Adani to begin Carmichael coal project in October

Indian energy giant Adani Enterprises will start work on its Queensland-based Carmichael coal project in October and is targeting its first shipment by March 2020, according to reports.

Reuters is reporting that Adani, which has said previously it needed to borrow under $2 billion to get the project off the ground, will funnel $400 million of its own capital into the project.

“Engaging with regional contractors has enabled us to be flexible and quick to get some of our construction infrastructure already operational,” Adani Australia chief executive Jeyakumar Janakaraj said in a statement.

Carmichael has been delayed court challenges from environmentalists and indigenous groups, which have all been rejected.

Getting the project up and running relies on a $900 million concessional loan towards rail links between the mine and a shipping port.

The government is assessing whether to give Adani the loan through its Northern Australia Infrastructure Facility program aimed at encouraging economic development in rural regions, the report said.

“We will use $400 million in equity funding from the parent company to begin this phase of the project,” Adani Australia spokesman Ron Watson told Reuters.

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