Coal Infrastructure Program of Actions 2008

Coal Infrastructure Program of Actions
Identifying the needs of Queensland’s coal industry,
including rail, ports, rollingstock, water, skills, energy
and housing and planning
© The State of Queensland (Department of Infrastructure and Planning) 2008.
Published by the Queensland Government, June 2008, 100 George Street, Brisbane 4000.
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#0152 04/08
Introduction
Maintaining Queensland’s position as the world’s leading coal exporter
depends on its ability to deliver timely and cost effective coal infrastructure.
In 2005 the Queensland Government, with the support of the Queensland
Resources Council, developed the Coal Infrastructure Program of Actions to
ensure timely delivery of infrastructure to meet the short- and medium-term
demands of the Queensland coal industry.
Coal is Queensland’s most important export commodity. In 2006–07,
164 million tonnes (Mt) of coal were railed in Queensland with 153.5 Mt
exported to markets including Japan, China, Korea and India.
Recently, global demand for Queensland coal has increased substantially and
export growth is forecast to remain strong. Queensland Government and the
coal industry are investing heavily in providing the infrastructure needed to
capitalise on this growth and to meet customers’ expectations.
The figures provided are current as at December 2007.
Coal Infrastructure Program of Actions
1
Coal Infrastructure Program of Actions 2005
The Coal Infrastructure Program of Actions 2005 identified
infrastructure needs of the coal industry to 2009-10. The program
was based on an annual growth rate of 8.5 per cent to 215
million tonnes per annum (Mtpa) by 2010. The endorsed program
comprised:
$1.8 billion of coal infrastructure projects already committed
$2.4 billion of projects to expand coal production to 215 Mtpa
s trategic infrastructure planning to cater for coal demand
increasing to 235 Mtpa.
2
While coal transport infrastructure was the focus of the Coal
Infrastructure Program of Actions, it also recognised that continued
growth relied on the availability of adequate water and power, an
appropriately skilled workforce and social and housing infrastructure
to support the workforce.
In 2007 Queensland Government audited progress on
implementation of the program and identified the infrastructure
required to meet future global demand. The audit was conducted
by the Coal Infrastructure Taskforce within the Department of
Infrastructure and Planning. Information was provided by key
stakeholder agencies involved in the provision of coal-related
infrastructure and was current as at December 2007.
Coal Infrastructure Program of Actions 2008
Audit findings indicate that the value of committed and planned
coal-related infrastructure under the Coal Infrastructure Program of
Actions increased from $4.2 billion in 2005 to $19.3 billion in early
2008. This infrastructure includes:
Under the 2008 program significant planning work has been
undertaken for major infrastructure projects including:
G
oonyella to Abbot Point Expansion Project
(including the Northern Missing Rail Link)
rail—$1 billion committed and $4.6 billion planned
Abbot Point Coal Terminal Stage 3 expansion to 50 Mtpa
additional rollingstock—$2.1 billion
Wiggins Island Coal Terminal at Gladstone
ports—$2.5 billion committed and $7.2 billion planned
water—$445 million
S
urat Basin Railway (previously known as
the Southern Missing Link)
energy—$1.3 billion
Moura Link – Aldoga Rail project.
skills—$25 million
housing and planning—$31 million.
Of the $19.3 billion in infrastructure projects identified in the
program of actions, approximately:
Recent expansion of existing coal transport infrastructure
has provided a marked increase in Queensland’s coal export
capabilities. This, combined with other planned major infrastructure
projects, will see the state well positioned to meet current and
future global demand for Queensland coal.
$2.8 billion has been completed
$3.4 billion has been committed
$13.1 billion is planned or under consideration.
Coal Infrastructure Program of Actions
3
Coal system capacity
Qualifications
Queensland’s four major coal infrastructure systems are the
Newlands, Goonyella, Blackwater/Moura and the Western systems.
The table below details:
T
he table below describes balanced system capacities
which represent the lowest nominal capacity of either the
port or rail infrastructure in a system.
capacity at the commencement of the program in 2005
c urrent capacity delivered to date under the program
in 2008
S
ome of the possible capacities listed below incorporate
projects which have been identified since completion of
the program of actions audit.
e xpected capacity resulting from projects planned for or
under consideration in 2008.
The nominal capacities listed below represent the maximum
achievable throughput. Queensland Government is working with
key stakeholders and has already made significant improvements to
ensure industry can utilise the full extent of the available capacity.
