New deepwater port and industrial precinct for the Pilbara

The multi-user deepwater port and industrial precinct will complement Port Hedland and Dampier ports.
Premier Colin Barnett said the Government would spend $3.5million during the next three years to plan and prepare an Industrial Precinct Development Agreement for the project including commercial, legal and engineering advice to negotiate the agreement.
“Anketell was first identified during the 1970s as a potential iron ore port. Now, 40 years later, the Liberal-National Government is helping make this project happen,” Barnett said.
“The port will be serviced by existing towns, especially nearby Karratha, providing further business and development opportunities for Pilbara communities.
“This project will help Western Australia develop and the revenue it will generate will help pay for our schools, hospitals and other services.”
The precinct, which would ultimately include a port with more than 350 million tonnes annual (Mtpa) export capacity, an industrial area of more than 1,400ha and a corridor for transport and services, would be developed to accommodate a range of users and different mineral commodities. The port would have a cap placed on it in future to ensure the viability of existing ports.
The multi-user port will be built by a private proponent under an agreement with the State Government.
Three significant iron ore projects are potential foundation investors in the new precinct:
• API Management for its 30-40 Mtpa West Pilbara Iron Ore Project
• Fortescue Metals Group Ltd for its 30-60 Mtpa Solomon Project
• China Metallurgical Group Corporation for its 15 Mtpa Cape Lambert Iron Ore Project.
“The Government will work with these companies, or an infrastructure provider to develop the project, with plans to commence operations by 2015,” the Premier said.
“In 2008-09 the Pilbara exported more than 326 million tonnes of bulk commodities, mainly iron ore.
“This is forecast to reach more than 530 Mtpa by 2015 and as much as 750 Mtpa by 2020.
“The Anketell port and industrial precinct will provide opportunities for new exports and processing of iron ore and other minerals.”
In other news, the WA Mines and Petroleum Minister Norman Moore has encouraged mineral exploration companies to apply for a share in more than $5million of State Government funding.
His call came as part of the second round of funding for the co-funded exploration drilling program. The program is the is centrepiece of a five-year, $80million Exploration Incentive Scheme (EIS) funded through the Liberal-National Government’s Royalties for Regions program.
Moore said the Government’s support for exploration drilling in under-explored areas of WA had already increased knowledge of the State’s geology and helped identify potentially valuable mineral deposits.
“The second round of funding is available for drilling projects planned for 2010-11.
“The first round was very competitive, attracting 168 applicants which resulted in 35 projects successfully gaining support from the $3million in available funding,” he said.
Results from some of the co-funded drilling projects have shown early indications of potential commercial success, as well as returning quality core from underexplored areas of WA.
“It preferentially funds projects that promote new mineral and energy targets, and innovative exploration concepts and technologies.  It also encourages industry to drill in areas that have mineral, petroleum or geothermal potential and is ultimately aimed at helping to identify new opportunities.”
The Co-funded Drilling Program would provide up to 50 per cent of direct drilling costs with three different caps based on the types of applications.
General multi-hole applications were capped at $150,000 while a single deep-hole project could attract up to $200,000 of funding.
A special category was available to genuine prospectors with funding capped at $20,000 per project.  This funding would also support geochemical analyses based on the drilling.

Applications must be lodged with the Department of Mines and Petroleum (DMP) by 5pm on March 19th. To make a submission, visit: www.dmp.wa.gov.au/EISdrilling