$4.2 billion coal project in Australia wins approval
Coal mining company GVK announced that it has received environmental approval from the Australian authorities for its $4.2 billion Kevin's Corner mine project that will include two openpit mines and three underground mines.
The Kevin's Corner project proposes a 30 Mt/a (33 million stpy) underground and opencut coal mine and other associated infrastructure including housing for 2,000 workers and an airport, 65 km (40 miles) north-west of the Alpha township, the company said in a statement.
The project would rely on the railway infrastructure of the adjacent Alpha Coal project to transport coal to the Port of Abbot Point, Bowen, it added.
GVK had acquired 79 per cent stake in Alpha Coal and Alpha West Coal Mines and 100 per cent stake in Kevin's Corner in Queensland, Australia, from Hancock Coal for $1.26 billion. These mines have reserves of about eight billion tonnes and a capacity of more than 60 Mt/a (66 million stpy), the company said.
When combined, these projects will create one of the largest thermal coal mining operations in the world, it added.
"This development is yet another breakthrough towards our goal to be the premier and the most reliable coal supplier to the world," GVK founder chairman and managing director Sanjay Reddy said.
"We are pleased with the consent given by the Coordinator-General which culminates in the provision of a State Environmental Approval for the project. This project will follow the best practices in operations and environmental sustainability, and will contribute to the economic development of the region," Reddy said.
In May, 2012 GVK'S Alpha Coal Project received key environmental approval from Queensland Government.
In August 2012, the project got federal government approval under the Environment Protection and Biodiversity Conservation Act 1999 (EPBC).
In March this year, GVK Coal Infrastructure (Singapore) Pte Ltd (GVK Hancock) and Aurizon signed a non-binding term sheet to jointly progress the development of rail and port infrastructure to unlock Galilee Basin coal reserves including GVK Hancock's Alpha, Kevin's Corner and Alpha West coal mines and a process to support the next phase of coal growth in the Bowen Basin.
GVK has acquired Australian Coal Mines in Queensland with eight billion tonnes reserves for $1.26 billion and envisages an investment of $10 billion for setting up mines, 500 km rail link and up to 80 MTPA port project. This is expected to form one of the world's largest integrated coal mining operations.
Diversified GVK group has presence across energy, resources, airports, transportation, hospitality and life sciences sectors.