BELOW-RAIL AND PORT INFRASTRUCTURE
2005 CAPACITY (Mtpa)
2008 CAPACITY (Mtpa)
POSSIBLE CAPACITY (Mtpa)
Newlands Coal System capacity
15
19
100
Newlands Rail System
15
19
100#
Abbot Point Coal Terminal
16
21
100#
Goonyella Coal System capacity
88
100
160
Goonyella Rail System
93
100
160#
Dalrymple Bay Coal Terminal
54
68
105#
Hay Point Services Coal Terminal
34
44
55
Blackwater/Moura Coal System capacity
45
64
147
Blackwater/Moura Rail Systems
60
64
147*
RG Tanna Coal Terminal
40
68
73
Barney Point Coal Terminal
5
7
0
Wiggins Island Coal Terminal
0
0
85
Western Coal System capacity
4
5
9
Western Rail System
4
6
9
Fisherman’s Island Coal Terminal
5
5
10#
152
188
416
Total balanced capacity for all systems
*Includes proposed Surat Basin Railway
#Incorporates additional projects not known at the time of the audit which have been identified in the Coal Infrastructure in Queensland: Overview of
Future Expansion, 2008 document (see page 12 for details on accessing this document).
Rollingstock, as with below-rail and port infrastructure, can be a constraint to achieving the nominal capacities of a given system. Detail of
how rollingstock is being addressed is provided on page 14.
The map opposite features all four coal systems.
4
Queensland coal systems
Port of Abbot Point
ABBOT POINT COAL TERMINAL
Ports Corporation of Queensland (PCQ)
Bowen
Collinsville
2I[PERHW
7]WXIQ
MORANBAH
PIPELINE
Proposed
Northern
Missing
Rail Link
Port of Hay Point
Mackay
Newlands
DALRYMPLE BAY COAL TERMINAL
Babcock and Brown Infrastructure (BBI)
Jilalan
Hail Creek
HAY POINT SERVICES COAL TERMINAL
BHP Billiton Mitsubishi Alliance (BMA)
North Goonyella
Coppabella
Moranbah
Proposed
CONNORS RIVER DAM
+SSR]IPPE
7]WXIQ
Blair Athol
Dysart
Middlemount
Clermont
Tieri
Gregory
&PEGO[EXIV
7]WXIQ
Emerald
Rockhampton
Blackwater
Port of Gladstone
1SYVE
7]WXIQ
Minerva
Gladstone
Callide
Moura
R.G. TANNA COAL TERMINAL
Gladstone Ports Corporation (GPC)
Proposed
Moura Link
– Aldoga
Rail project
Banana
Rolleston
Proposed WIGGINS ISLAND COAL TERMINAL
Biloela
BARNEY POINT COAL TERMINAL
Gladstone Ports Corporation (GPC)
Bundaberg
Monto
Theodore
Proposed
Surat Basin
Railway
Proposed
NATHAN DAM
Maryborough
Wandoan
Roma
Miles
Water pipeline
Kingaroy
Chinchilla
Electrified track
Non-electrified track
Bowen Basin
Coal haul track
Galilee Basin
Maryborough Basin
Future coal haul track
Callide Basin
Ipswich Basin
Cities, towns and mines
Mulgildie Basin
Clarence-Moreton Basin
Proposed dams
Surat Basin
Tarong Basin
Dalby
;IWXIVR
7]WXIQ
Toowoomba
BRISBANE
Ipswich
Port of
Brisbane
FISHERMAN
ISLANDS COAL
TERMINAL
Queensland
Bulk Handling
(QBH)
Coal Infrastructure Program of Actions
5
Details of significant projects
The following sections provide highlights of some of the significant projects from the Coal Infrastructure Program of Actions that support
future growth in each coal system.
Newlands Coal Supply System
More than $4.1 billion committed and planned
The Newlands System links mines in the Northern Bowen Basin to the Abbot Point Coal Terminal (APCT) at the Port of Abbot Point,
north of Bowen.
Significant completed projects
PROJECT
ADDITIONAL CAPACITY
GAINED (Mtpa)
COMPLETED
CAPITAL EXPENDITURE
Track upgrades
4 Mtpa
N/A
N/A
APCT Expansion—X21 (21 Mtpa)
6 Mtpa
November 2007
$116 million
Significant planned projects
PROJECT
6
ADDITIONAL CAPACITY
GAINED (Mtpa)
POSSIBLE COMPLETION
Construction will be aligned
with further expansion at
the APCT.
ESTIMATED CAPITAL
EXPENDITURE
Goonyella to Abbot Point Expansion
project—(including the Northern Missing
Rail Link) will allow coal trains from
Central Queensland to go to APCT, freeing
capacity on the Goonyella Rail System.
