Queensland invites Indian industry to invest in coal

Seek interest for other mineral sectors like uranium, rare earths

While coal prices have declined in the recent past, the Australian province of Queensland offers potential investment avenues in other minerals sectors such as uranium and rare earths, which were recently opened up, according to Parag Shirname, commissioner, south Asia, trade and investment, Queensland.

“The prices of coal, no doubt, have fallen in the recent days. But, it is a cyclical commodity and the prices are bound to go up in the future, though we can’t predict when. Indian companies like Adani, which has invested in coal mines in Queensland has no reason to worry as they are yet to start production of coal. So, there is no ground for worry at this moment,” Shirname told Business Standard.

Adani Mining is expected to start production of coal in 2016-17. The company has been accorded all regulatory approvals including environment impact statement within a record time of one year against four-five years earlier. The firm is investing A$16.5 billion at Carmichael Coal Mine, where it is projected to produce 60 million tonnes of coal a year for 60 years.

Queensland will be the centre of attraction when leaders of the world’s most successful economies meet in state capital Brisbane for the G20 Leaders’ Summit in November this year. Prime Minister Narendra Modi is expected to attend the summit, which will have about 4,000 international delegates. The talks, slated to be on November 15-16, will determine global economic policy to drive job creation and worldwide gross domestic product increases of two per cent above current projections.

According to Shirname, there would be a 10-fold increase in coal mining, cargo handling and power generation activities over the next decade. The government has invested heavily in supporting exploration with new geophysical data, catchment baseline geochemistry, and geologic and mineral mapping.

Shirname noted that the government has opened up mining of high-value rare earths used in the manufacture of mobile phones, flat-screen televisions, magnets, rechargeable batteries and defence systems at Mary Kathleen mines in Western Queensland.

Queensland is the third-largest producer of uranium in the world with 30 per cent of reasonably assured resources, Shirname added. Its uranium potential is estimated at 165.95 million tonnes with a total uranium oxide content of 107,000 tonnes.

Shirname said the government has opened up mining of high-value rare earths used in the manufacture of mobile phones, flat-screen televisions, magnets, rech- argeable batteries and defence systems at Mary Kathleen mines in Western Queensland.