Adani Commits to Australia's Biggest Coal Mining Project in Queensland
Adani Enterprises Ltd., India’s biggest coal importer, said it’s committed to a A$6.9 billion ($6.8 billion) coal project in Queensland state that will be Australia’s biggest mine producing the fuel.
“This investment has unlocked the enormous potential of what were once unviable resources,” Gautam Adani, executive chairman of the Gujarat-based company, said in an e-mailed statement.
Adani in August bought the coal asset for A$3 billion in cash and royalties from Linc Energy Ltd., making it the largest acquisition by an Indian company in Australia. The company is targeting first coal output by the end of 2014 and production of 50 million tons to 60 million tons by 2022.
India’s thermal-coal imports almost doubled to 60 million tons last year as the nation increased electricity generation capacity to end blackouts and sustain an economy forecast to grow more than 9 percent this fiscal year. India’s economy has expanded by an annual average of 8.4 percent since 2004, straining transport, energy and manufacturing capacity.
The project in Queensland’s Galilee basin comprises mine, rail and port construction and is set to create between 4,000 to 5,000 jobs during construction and production, Adani said.
To contact the editor responsible for this story: Andrew Hobbs at firstname.lastname@example.org