All relevant parties have now agreed to Newcastle’s much anticipated long term coal export plan, with Newcastle Coal Infrastructure Group (NCIG) finally agreeing to the framework.
To succeed, the plan required endorsement by three parties.
The other two parties — Port Waratah Coal Services (PWCS) and Newcastle Port Corporation (NPC) – signed the agreement on August 31.
With three-way support now in place, the processes of the new plan can commence immediately, and come into full effect from January 1, 2010.
Structured to enable coal loading and rail operations to be underpinned and aligned by 10 year contracts, the plan will enable the Hunter coal chain to make more accurate and timely infrastructure investment decisions.
According to PWCS general manager Graham Davidson, it’s possible that coal exports from Newcastle could soon double from the current output of 91 Mtpa.
Davidson said the agreement was a culmination of two years of exhaustive work by the Hunter Coal industry and the New South Wales Government.
“This is a major turning point in the history of Hunter Valley coal exports,” Davidson said.
“We now effectively have all key players reading off the one road map, meaning everyone has a far better idea of what infrastructure should be built, and where and when.”