56 Mtpa
APCT X25 (25 Mtpa)
4 Mtpa
June 2009
$95 million
APCT X50 (50 Mtpa)
29 Mtpa
Earliest delivery
February 2011
$750 million
APCT X75 (75 Mtpa)
25 Mtpa
Earliest delivery
June 2012
$1.3 billion
$1.5 billion
35 Mtpa by early 2010
75 Mtpa by 2012
Newlands System map
Port of Abbot Point
Bowen
ABBOT POINT COAL TERMINAL
Ports Corporation of Queensland (PCQ)
Collinsville
2I[PERHW
7]WXIQ
MORANBAH
PIPELINE
Mackay
Newlands
Proposed
Northern
Missing
Rail Link
Water pipeline
Port of Hay Point
DALRYMPLE BAY COAL TERMINAL
Babcock and Brown Infrastructure (BBI)
HAY POINT SERVICES
COAL TERMINAL
BHP Billiton Mitsubishi Alliance (BMA)
Hail Creek
North Goonyella
Non-electrified track
Coppabella
Coal haul track
Future coal haul track
Cities, towns and mines
Proposed dams
Moranbah
Proposed
CONNORS RIVER DAM
Bowen Basin
Coal Infrastructure Program of Actions
7
Goonyella Coal Supply System
Approximately $3 billion committed and planned
The Goonyella System links coal mines in the Central Bowen Basin to the Dalrymple Bay Coal Terminal (DBCT) and the Hay Point Services
Coal Terminal (HPSCT) at the Port of Hay Point, south of Mackay.
Significant completed projects
ADDITIONAL CAPACITY
GAINED (Mtpa)
PROJECT
COMPLETED
CAPITAL EXPENDITURE
Signalling—Connors Range
5
July 2007
$3 million
Third rail loop—DBCT
16
November 2007
$110 million
Channel dredging—Port of Hay Point
2
December 2006
$60 million
DBCT (54–68 Mtpa)*
14
March 2008
$565 million
HPSCT (34–44 Mtpa)#
10
August 2007
$300 million
*Babcock and Brown Infrastructure
#BHP Billiton Mitsubishi Alliance
Significant planned projects
ADDITIONAL CAPACITY
GAINED (Mtpa)
PROJECT
ESTIMATED CAPITAL
EXPENDITURE
Jilalan Rail Yard upgrade—to facilitate 130
Mtpa capacity on the Goonyella Rail System.
38
December 2009
$500 million
DBCT 7X project—Phase 2/3 (68 - 85 Mtpa)*
17
December 2008
$679 million
HPSCT (55 Mtpa)#
11
December 2013
$500 million
*Babcock and Brown Infrastructure
8
POSSIBLE COMPLETION
#BHP Billiton Mitsubishi Alliance
Goonyella System map
MORANBAH
PIPELINE
Newlands
Mackay
Proposed
Northern
Missing
Rail Link
Port of Hay Point
DALRYMPLE BAY COAL TERMINAL
Babcock and Brown Infrastructure (BBI)
Jilalan
Hail Creek
HAY POINT SERVICES COAL TERMINAL
BHP Billiton Mitsubishi Alliance (BMA)
North Goonyella
Coppabella
Moranbah
Proposed
CONNORS RIVER DAM
+SSR]IPPE
7]WXIQ
Dysart
Blair Athol
Middlemount
Clermont
Tieri
Water pipeline
Gregory
Electrified track
Coal haul track
Rockhampton
Future coal haul track
Cities, towns and mines
Emerald
Blackwater
Proposed dams
Bowen Basin
Coal Infrastructure Program of Actions
9
Blackwater/Moura Coal Supply System
Approximately $8.4 billion committed and planned
The Blackwater/Moura System links coal mines in the south east and south west Bowen Basins to the Port of Gladstone. The proposed
Surat Basin Railway will link Surat Basin mines to the Port of Gladstone via the Moura System.
Significant completed projects
PROJECT
ADDITIONAL CAPACITY
GAINED (Mtpa)
COMPLETED
CAPITAL EXPENDITURE
Windah—Grantleigh duplication
6
May 2006
$26 million
Bluff–Blackwater duplication
4
June 2007
$53 million
RG Tanna Coal Terminal (40–68 Mtpa)
28
December 2007
$774 million
Barney Point Coal Terminal (5–7 Mtpa)
2
October 2006
$3 million
Significant planned projects
PROJECT
ADDITIONAL CAPACITY
GAINED (Mtpa)
Moura Link—Aldoga Rail project
19
Surat Basin Railway—207 kms of new rail line
linking Wandoan to Banana. Enables delivery
of coal from existing and proposed coal mines
in the Surat Basin to the Port of Gladstone^.
