MARKETS

Dudgeon Point coal terminal canned

THE decline in the coal market has claimed another casualty – the proposed Dudgeon Point coal terminal in North Queensland.

Lou Caruana
Dudgeon Point coal terminal canned

This follows the cancellation of Glencore’s proposed Balaclava Island coal terminal, BHP Billiton’s Terminal 2 project at Abbot Point, and Lend Lease’s contribution to the AP-X project.

North Queensland Bulk Ports said it had withdrawn plans to develop the Dudgeon Point coal and asked the Queensland coordinator-general to cancel the declaration of the Dudgeon Point coal terminal project as a coordinated project.

The Environment Impact Statement studies for the project were paused last year as demand for the new terminals was reassessed after an industry-wide downturn in the coal market.

NQBP CEO Brad Fish said: “Although this particular development proposal will be withdrawn, it does not necessarily indicate that expansion to the coal export facilities will not be required at the Port of Hay Point in the future.

“Those interested in port development must demonstrate demand and current and short-term forecast market demand for coal does not support an expansion to the capacity proposed in the Dudgeon Point coal terminal project.”

The NQBP intends to complete a port master planning exercise over the coming year to comply with the proposed Queensland Ports Strategy and then revisit the scope of the Dudgeon Point project.

Recent strategic assessments of the Great Barrier Reef will be considered as part of the port planning.

“Coal export facilities may be required at Dudgeon Point in the future,” Fish said.

“With appropriate environmental and social planning and approval conditions, any future expansion of Port of Hay Point can make a sustainable contribution to the economic growth and social well-being of Queensland.”

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