Expressions of interest called for coal development in north-west
Please note - This news release has now been archived and may contain outdated information.
The NSW Government today called for Expressions of Interest for the awarding of an exploration licence for a new coal area in the Gunnedah Basin, in north-western New South Wales.
Expressions of Interest will be sought to develop the Caroona Coal Area, situated to the west of Werris Creek.
The Caroona deposit contains more than 500 million tonnes of in situ, potentially mineable, underground coal and it is now time to seek competitive expressions of interest for the area.
Interested parties are required to submit an Expression of Interest to the Department of Primary Industries with details of an exploration and development program.
The Expression of Interest is open to an individual company or companies or consortium.
Average NSW export thermal coal prices topped $61(Aus) per tonne in the March quarter 2005, 55 percent above the same quarter in 2004.
Average NSW hard coking coal export prices exceeded $90(Aus) per tonne in the March quarter 2005, an increase of 33 percent over the December quarter 2004 and 53 percent higher than the March quarter 2004.
Global demand, particularly from China and India, is driving these prices and the profitability of NSW coal operators.
Any proposed foreign investment in Australian resources projects is subject to the Foreign Investment Review Board guidelines and approvals.
The Caroona Coal Area has been explored by the Department of Primary Industries – Mineral Resources over a number of years. Large resources of coal suitable for underground mining have been identified and there may be potential for some limited open cut mining.
The release of Caroona Coal Area adds a new dimension to the fast-growing coal industry in the State’s North-West.
This project and other mines such as Werris Creek and Boggabri, represent real progress for the North-West.
Expressions of Interest for development of the area will close in mid-December, with the evaluation and selection of the recommended applicant made by the end of February 2006.
For further information contact NSW Department of Primary Industries in Maitland on 02 4931 6666.