcome the bottlenecks that have unnecessarily cost Australia jobs and growth."

 

"Overcoming infrastructure bottlenecks, including in the coal export sector in New South Wales and Queensland, is a key economic priority for Australia.

 

"The current bottlenecks have resulted in delays and unnecessary costs for exporters. Earlier this year, there were lengthy queues of empty ships off the major east coast coal ports waiting to load cargoes bound for the thriving north Asian markets."

 

The new terminal will be built and operated by NCIG members BHP Billiton, Centennial Coal, Donaldson Coal, Peabody Energy Australia Coal, Felix Resources and Whitehaven Coal.