GVK sells Australian infrastructure stakes to build Alpha

GVK, the majority shareholder of Gina Rinehart's Alpha coal mine, will sell stakes in its Australian rail and port subsidiaries to build the massive mine.

The announcement comes as Alpha and its associated rail infrastructure is given the greenlight by the Federal Government.

The Indian conglomerate needs to invest approximately $10 million into the project to build the 500 kilometre rail way to connect the Galilee Basin to Abbot Point port.

GVK has already appointed the ANZ bank as its financial advisor for the sell off, according to The Economic Times.

Construction of the mine and associated infrastructure is expected to begin next year, with first coal scheduled by 2016.

The Alpha project is 79% owned by Indian conglomerate GVK and 21% owned by Rinehart's Hancock Prospecting.

 

Image: The Australian.

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