According to Mr Nev Power CEO of Fortescue Metals Group, WA iron ore industry could put its competitiveness at risk if a new port planned for Anketell Point in the West Pilbara is not developed the right way.
Hinting a State Government decision on Anketell was a few months away, Mr Power said his priority was to see it developed as a low-cost operation with scope to expand annual capacity as high as 400 million tonnes.
But in keeping with a recent softening of overt hostilities between Fortescue and Aquila Resources which, like Fortescue wants a hand in developing Anketell Mr Power insisted his concern was how it was built not who was in charge.
Mr Power said "I think the only problem with the development of the port is if it's developed as a high-cost facility because that will impinge on the long term competitiveness of our business and the export of iron ore from WA."
He said that "We believe strongly that it's in everyone interest to ensure the port is developed cost effectively and as a low cost operation. But outside of that I think all of the options for development will come down to how it's funded and how the participants want to be involved in the construction process itself."
Fortescue and Aquila have spent the past year lobbying Premier Colin Barnett to be put in charge of Anketell to ensure it is built to suit their requirements for Aquila that means sooner and for Fortescue bigger.
More recently, however, Aquila opened the door to the possibility of a 50-50 joint venture with its much bigger rival and Mr Power confirmed Fortescue was still in contact with API, the joint venture vehicle for Aquila's West Pilbara iron ore project.
Mr Power said "Our desire has always been to make sure that the design of the port allowed for the early stages of development and then successive expansion of the port efficiently and cost effectively."
He said that "We've been continuing to work with the Government and continued to have discussions with API along those lines and that's been progressing quite well."
(Sourced from thewest.com.au)
