Adani has ditched plans to build a new rail line from Abbot Point to get coal out of Queensland’s Galilee Basin, opting for a cut-price solution using existing lines.
The Indian miner had planned to build a new 388km line from its controversial Carmichael mine to Abbot Point for export, but now says it will “instead leverage existing rail infrastructure”.
The new proposal will make use of the existing Aurizon rail infrastructure that runs to Abbot Point. A new narrow-gauge rail line of about 200 km would be constructed to connect the existing network to the Carmichael mine site, reducing the length of the track Adani would have to build by 188km, and significantly reducing the cost.
Adani’s original proposal was for a 388km standard gauge track that was expected to cost $2.3bn. The move follows the Queensland government’s decision to veto any federal loan to support that aspect of the project.
“By connecting to the existing network we can fast-track project delivery, reduce capital expenditure and deliver coal more quickly to countries in Asia,” Adani Mining’s chief executive, Lucas Dow, said in a statement on Thursday.
For the rest of this article: https://www.theguardian.com/business/2018/sep/13/adani-ditches-plan-to-build-rail-line-for-carmichael-coalmine