NCIG Presentation Sydney Mining Club March08 v3.ppt · 2009. 1. 29. · • New Stacker/Reclaimer...

PRESENTATION TO SYDNEY MINING CLUBPRESENTATION TO SYDNEY MINING CLUB

ROB YEATESNCIG PROJECT DIRECTOR

1 NEWCASTLE COAL INFRASTRUCTURE GROUP6th March 2008

Newcastle Coal Infrastructure Group

Newcastle Coal Infrastructure Group - established August 2004 Newcastle Coal Infrastructure Group established August 2004 Objective : To improve infrastructure for the Hunter Valley and Newcastle export coal chain.M bMembers:

BHP Billiton – through Hunter Valley Energy CoalCentennial CoalCentennial CoalDonaldson CoalPeabody EnergyFelix ResourcesWhitehaven Coal

2 NEWCASTLE COAL INFRASTRUCTURE GROUP

“… for the benefit of all…”

“We want to emphasise that our primary goal is to help to maximise the productivity of the Hunter Valley coal chain and that will mean Hunter Valley coal chain, and that will mean continuing to work closely with all stakeholders, including PWCS, the (Newcastle) Port Corporation ARTC rail (Newcastle) Port Corporation, ARTC, rail operators and other coal producers.”

“NCIG i l d t h th t it t ffi i t i f t t “NCIG is pleased to have the opportunity to ensure sufficient infrastructure capacity is available to handle the significant growth in exports by member companies and others.”

NCIG Chairman Tony Haggarty in Media Release 26 August 2005(when NCIG select as preferred candidate to build third coal loader)


History

Sept 04NSW Government called for Expressions of Interest for the use of land at Kooragang Island

Feb 05Feb 05Preferred candidates short-listed and requested to make submissions

Aug 05NCIG announced as successful candidate

Dec 05NCIG submitted Project application and preliminary assessment

NCIG announced as successful candidate

Jul 06 NCIG submitted Environmental Assessment

Nov 06 IHAP Conducted

April 07 Development Consent granted 13 April (for 66Mtpa Coal Export Terminal)


p Development Consent granted 13 April (for 66Mtpa Coal Export Terminal)

History (continued)

Nov 07All permits received and management plans approved

Nov 07Nov 07Dredging commenced in the Hunter River

Dec 07Second dredge commenced working in river

Jan 08Entered into lease with NSW Government

Second dredge commenced working in river

Jan 08 Achieved Financial Close for Project

Feb 08 On-site construction started


Historical Newcastle Coal Exports

Newcastle Coal Exports (Mt)

90.0

70.0

80.0

MetallurgicalThermal

Average annual growth rate 1990 to 2006 is 6.1%-total coal

40.0

50.0

60.0 ThermalTotal

20.0

30.0Average annual growth rate 1990 to 2006 is 7.7%-thermal coal

0.0

10.0

1970197119721973197419751976197719781979198019811982198319841985198619871988198919901991199219931994199519961997199819992000200120022003200420052006


0 1 2 3 4 5 6 7 8 9 0 1 2 3 4 5 6 7 8 9 0 1 2 3 4 5 6 7 8 9 0 1 2 3 4 5 6

Source: Barlow Jonker

Newcastle Ship Queue

Ships waiting at Newcastle 90

70

80

90

40

50

60

Ship

s

10

20

30

002 03 04 05 06 07

Source: Barlow Jonker


Newcastle Port

PWCS Facilities

NCIG Site


Site looking East Hunter River

Newcastle Port

Site looking East


Hunter River

Development Consent for 66Mtpa


General Arrangement – Stage 1 ~30Mtpa

• One Dump Station and Multiple Rail Sidings• Two Stacker/Reclaimers and Stockyards• Two Stacker/Reclaimers and Stockyards• One Ship Loader and Two Wharves



• New Dump Station and Rail Sidings• New Stacker/Reclaimer and Stockyard• New Stacker/Reclaimer and Stockyard• New Ship Loader



• New Stacker/Reclaimer and Stockyard• Additional Dredging• Additional Dredging• New Wharf


Stacker - Reclaimers


Project General Arrangement - Stockyard


NCIG – Overall design

Inbound system rated at 8,500tph Seeking to maximise the numberof trains that operate on a regular basisP id fProvide an even program for train loading at mine sites

Stockyard system rated at 8,500tphU f k / l iUse of stacker/reclaimersMixture of dedicated stockpiles and cargo assembly stockpiles

Outbound system rated at:Reclaim capacity 8,500tphShiploading capacity 10,500tph


Shiploading capacity 10,500tph

Approvals

Extension of Shipping Channels – Port of Newcastle Development Consent obtained by NSW Maritime in 2004

