The $A600 million project, which will connect the North Goonyella and Newlands rail systems, was declared a significant project under the State Development and Public Works Organisation Act.

The declaration means the Coordinator General will manage all approval processes - including environmental approvals and processes, which would normally be the province of various local councils and local authorities.

"It will enable Government and industry to be in a position by mid-2006 to move quickly to construction, should this line and the associated expansion of the Abbott Point Coal Terminal prove to be the best option to provide new coal export capacity for the northern Bowen Basin,” Queensland premier Peter Beattie told parliament on Friday.

The link will involve construction of more than 70km of track in a new corridor, and future electrification of the new and old sections, to create a continuous network of mines, rail and ports.

It will mean Bowen Basin coal can be carried in an uninterrupted chain from Abbott Point, which will also help alleviate congestion at Dalrymple Bay/Hay Point.

The State Government has backed the planned expansion at Abbot Point and in March announced expedited planning for more than $A1 billion worth of north Queensland infrastructure projects, including the Northern Missing Link.

The project is expected to take 3-4 years, with completion in about 2009.