Engineering, Environment and Sustainability, Freight Rail

Environmental work begins on Olive Downs mine and rail

An 18-kilometre rail spur serving around eight trains per day would be part of a proposed $1 billion coal mine under environmental assessment in the Bowen Basin.

Draft terms of reference were made available this week for the environmental assessment of the Olive Downs mine proposal near Moranbah.

The mine would produce up to 14 million tonnes per annum of mostly metallurgical coal over a 30-year lifespan, Lynham said.

An 18-kilometre rail spur would be built to link the mine to the Norwich Park Branch railway, part of the Goonyella System.

The project would also include an on-site rail loop.

Coal would be moved to the Dalrymple Bay Coal Terminal, south of Mackay, for export.

Visiting the region on April 6, Queensland state development minister Anthony Lynham was certain to assure residents the project would receive a thorough environmental assessment.

“The resources sector is fundamental to jobs and business opportunities, particularly in our regional communities, and rigorous environmental processes are important to keeping this vital industry sustainable,” he said.

“This is the first step in a rigorous process for this mine proposal that could create more than 500 construction jobs a year over two years.”

The mine is being proposed by Pembroke Resources, which was launched in 2014, and is backed by US-based energy and mining group Denham Capital.

Pembroke is targeting first export from the Olive Downs mine by 2020.