QR, working with private sector partners, will finance and manage the Bauhinia Regional Rail project to design and construct a 110 kilometre spur line to link the region’s new Rolleston Coal Mine with QR’s existing rail network near Blackwater.
“At a cost of more than $240 million, this project is a significant investment in both the State’s rail network and the coal export industry,” according to group general manager of QR Network Access, Stephen Cantwell.
Xstrata coal, which operates the Rolleston Coal Mine, have committed to haul 8 million tonnes of domestic and export coal to Gladstone by 2008.
“Over the past ten years, QR has invested $6 billion to upgrade rail infrastructure in Queensland, including about $726 million in coal network projects,” Cantwell said.
He said that a number of major QR infrastructure projects would contribute to positive growth in Queensland’s export coal tonnages.
“The construction of a $112 million rail spur to the Hail Creek mine, will lead to an additional 5.5Mt of export coal per year on the network. A six kilometre spur line to service the Moorvale mine coal deposits will add 2Mt of export coal per year,” he said.
QR is the largest and most significant coal transport company in Australia. It plays a key role in Queensland’s coal mining sector, this year expecting to haul in excess of 144Mt of coal – up 40% from five years ago. Last year, QR hauled 138.6Mt of bulk coal – an Australian record for a single commodity.
Bulk coal accounts for the major share of QR freight traffic with the amount of coal hauled by QR now double that transported 10 years ago.
Forecasts for growth in Queensland coal exports remain strong, with significant increases expected in thermal coal.
“Our clear agenda is to make certain that where extra coal tonnages can be placed on the world market that this is done by an Australian producer,” Cantwell said.
“Assessing the needs of the mining industry in Queensland is a high priority for QR. We work closely with them to make sure we balance between oversupplying the market with infrastructure and meeting their needs.
“In addition, QR facilitates strategic planning forums with industry user groups to coordinate the needs of Queensland customers, mines, rail and port operators.”
