Source: Mining News

Oakajee port moves closer towards development

Wednesday, 27 February 2008

THE Western Australian Government has today completed the formal request for proposal (RFP) documentation for the right to build a new deep-water port at Oakajee in the state’s Mid-West.

Midwest Corporation and Murchison Metals – the mining companies who have an interest in building the facilities – will be issued with the RFP document tomorrow.

Planning and Infrastructure Minister Alannah MacTiernan said the RFP marked a key turning point in securing a suitable investor to build the long-awaited port 20km north of Geraldton.

“Oakajee has been identified as the best site for a deep-water port in the State’s Mid-West,” MacTiernan said.

The port’s construction will be fully funded by private investment and is estimated to cost about $A1.5billion.

Based on Murchison Metals and Midwest Corporation’s flagship iron ore projects, it is expected that exports from Oakajee port will generate about 45 million tonnes annually over the next 20 years.

There is also potential for port throughput to increase beyond this point if other mining projects such Gindalbie's Stage Two are proved up.

MacTiernan said Oakajee would become one of the largest bulk commodities ports in WA, behind the Pilbara ports of Port Hedland, Dampier and Port Walcott.

The successful infrastructure providers will construct and control their own berth at the new port and provide necessary common-use infrastructure such as a channel, breakwater and turning basins, which will be transferred to the state and be managed by the Geraldton Port Authority.

MacTiernan added there would be equitable third party access to the common-use infrastructure through the Geraldton Port Authority, with access to private use infrastructure to be on commercial terms through the respective owners.

The infrastructure provider would also be entitled to agreed capital user charges for third parties accessing the common-use infrastructure.

The Port Concept Plan would allow the port to expand to include other iron ore berths and general purpose berths as the need arose.

The closing date for proposals is May 9. A preferred proponent is expected to be announced by June 30.

Construction of the port could begin by late 2009, subject to relevant approvals and environmental processes, and could be operational by 2012.

One of the options for the eastern projects looking to use Oakajee is to build a rail to Leonora and rail down to Esperance - a small upgrade required at the port. Would be far more costly for Midwest et al (closer to Geraldton) than the Oakajee port - but still viable for all in the midwest region. Another alternative is to go north and link into the other existing iron ore port/rail infrastructure - so there are two economically viable options to Oakajee - they do however require much longer rail lines and increased fuel use accordingly.

Yeah you're right - I suppose the onshore environmental damage and increased fossil fuel usage would put the northen option out - the Esperance option is still viable for the eastern projects though. Must take another look at the save Oakajee site - do you know the IRL. I wonder if there are any alternatives close to Oakajee that could be acceptable to all interests.

I doubt it will have much if any effect on coronation beach even if it does go ahead.


http://www.geraldtonwindsurfclub.com/oakajee/oakajee.html

Thanks stehsegler - interesting read.

Having had a look at the map and swell direction on that site " I " dont believe it represents the situation well. Oakagee and coro run at about 330° the swell hits at about 50° and the waves hit the coast close on right angles. I don't doubt beach errosion will be a problem north of Oakagee but " I " still cant see it affecting coro.

If what was represented was accurate, then I doubt there would be waves from st georges to drummonds because point moore would have blocked the swell and that runs out 4kms.




Point moore is almost deserted anyway, cant you remember when eves had 25 windsurfers on it all the time?

kiterdan said...

What happened to the artificial reef proposal??

That was just to make everyone shut up so they could get through the port proposal.
Once that's through, the artificial reef proposal will be shelved due to 'unforeseen cost over runs."
( I don't know why I'm such a cynical old b........"

Rex said...

kiterdan said...

The 'swell shadow' won't be as clearly defined as depicted in the diagram as there will be swell diffraction as it comes around the point and hits shallower water.

Spot x is definitely gone but I don't think Corros will be too badly affected.

What happened to the artificial reef proposal??

It's interesting that if you look at google earth the swell lines along the coast can clearly be seen hitting at almost right angles even though the direction of the coast changes so much between Dongara and Kalbarri, ya gota love ocean dynamics.

The reason for this is probably that although the swell in the open ocean is at about 45 degrees or more, as it runs into the shallow water, the interaction with the ocean floor swings the waves around so that by the time they break, they are nearly at right angles to the shore.
It's a bit like getting one car wheel off the road into the dirt and it swings you further into the dirt.
You might notice that regardless of the swell direction, from north west to south west, the waves still hit the beach mostly within about 20 degrees of perpendicular.

I would be interested to know the price per kilometer for a train carrying ore compared to a tanker carying ore. If it's all heading north is there a huge differance - 1 bill in rail should get you further north with a train line? and you might have a few bucks spare. I know on the ocean theres no environmental approvals or significant sites to worry about. It may be too hard to get a rail line further north?

just by 2 bob worth, I'm sure its been scrutinised by various consultants, but unfriendly rival miners may not like these dudes using their port???