30
POSSIBLE COMPLETION
No estimate available
Operational by 2012
30 Mtpa by 2015
ESTIMATED CAPITAL
EXPENDITURE
$ 500 million
$1.6 billion
85
Wiggins Island Coal Terminal—
development of a new coal terminal
at the Port of Gladstone.
Expansion beyond
70 Mtpa is subject to
further feasibility analysis
and market conditions
RG Tanna Coal Terminal (73 Mtpa)
5
^Private sector project
10
First shipments expected
mid 2012
$4.3 billion
Final completion 2023
2016
$200 million
Blackwater/Moura System map
Dysart
Middlemount
Clermont
Port of Gladstone
Tieri
Gregory
Proposed
WIGGINS ISLAND
COAL TERMINAL
&PEGO[EXIV
7]WXIQ Rockhampton
Emerald
R.G. TANNA COAL TERMINAL
Gladstone Ports Corporation (GPC)
Blackwater
BARNEY POINT COAL TERMINAL
Gladstone Ports Corporation (GPC)
1SYVE
7]WXIQ
Minerva
Gladstone
Proposed
Moura Link
– Aldoga
Rail project
Callide
Banana
Rolleston
Biloela
Moura
Theodore
Electrified track
Bowen Basin
Non-electrified track
Galilee Basin
Coal haul track
Future coal haul track
Cities, towns and mines
Proposed dams
Callide Basin
Monto
4VSTSWIH
7YVEX&EWMR
6EMP[E]
Proposed
NATHAN DAM
Mulgildie Basin
Surat Basin
Coal Infrastructure Program of Actions
11
Western Coal Supply System
Approximately $195 million committed and planned
The Western System links mines in the Surat and Clarence-Moreton Basins to the Port of Brisbane. Capacity on this system is constrained
due to the Brisbane suburban rail network.
Significant completed projects
PROJECT
Track upgrades
ADDITIONAL CAPACITY
GAINED (Mtpa)
2
COMPLETED
June 2007
CAPITAL EXPENDITURE
$30 million
Significant planned projects
PROJECT
ADDITIONAL CAPACITY
GAINED (Mtpa)
POSSIBLE COMPLETION
ESTIMATED CAPITAL
EXPENDITURE
Capacity and track strengthening works
1.5
No estimate available
$ 105 million
Fisherman’s Island Coal Terminal
(5–8 Mtpa)^
3
June 2009
$60 million^
^Private sector project
Note: M
ore information on Queensland coal transport (port and rail) infrastructure is available in Coal Infrastructure in Queensland:
Overview of Future Expansion at www.transport.qld.gov.au
12
Western System map
Maryborough
4VSTSWIH
7YVEX&EWMR
6EMP[E]
Wandoan
Miles
Kingaroy
Chinchilla
;IWXIVR
7]WXIQ
Dalby
BRISBANE
Ipswich
Toowoomba
Non-electrified Track
Port of
Brisbane
FISHERMAN
ISLANDS COAL
TERMINAL
Queensland
Bulk Handling
(QBH)
Surat Basin
Coal Haul Track
Maryborough Basin
Future Coal Haul Track
Tarong Basin
Cities, Towns and Mines
Ipswich Basin
Proposed Dams
Clarence-Moreton Basin
Coal Infrastructure Program of Actions
13
Rail rollingstock
Water infrastructure projects
More than $2.1 billion committed and planned
Approximately $445 million committed and planned
The Coal Infrastructure Program of Actions identifies rollingstock
programs valued at almost $2.1 billion incorporating more than
180 new and rebuilt locomotives and 2500 new wagons, as well as
additional complementary investments, such as minor maintenance
and minor upgrade programs.
The Queensland Government is providing new infrastructure and
investigating new water sources to support the growing coal industry.
Queensland Rail (QR) has recently taken delivery of approximately
30 new and rebuilt electric locomotives, 30 new and rebuilt diesel
locomotives and more than 850 new wagons, with commitments
for the progressive delivery of new wagons and locomotives
through to 2011.
As outlined in the Queensland Government’s Statewide Water
Policy, proposed projects such as Connors River Dam and Nathan
Dam will lay the foundation for future coal industry growth by
securing additional water for the coalfields and mining towns in the
Bowen Basin and providing a secure water supply for developing
the vast thermal coal resources of the Surat Basin.
The rollingstock programs have been delivering additional capacity
since 2006. QR plans to increase its capacity to approximately
250 million tonnes by 2011 reflecting an increase of 60 per cent
above the 2005/06 railing level.
Significant completed projects
PROJECT
Moranbah pipeline projects—delivering
water to new and existing coal mines and
industry in the Bowen Basin. Includes
eastern and southern extensions.
