The Federal Government has signed off on GVK Hancock’s Kevin’s Corner project in Queensland, making it one of the country’s largest coal mines.
Securing environmental approval for the Galilee Basin project, the company said Kevin’s Corner and GVK’s Alpha coal and Alpha West Coal project will see the creation of one of the largest coal mining operations in the world.
Combined, the three operations have total resources of about 8 billion tonnes and a peak capacity of around 80 million tonnes per annum.
State and Federal approvals for the project located 50 kilometres north of Alpha in Queensland, took about five years.
“In a timely and considered decision, the Minister [Greg Hunt] finely balanced the protection of environment with the need for economic investment and job creation,” GVK said.
Commenting on the development, Sanjay Reddy, Vice Chairman, GVK Power and Infrastructure welcomed the Federal Government’s approval.
“As coal developers, we are uniquely placed, as we possess the Federal and State Government approvals that integrate our mine, rail and port projects that will definitely help in the opening up of the Galilee Basin.
“Our projects represent one of the most significant pieces of regional and economic development this state has seen for decades,” Sanjay Reddy said.
The Queensland State Government approved the Kevin’s Corner project in May 2013, after signing off on the Alpha Mine and Rail projects in 2012.
“This approval comes as a major milestone towards our goal of becoming the premier and most reliable coal supplier to the world thus enabling better lives,” GVK Power and Infrastructure managing director, Dr. GVK Reddy said.
“It further strengthens our commitment to deliver world-class infrastructure projects in a timely and responsible manner,” Reddy said.
Construction is expected to start on the Kevin’s Corner project in 2015 with first coal being produced in 2018.
The company said its Galilee Basin projects will provide direct and indirect employment to around 7,000 people during construction and direct and indirect employment to around 20,000 people once operational.
“The project also represents a total investment of around $42 billion in tax and royalties to the Queensland and Federal governments over the life of the projects,” GVK said.
Kevin’s Corner has a mine life of over 30 years with a capacity to produce up to 30 million tonnes per annum of export quality thermal coal.
Queensland Resources Council acting chief executive Greg Lane said the GVK project stands to improve living standards for millions of people in India and open up a new coal region in the state.
“GVK is to be congratulated for its commitment to this project in the toughest operating environment that the Queensland coal industry has faced this century,” Lane said.