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New port for Pilbara

Anketell identified as site for multi-user port and industrial precinct

The Pilbara is set to get a major infrastructure injection by way of a new deepwater iron ore port.

Anketell, 30km east of Karratha has been identified by the Liberal-National Government as the site for the multi-user port and industrial precinct, which will complement Port Hedland and Dampier ports.

Premier Colin Barnett said the government would spend $3.5million over the next three years to plan and prepare an Industrial Precinct Development Agreement for the project, including commercial, legal and engineering advice to negotiate the agreement.

“Anketell was first identified during the 1970s as a potential iron ore port,” Mr Barnett said.

“The port will be serviced by existing towns, especially nearby Karratha, providing further business and development opportunities for Pilbara communities.

“This project will help Western Australia develop and the revenue it will generate will help pay for our schools, hospitals and other services.”

The precinct, which would ultimately include a port with more than 350 million tonnes annual export capacity, an industrial area of more than 1400 hectares and a corridor for transport and services, would be developed to accommodate a range of users and different mineral commodities.

The multi-user port will be built by a private proponent under an agreement with the State Government.

Three significant iron ore projects have been identified as potential foundation investors in the new precinct: API Management (for its 30-40 million tonnes per annum West Pilbara Iron Ore Project); Fortescue Metals Group (for its 30-60mtpa Solomon Project); and China Metallurgical Group Corporation (for its 15mtpa Cape Lambert Iron Ore Project).

“The Government will work with these companies, or an infrastructure provider to develop the project, with plans to commence operations by 2015,” Mr Barnett said.

He agreed the strength of WA’s iron ore exports and the growth plans of current users were testing the capacity of the existing Pilbara ports.

“In 2008-09 the Pilbara exported more than 326 million tonnes of bulk commodities, mainly iron ore.

“This is forecast to reach more than 530mtpa by 2015 and as much as 750mtpa by 2020.

“The Anketell port and industrial precinct will provide opportunities for new exports and processing of iron ore and other minerals.”

The Department of State Development would lead negotiations on behalf of the Government, Dampier Port Authority would manage the new port and infrastructure corridors and LandCorp would develop the industrial precinct.

The Chamber of Minerals and Energy of Western Australia (CME) has welcomed news of the new port.

CME chief Reg Howard-Smith said WA's economy was rapidly recovering from the global economic
downturn, but infrastructure was required to facilitate resources investment and was the essential foundation to facilitate broader economic growth and change.

“According to CME’s growth forecast for the Pilbara, existing ports are inadequate to service resources growth," Mr Howard-Smith said.

“Significant investment in new port infrastructure is therefore needed for the Pilbara region to realise its full resource development potential.

“It is noteworthy that the State government is spending $3.5 million during the next three years to plan for the Anketell development. Expenditure such as this on key regional infrastructure is underpinned by State revenue from royalties.

“It is yet another example of why it is vital that royalties earned in WA, stay in WA,” Mr Howard-Smith said.