Clive Palmer unhappy about QLD government backing of Carmichael mine

Clive Palmer is not happy that the QLD government is helping to fund Adani's coal mine, stating that Australian miners have missed out on the same help.

Clive Palmer is not happy that the QLD government is helping to fund Adani's coal mine, stating that Australian miners have missed out on the same help.

Yesterday the state government announced plans to fund Adani’s rail, airport, water, port and electricity infrastructure for the $16.5 billion Carmichael project.

State Development, Infrastructure and Planning Minister Jeff Seeney would not reveal the exact amount it intends to bankroll, but said it would run into the hundreds of millions.

“The starting point is the state is looking to take a minority stake,” Seeney said.

“We don’t want to be more involved than we have to be. We want to enable the infrastructure to be built and we want to be owners of the infrastructure for as short a period of time as possible. So we see our role, as the state government to make sure this infrastructure is provided – sooner, rather than later and for us than to move the ownership back to the private sector, just as we have done in the Bowen Basin over a long period of time.

The government said their help would hinge on the infrastructure being accessible to third parties.

GVK Hancock and Palmer’s Waratah Coal are also planning to build massive new mines in the coal rich region.

However Palmer has hit out at the government for “ignoring” Queensland and Australian-based companies.

Palmer said the Premier Campbell Newman has ignored Waratah Coal’s proposed $6.4 billion China First coal mine and infrastructure development despite the fact it was under-written with $10 billion in funding by Credit Suisse.

Palmer said establishing the mine and associated infrastructure will create 6,000 jobs during construction and 2,460 jobs during operation.

“But Campbell Newman has had no interest in the China First project with his government giving favourable treatment and now taxpayer funding to Adani ,” he said.

“Is this just a political stunt and pre-election spin? Why is the government selling off state assets like hospitals and schools and then giving a free ride to Adani?”

Environmentalists have also hit out at the plan to use taxpayers money to fund the massive coal project.

Mackay Conservation Group spokeswoman Ellen Roberts said the investment would come at the expense of schools and hospitals.

They also say it will damage the Great Barrier Reef as more coal ships pass through the area every year.

The Carmichael project holds more than 11 billion tonnes of thermal coal and the company said first production is slated for 2017.

One the same day as the government pledged to help bankroll the project, Adani signed a MOU with Bank of India for a $1 billion credit facility.

The MOU is subject to a detailed assessment of the project.

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