Hyderabad-based GVK Power & Infrastructure Limited (GVKPIL) through its subsidiary Hancock Coal Infrastructure Private Limited, Australia, has entered into an agreement with Korea-based Samsung C&T and Smithbridge Group Private Limited of Australia to build a pit-to-port project at Abbot Point in North Queensland.
The Terminal-III (T3) port, being built with an investment of $10 billion for Alpha Coal project, involves construction of onshore and offshore infrastructure, including a 500-km rail line, 60 million tonne per annum (mtpa) port and a 30-mtpa coal mine in the first phase, a company release said today.
"Construction contracts for the project such as infrastructure development, wash plant and rail will be announced in the next few months," the release added.
Under the agreement, Samsung C&T will provide majority of steel and supply ship loaders from the Republic of Korea and other Asian countries, while Smithbridge will be responsible for engineering, marine works and provide local Australian expertise.
G V Sanjay Reddy, vice chairman, GVKPIL. said “Given the size of this project and the complexities involved, both Samsung C&T and Smithbridge will play a crucial role in areas such as construction supervision and program management."
Upon completion, the port will consist of a stockyard, two rail receiving dump stations and a piled jetty structure extending 3.8 km north-northeast from the shoreline. The project is expected to deliver first coal 36 months from the commencement of construction.
The company has received all the important strategic Australian federal government's approval under the Environment Protection and Biodiversity Conservation Act 1999 for the project, which is coming up at port of Abbot Point, near Bowen.
It was announced as one of the key projects during the visit of Australian Prime Minister Julia Gillard to New Delhi, the release said.
GVKPIL had acquired 79% stake in Alpha Coal and Alpha West projects and 100 per cent stake in the Kevin's Corner project in Queensland from Hancock Prospecting Private Limited in 2011. These projects are expected to hold 8 billion tonne coal and a peak capacity of 80 million tonne a year.