Cockatoo said the terminal at Gladstone at full capacity was expected to deliver 90 million tonnes per annum of coal exports.

The company added the project would also include rail and supporting infrastructure along with an integrated expansion of the existing RG Tanna Coal Terminal.

GPC is aiming to have the initial stages of the terminal commissioned by mid-2012, while Cockatoo said there were expressions of interest for capacity totalling 166Mtpa.

Cockatoo and a consortium of other coal industry enterprises are planning to underwrite the interest cost of funds advanced by Queensland Treasury to GPC – estimated to be $140 million – to complete the feasibility and the engineering design works and will also guarantee the security of those funds.

The junior said it would be recognised as a “preferred potential” customer of the terminal to enter into negotiations to secure binding take-or-pay contracts with GPC for firm and substantial capacity.

Cockatoo noted its priority position to secure export terminal port capacity from 2012 would tie in with its project pipeline in the Bowen and Surat basins.

Cockatoo shares last traded down 3c to 24c.