QR defends supply performance to Dalrymple Bay

QR has hit back at criticism of its coal deliveries to Dalrymple Bay Coal Terminal (DBCT), conceding that it is both aware of and to blame for some of the problems that have caused significant coal loading delays. In an 800-word statement, the above and below rail operator said the blame game in relation to DBCT was counter-productive. Responding to newspaper reports over the weekend, QR acting chief Stephen Cantwell said QR was well aware of the problems and assured coal producers that QR was giving them its full attention. &#8220What we need are cool heads and people working together &#8211 not some people in the mining industry going to town on QR in the media,&#8221 Mr Cantwell said. &#8220QR is but one of 25 players in the coal supply chain feeding into DBCT. &#8220Yes, we can improve but so, too, could the other players.&#8221 The criticism has been mounting since the vessel queue at DBCT blew out to 35 in March. The queue has since reached about 50 &#8211 more than three times its preferred operating queue. The figure does not include the 20 that have queued for one of two berths at the neighbouring Hay Point Coal Services. Mr Cantwell refuted a claim in a report cited by th e Australian newspaper on Saturday (May 26) that QR was running 15% behind its declared capacity. The article supports a report in Lloyd’s List DCN’s newswires on March 19 that said that QR was operating 8m tonnes below DBCT’s capacity of 59mtpa. Lloyd’s List DCN reported that QR was only providing 51mtpa to DBCT, but has since learned that QR’s deliveries have since dropped well below 50mtpa in some months. Mr Cantwell cited the collapse of one of DBCT’s stacker&#47reclaimers in 2004, which limited QR’s deliveries by 5%. &#8220This is equivalent to 3-4m tonnes per annum,&#8221 Mr Cantwell said. &#8220Subsequently, the industry has elected to continue with this port operating mode in the knowledge that it is optimising the port at the expense of the rail system. &#8220To do this and then expect QR to deliver at rates applicable to the previous operating mode is difficult for QR to accept.&#8221 &#8220To pay for a Jetstar service and to now expect Qantas first class is unreasonable.&#8221 Mr Cantwell said upgrades at DBCT had also caused bottlenecks. He said port and rail upgrades this year would limit QR to tonnages that would be less than 2005. QR had achieved record performance levels over the past two months, including 96mtpa rate over the past five weeks, he said. Mr Cantwell said DBCT’s best performance over the same period was 56mtpa.

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