Queensland’s rail industry, export coal and the State economy are realizing the benefits from the Bauhinia Regional Rail Project, the longest rail line to be built in Queensland for 20 years.
Project
Design and construct a 110km spur and associated rail infrastructure from the Kinrola spur line to the new Rolleston Coal Mine, Bowen Basin, Central Queensland; plus duplicate up to 30km of existing track to Gladstone.
Bauhinia Regional Rail Map
Cost estimate
Approximately AUD$240 million.
Construction schedule
Commenced April 2004 and completed September 2005 (two months ahead of schedule).
Objective
This line will provide the necessary rail infrastructure needed to haul coal from the new Rolleston mine to the Port of Gladstone for export, and to domestic power users such as Gladstone and Stanwell Power Stations.
Key players
QR won the contract to build the line for mining company, Xstrata, . Under the deal, QR constructed, owns and operates the Bauhinia line. Xstrata pays an access fee for the use of the line.
QR National began hauling coal from the Xstrata mine on October 3, 2005.
QR financed and managed the project. It sub-contracted construction of the line to Abigroup. Other companies that sub-contractied to Abigroup for various aspects of the project included John Holland, Connell Wagner and QR’s Infrastructure Services Group.
Benefits
- The project created about 400 jobs in the construction and mining sectors. The rail construction workforce was housed in two work camps.
- The infrastructure has supported the further development of the export coal industry, a key element in the State economy.
- There is a commitment from Xstrata to haul 8 million tonnes of coal per year by 2008. The mine is expected to create some $300 million a year in export revenue and generate $20 million a year in royalties.
- The line intends to be multi-use. There is a potential for grain growers in the region to use the line.
- The awarding of the rail construction work to QR confirmed QR’s expertise and reputation as one of Australia’s leading rail project managers. Winning the contract in a competitive tendering process was the first test for QR in the new era of rail competition in Queensland. QR is also Australia’s largest rail freight operator and a leader in rebuilding the business of rail in Australia.
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