The state of Queensland approved the US$2 billion North Galilee Basin Rail project, a 300-kilometer railway to connect the Carmichael mine and potentially other mines in the untapped Galilee Basin to the east coast port of Abbot Point.
Earlier, Adani signed an agreement with South Korea’s POSCO Engineering & Construction to build the rail line. Costs and other details of the contract are due to be set by the end of this year.
Despite analysts' views that Adani's project would be unprofitable at current coal prices, the company said it remained committed to pushing ahead with it to supply coal to power stations in India.
"Adani looks forward to continuing to work with our project partners and all levels of government to see this through," the company, the Australian arm of Adani Enterprises, said in a statement.
By Ruchi Singh
reporter
Park Sae-jin
swatchsjp@ajunews.com
