Breaking: Adani's mega Carmichael Mine to go ahead, will be self-financed

Adani 2018

Image via Adani

Adani have confirmed that the Carmichael mine in Queensland will go ahead with the company covering the remaining funding themselves.

After an eight year struggle, construction is finally set to begin just before Christmas this year.

Lucas Dow, Chief Executive of Adani Australia, said the company had finally pulled the trigger and finalised finance on the controversial Carmichael mine.

"We've pulled the trigger and we've got finance and we're ready to go," Mr Dow said.

"It's akin to Rio Tinto or BHP funding the project. It's come from group treasury. They have got it secured," he said.

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"It has been a long time coming and we're obviously very excited about announcing this so we can get on and this and deliver the jobs for the people who have stood alongside us all this time. I'm desperate to have these jobs come into the northern part of Queensland."

Exports are expected to begin as early as 2020, with India and China expected to be key export destinations.

The news comes after Adani shrunk down the size of the project from a 60 million tonne pa operation to a 10/15 tonne pa operation, reducing the project size by around one-sixth.

The project is set to deliver over 1500 jobs throughout initial ramp-up and construction, which as the AFR has noted is a significant reduction on the 10,000 jobs previously rumoured.

“The important part for us is Carmichael mine and railway is fully funded and we're in a position to be able to get on with it. We're very much masters of our own destiny."

While the project was downsized from 60m tonnes pa to 10/15b tonnes pa, the company has highlighted expansion plans that will see it produce over 27 million tonnes pa.

The expansion to 27 million tonnes pa would be funded through mine profits.

Adani Mine & Rail Map

 

 

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