Project Approval - granted to NCIG on 13 April 2007 for 66Mtpa Project

All further licences and sub approvals obtained


Timetable

Quarter 4 2006 : Commenced detailed design (currently >75% complete)

Quarter 4 2007 : Commenced dredging

Quarter 1 2008 : Commenced site construction

Quarter 4 2009 : Complete dredging

Quarter 1 2010 : Commence operations (first ship loaded)

Quarter 1 2011 : Reach full 30Mtpa


throughput

Dredging Program

Total Volume – 5,000,000 m3

Onsite fill – 3,000,000 m3

Offshore disposal – 2 000 000 m3Offshore disposal – 2,000,000 m3

Dredge Profile

Soft clay/ silt Grab / backhoe dredge

Sand

Stiff clay

Small to medium cutter/suction dredge

Longreach backhoe dredge


Soft rock Large cutter/suction dredge

Storken


Goomai


Contracted Cutter Suction Dredge

UUrsa


Offshore Disposal Area


Contracts

Contracting strategy is to package contracts to provide for flexibility and price competitiveness.

Major contracts placed: >$300 millionEPCM contractor – Connell Hatch – contract in placeStacker Reclaimers / Shiploader - D&C Contract placed.Dredging – Contract placed.

M j t t t b l d t t lli $500 illiMajor contracts to be placed: totalling >$500 millionBerth Construction - Tender issued.Stock Yard Mechanical Tender to be issued shortlyStock Yard Mechanical – Tender to be issued shortlyBulk Earthworks – Tender issuedDump Station – Tenders to be issued shortly


p yOthers

EPCM Contractor

EPCM contractor – Connell Hatch

JV – Connell Wagner – Hatch Associates

Resources - 10,000 employees across Australia and , p yworldwide

Recent Projects:-Hay Point Coal TerminalDalrymple Bay Coal TerminalAbb tt P i t C l T i lAbbott Point Coal TerminalRG Tanna Coal TerminalWiggins Island Coal Terminal(F ibilit St d )


(Feasibility Study)

Port of Newcastle – Future Capacity - 2011

PWCS – Kooragang : 89 Mtpa - Q4 2009 *

PWCS – Carrington : 25 Mtpa

NCIG K 30 Mt NCIG – Kooragang : 30 Mtpa

TOTAL : 2011 – 144 Mtpa

All nameplate capacity* PWCS Media Release 20 June 2007


NCIG Funding Arrangements

The capital costs are being financed in the capital markets by way of three major tiers of capital:1. Senior Debt2. Subordinated Debt (“SHINs”)3 Non Voting Preference Shares (“SHIPs”)3. Non-Voting Preference Shares (“SHIPs”)

Financing is supported by NCIG Shareholders :rolling 10 year Ship-or-Pay Commitments (“SOP”)10 year coal reserve life cover ratio covenant

Toll Charges will be set to recover all operating and financing costs of the Project without a financial return to ordinary Shareholders


Shareholders

NCIG Source Mines


NCIG Funding Arrangements

The funding has been provided by:

Senior Debt• Australia and New Zealand Banking Group Limited• BHP Billiton Finance Pty Limited• DZ Bank• Dexia GroupDexia Group• KBC Finance Ireland • Overseas Chinese Banking Corporation Limited• Sumitomo Mitsui Banking Corporation

S M t Li it d• Suncorp-Metway Limited

Secured Hunter Infrastructure Notes (SHINS)• Australia and New Zealand Banking Group LimitedAustralia and New Zealand Banking Group Limited• BHP Billiton Finance Pty Limited

Hunter Infrastructure Preference Shares (SHIPS)ANZ Infrastr ct re Ser ices Limited


• ANZ Infrastructure Services Limited• BHP Billiton Finance Limited

Overall Timetable

ACTIVITY DURATION CUMULATIVE TIMEYEARS YEARS

AUG 05 WIN NSW GOVERNMENT LAND TENDER PROCESS

1 year 1 year

APR 07 DEVELOPMENT CONSENT GRANTED 1½ years 2½ years

JAN 08 SECONDARY GOVERNMENT APPROVALS AND FUNDING OBTAINED

½ year 3 yearsAPPROVALS AND FUNDING OBTAINED

JAN 10 CONSTRUCTION 2 years 5 years

JAN 11 BUILD UP TO FULL CAPACITY 1 year 6 years


31 NEWCASTLE COAL INFRASTRUCTURE GROUPMarch 2008

NCIG Presentation Sydney Mining Club March08 v3.ppt · 2009. 1. 29. · • New Stacker/Reclaimer...

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Transcript of NCIG Presentation Sydney Mining Club March08 v3.ppt · 2009. 1. 29. · • New Stacker/Reclaimer...