Oakajee Port and Rail Ownership Restructure Delivers Greater Project Certainty (Australia)
The successful completion of Mitsubishi Development Pty Ltd’s (MDP) acquisition of Murchison Metals Ltd’s stake in Oakajee Port and Rail (OPR) and Crosslands Pty Ltd (the developers of the Jack Hills mine) is a critical step in the delivery of the flagship mid-west infrastructure project.
OPR Chief Executive John Langoulant AO said the $A325 million purchase confirmed MDP’s long-term commitment to the infrastructure project and the wider mid-west.
“The ownership restructure delivers greater project certainty and will underpin the completion of key tasks, required to see the project move into construction.”
MDP, wholly owned by Mitsubishi Corporation, one of the largest trading and investment companies in Japan, has indicated it will seek a strategically-aligned equity partner.
Project schedule is largely dependent on the outcome of these negotiations.
To date, more than $A250 million has been spent progressing project planning, evaluation, engineering and securing regulatory approvals for the port and rail infrastructure.
“The technical aspects of this project, along with necessary approvals, are well advanced,” Mr Langoulant said.
“Independent peer reviews, including value engineering assessments, have identified OPR’s port and rail design as the optimal solution to meet the government’s scoping requirements.”
State-specified performance requirements include:
– Development of an integrated logistics chain;
– Open access arrangements for third party port and infrastructure users;
– Berthing capacity for cape-size vessels;
– Breakwater design to sustain no appreciable damage during preferably two successive 1-in-100-year storm events; and
– Port and rail infrastructure capable of at least 35mtpa throughput, with capability for staged expansion.
Commonwealth environmental approvals have been secured. Conditional State approvals have been recommended by the Environmental Protection Authority and are now awaiting Ministerial approval.
Dredging Today Staff, February 20, 2012; Image: opandr