ABC Net reported that Brisbane energy company said that the approval of a massive coal and rail project in Queensland's central west may boost prospects for other developments.

Coalbank is exploring for thermal coal south of Blackall and said that the green light for the GVK Hancock rail line between Alpha and Abbot Point, near Bowen, will help to bring infrastructure to the remote region.

Mr Bruce Patrick chief executive said that the lack of rail has always been an obstacle in developing the Galilee Basin. He said that "We are really reliant on infrastructure such as rail to be bought out into these areas to make these projects viable. So the major impact on us is the potential for the standard gauge railway to be built to north of Alpha has improved, and the easiest way for us to get coal to the coast would be to link up with that railway in the future."

Securing water supply to the mines is proving more of an issue for Galilee miners.

In July, the Queensland Government scrapped plans to dam and pipe water from the Connors River, near Mackay.

GVK Hancock Coal said that it has several options to investigate, including water harvesting close to the mine as well as piping water from Fairburn dam, near Emerald.

Source - ABC Net

(www.coalguru.com)