ADDITIONAL CAPACITY
GAINED (Mtpa)
17 000 ML per annum, can
be augmented to provide
23 000 ML per annum if
required in the future
COMPLETED
August 2007
CAPITAL EXPENDITURE
$300 million
Significant planned projects
PROJECT
ADDITIONAL CAPACITY
GAINED (Mtpa)
Nathan Dam feasibility project—new dam on
the Dawson River in Taroom Shire to serve
industrial, mining and agricultural interests.
Capacity—880 000 ML
Connors River Dam and pipelines feasibility
project—new dam on the Connors River to
serve Northern Bowen Basin coal mines and
communities.
Capacity—150 000 to
336 000 ML
14
Estimated yield —
190 000 ML per annum
Estimated yield—40 000 ML
per annum
POSSIBLE COMPLETION
If approved, 2013
If approved, 2013
ESTIMATED CAPITAL
EXPENDITURE
Government commitment—
$120 million
Estimated cost—
$326 million
Government commitment
$117 million
Estimated cost—
$195 million
Skills development
Housing and planning
Approximately $25 million committed and planned
Approximately $31 million committed and planned
The Queensland coal industry employs more than 18 000 workers.
Due to the strong growth in the coal industry, and the Queensland
economy generally, skills shortages are being experienced across
the mining, construction and infrastructure industries. Queensland
Government is working closely with industry to develop skills and
training solutions to ensure skills shortages do not restrict future
growth.
Queensland Government has recognised the cumulative pressure
that increased mining activity will place on housing supply and
social infrastructure. The Coal Infrastructure Program of Actions
incorporates initiatives to address this within dormitory towns and
larger regional centres. Significant initiatives include:
Skills and training initiatives delivered under the program of
actions include:
S
ustainable Futures Framework for Queensland Mining Towns,
July 2007 (based on the Moranbah Growth Management Strategy
December 2006) to assist local governments to respond to
increased growth as a result of expanding mining activity
M
ining Industry Skills Centre (MISC) established June 2005 to
address medium- to long-term training and skills issues. $18
million was committed to establish MISC, fund three years
training delivery and for the purchase of 18 mining simulators
p
ublication of two editions of the Bowen Basin Population
Report providing full-time-equivalent population estimates for all
local governments in the Bowen Basin to assist with planning
$
1.4 million to establish the Queensland Minerals and Energy
Academy to increase the number of students pursuing trades
in the mining and energy sectors through apprenticeships,
traineeships and work experience.
$
21.75 million spent on additional housing in the Bowen
Basin, Mackay/Whitsunday and the Rockhampton/Livingstone
regions.
Queensland Government has also committed $240 000 for the
Central Queensland Coal Regional Skills Formation Strategy to
assist the industry to develop solutions to skills shortages.
Energy infrastructure
Approximately $1.3 billion committed and planned
Approximately $325 million of projects and works are committed as
part of Ergon Energy’s work program to 2010. A further $960 million
of coal-related energy requests has been identified.
Bowen Basin Housing Issues Report 2007
Queensland Government is addressing housing and planning issues
by:
p
roviding ongoing growth planning assistance to the
Moranbah Growth Management Group and local governments
d
eveloping the Moranbah Strategic Plan to consider
short-, medium- and long-term options for sustainable
growth at Moranbah
reviewing the scope of the Environmental Impact Statement
process to improve use of mechanisms to address social
impacts of rapidly expanding mining projects.
Coal Infrastructure Program of Actions
15
Queensland Coal Infrastructure Strategic Plan
The Coal Infrastructure Program of Actions identified the need to
undertake industry-wide strategic planning for future growth in
coal demand and production. To this end, the Coal Infrastructure
Taskforce is developing the Queensland Coal Infrastructure Strategic
Plan, a medium- to long-term strategic plan to 2028 for the
provision of infrastructure to meet the coal industry’s needs.
The strategic plan will take a holistic view of the coal supply
chain from mine to port, and include details of future transport,
water, energy and social infrastructure needs. This plan will inform
the future planning processes of both public and private sector
infrastructure and service providers.
The strategic plan is being developed in close consultation with
key stakeholders including mining companies, the Queensland
Resources Council, key government agencies and Government
Owned Corporations. It is anticipated the strategic plan will
be completed in 2008 and will become an important whole-ofgovernment planning activity undertaken annually.
16
For further information contact:
Department of Infrastructure and Planning
Coal Infrastructure Taskforce
PO Box 15009 City East Qld 4002 Australia
tel +61 7 3404 3474
fax +61 7 3229 7315
[email protected]
www.dip.qld.gov.au