QLD Australia's Largest coal mine 22 Billion construction about to start

Discussion in 'Where to Buy' started by Elives, 6th Dec, 2016.

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  1. strongy1986

    strongy1986 Well-Known Member

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    It will fill up all those vacant houses i reckon.
    Mid term Bowen is very risky. How many vacant blocks are there in town?
    Theres 570 of them for sale at the moment, so there could easily be 800+
    Once they start building on those blocks its bail out time.
     
  2. Phase2

    Phase2 Well-Known Member

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    Not necessarily. It sounds stupid, but it's to do with personnel logistics, and pay equity etc.. once the port is up and running though, it will only need a skeleton crew of maintenance people to keep it running. The rest will be managed from Townsville. I don't see any population boom / housing squeeze in Bowen that will be supported by the new operation. Maybe some uptick from construction, ala Gladstone but that's it.
     
  3. strongy1986

    strongy1986 Well-Known Member

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    Sorry i was talking more in terms of construction phase than ongoing positions
    Surely there would be quite a lot of 3rd party contractors required during construction? Thats where i would see the upside for Bowen
     
  4. Elvis1

    Elvis1 Well-Known Member

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    Wasn't there an agreement to employ locally and spend locally therefore injecting funds into local towns .
     
  5. Phase2

    Phase2 Well-Known Member

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    Probably not a lot of contractors that will need local housing. If I were Adani, I'd be building temp accommodation as soon as I start dredging and site clearing.
    The real influx of people will start with the civils and peak just after the electrical crew arrives. By this time the camp should be ready for the civils guys, and continue to expand as the workforce grows.

    The order of site work will go something like this, with some overlap:
    - Dredging and site clearing (local accommodation)
    - Camp construction, piling and bulk earthworks (local accommodation)
    - Civil works (camp)
    - Structural / mechanical installation (camp)
    - Electrical (camp)
     
  6. Phase2

    Phase2 Well-Known Member

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    'Locally' is a very ambiguous term. Local could mean Townsville, Mackay, or even Brisbane...
     
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  7. Scott No Mates

    Scott No Mates Well-Known Member

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    Or non- 457 visa holders.
     
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  8. Kangabanga

    Kangabanga Well-Known Member

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  9. eletronic_exp0430

    eletronic_exp0430 Well-Known Member

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    Locally doesnt mean local to the site. I believe Local refers to non 457 workers. Meaning the entire of Australia is fair game. Whoever wants to FIFO they can.
     
  10. strongy1986

    strongy1986 Well-Known Member

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    My interpretation is residents of north and central queensland with relevant skills will.be preferenced
     
  11. gman65

    gman65 Well-Known Member

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    It won't be billions, by the time the Government offers huge concessions, throws away royalites (that won't be there anyway with poor demand) and provides financial backing, putting our credit rating at risk. Time and time again they get their budget estimates completely wrong. In the last decade or more, the QLD government has ****** away billions of dollars on ill-conceived ideas - toll roads, IT outsourcing, healthcare, and more. This is going to be yet another is a very long list of failures, yet with this one you can even see the headlights before the truck hits you.

    Basically it is the public financing a dubious project that should never get off the ground that nobody wants to support privately due to a poor return, poor perception, and high economic risk. The likelihood of the mine profitibility is exterely low due to the low price and increasing reduction in demand for thermal coal moving forward into the next decade and beyond.

    I still am very curious has to what back-room politics and what is changing hands under this. No doubt the country seats pressuring heavily, as they do.

    Indeed.. I think the realistic job forecast was 1000-2000 workers that Adani admitted to eventually. That isn't even a **** in the ocean.

    There is that, but also because it makes no economic sense short, to even long term. Firstly there is a large global surplus of thermal coal right now, that does not look slowing for a long-time. India itself has expressed a desire to cut back on imports to zero, and ramp up their own domestic production in the next 10 years. Then there is the fact they are cancelling coal power-stations across the board, which is the same story in China..

    India just cancelled 14 huge coal-fired power stations as solar energy prices hit record low

    You have to consider the costs of solar energy are plummeting worldwide, making the creation coal-fired power stations an even poorer proposition. You have to look outside of Australia, because we are quite behind on our attitude. Most other countries are looking to when and how they can do away with coal. They may be dependent on it for a while to come, but where the Carmicheal mine has an estimated life of "60 years", even 10-20 years out you've got to ask just where will be the demand. Just a small sample:

    Coal in 'freefall' as new power plants dive by two-thirds
    From coal to solar, India’s energy landscape is almost too hard to keep up with

    There are plenty of articles out there, but there aren't too many that are bullish on coal (other than propogated by the coal industry itself).

    The LNG project is a good parallel... promised the world and yet, a few years on, has it made any difference to QLD, the economy, or jobs? Absolutely none. Ask a few Gladstone investors how their investments are going, many sad stories of people worse off due to the projects, rather than better off.
     
    Last edited: 31st May, 2017
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  12. strongy1986

    strongy1986 Well-Known Member

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    Some of what you are saying makes a good deal of sense however economic reality is that solar and wind require battery storage and batteries are expensive.
    If the average household uses average 20kwh a day then they are going to need about 40kwh of storage to achieve there daily needs as the sun doesnt always shine how we would like it to.
    So based on some up to date pricing of battery storage systems i have (chinese supply prices) , its about 50k in costs once supplied and installed to achieve the green outcome.
    So whos going to foot this bill?

    I think Adanis intention is to not on sell the coal. They are going to use it in their own stations to supply hundreds of millions of indians with electricity.
    These people currently cook by by burning cow poop amongst other things.
     
  13. Marg4000

    Marg4000 Well-Known Member

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    No, Adani will be coal. He could already work in the coal mines in qld if he wanted to.

    His wife is a nurse and as he had asthma as a child she won't let him work with coal dust. And with the re-emergence of black lung, she obviously knows a thing or two.
    Marg
     
  14. Scott No Mates

    Scott No Mates Well-Known Member

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    There have been a few cases hit the headlines a while back. Also known as the Tighes Hill Cough (suburbs around the Newcastle Coal Loader).