While the original schedule would have seen DBCT producing 85Mtpa by the end of the 2008 calendar year, heavy rains and flooding in the Mackay area in January and February this year have led to the final stage of the project being split into two parts.

BBI said that approximately 45% (by cost) of Phase 2/3 is still anticipated to be complete by December 2008, which will see DBCT's capacity increase to 72Mtpa, while the balance of Phase 2/3 will increase capacity at the coal terminal to 85Mtpa by the end of the first quarter of calendar year 2009.

BBI chief executive Jeff Kendrew said there was potential for the project to be completed by the original date; however, this would have meant extra costs and risks to stakeholders.

“We held discussions with all stakeholders and were all collectively of the view that spending additional costs in excess of the original budget to complete the entire Phase 2/3 expansion by December 2008 was economically unjustified," Kendrew said.

Under the revised approach, Kendrew said a balance could be achieved between maximising the export of coal through the terminal and minimising costs to DBCT's customers.