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Early work begins on $2B coal project in Central Queensland

Shine Energy
Shine Energy

An Indigenous owned mining company has been given the green light to start planning its $2 billion mining development in Central Queensland’s Bowen Basin.

The Federal Government has informed Shine Energy that a feasibility study into its proposed Dhalgan Energy Park will begin early in the year 2020.

The project involves constructing a Coal Fired Power Station and Solar Farm in Collinsville, 87km southwest of Bowen. Electricity generated from the solar farm will be used to provide auxiliary power to the station. About 2000 jobs are promised to be created during construction and operation. QMEB can reveal the study is expected to cost $10 million.

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‘Months away’

Deputy Prime Minister Michael McCormack confirmed it is too early to start the study since the proponent is still collating information about the project.

“It’s only been five months since we’ve been re-elected,” McCormack told Sky News. “I would say it would be probably early in the new year, it’s already nearly November, so that’s only a couple of months away. That’s a fairly good timeline.”

‘Passion’ commended

Federal Resources Minister Matt Canavan recently accused the government of having a “go slow” attitude towards the study. However, the deputy PM dismissed the claim as “passion” for the industry.

“I commend him for that,” McCormack said, adding there have been “very good, meaningful and productive” talks about the project.

Federal Energy Minister Angus Taylor said investors will make the final decision on whether the project goes ahead.

“We strongly encourage private sector investors to work up projects and get on with it, and we’ll provide as little as we have to but we must get that supply into the market place to put downward pressure on wholesale prices,” Taylor said according to the Australian Associated Press.

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