One new Eyre port
for two explorers
THE State Government has told
two iron explorers on Eyre Peninsula
they must work together on
port development because there
won't be room for both facilities.
The two companies - Centrex
Metals and Iron Road - each have
advanced projects which include
plans to build a port between
Tumby Bay and Port Neill.
Sites for the two ports are just
15km apart and envisage jetties
into deep water to accommodate
the large cape-sized ships used to
transport iron ore.
Addressing the SA Chamber of
Mines and Energy yesterday, Mineral
Resources and Energy Minister
Tom Koutsantonis said each
had a case to put.
"But I can assure you there will
only be one new port," he said.
"And it will be a multi-user
facility."
Mr Koutsantonis said it was not
up to the government to pick a
winner. "The market will decide."
The Government would support
both in going through environmental
and regulatory checks.
Whichever company got their
finance and approvals in place first
would build a port, he said. Then,
whichever came second would
need to talk to the frontrunner -
although the market might eventually
support both.
Opposition deputy leader and
infrastructure spokeswoman
Vickie Chapman said Mr Koutsantonis
was being inconsistent.
"He claims to support everyone
in the industry and endorses their
projects," she said.
"Yet now he issues an edict
saying there'll only be one port.
"It's outrageous because his government
will be the approving
authority."
Iron Road is developing a
$2.5 billion Central Eyre Iron Project,
30km southeast of Wudinna.
It has bought land at Cape Hardy
and aims to export iron for 30
years.
Centrex has a string of iron
deposits on the east coast of Eyre
Peninsula and has Chinese backing
to build Port Spencer. Centrex
chairman David Klingberg said it
was "reasonable" to expect the
companies to co-operate. They
had already had talks, he said.
Iron Road managing director
Andrew Stocks has said his company
was interested in "bringing
in third-party users", especially in
early stages.
In addition to these proposals,
a consortium led by Port Adelaide
operator Flinders Ports is working
on building a multi-user export
facility at Port Bonython near
Whyalla. This week, the Government
said it would back but not
fund an iron ore export facility at
Lucky Bay, near Cowell.
