News Wrap

IN THIS morning’s News Wrap: Miners propose new Abbot Point dredge plan; Aurizon warns iron ore price collapse threat to Pilbara project; and Griffin strike threatens power.

Lou Caruana

Miners propose new Abbot Point dredge plan

Queensland resources sector is proposing a new way to dispose of dredge spoil at Abbot Point coal terminal to help get new projects in the Galilee Basin across the line, according to the Australian Financial Review.

With senior ministers of the Palaszczuk government to hold a business round table with industry leaders in Brisbane on Tuesday, the future of dredge dumping at Abbot Point is expected to be high on the list of issues discussed at the meeting.

Aurizon warns iron ore price collapse threat to Pilbara project

Aurizon chief executive Lance Hockridge has warned the outlook for the rail group's Pilbara rail and port expansion is “challenging” following the slump in iron ore prices and said the company would consider returning cash to investors if the project was scrapped, according to the Australian Financial Review.

Aurizon plans to make a final investment decision next year on whether to proceed with building a new 430km rail line to Anketell Point in the Pilbara to export iron ore after teaming up with China's Baosteel last year to buy Aquila Resources' 50% stake in the West Pilbara iron ore project.

Griffin strike threatens power

A UNION official believes that Western Australia’s power supply might be impacted if workers at the Griffin thermal coal operations go on strike over drastic pay cuts.

The Collie-based branch of the Construction, Forestry, Mining and Energy Union has revealed that one of the three wage options put forward to the troubled mine’s 220 operational workers last Thursday evening consisted of an immediate pre-tax pay cut that equated to about $A50,000 per annum on average.

“CFMEU mining and energy division WA secretary, Gary Wood, warned the mine workers would go on strike, potentially disrupting the state's power supply, if mine owner Lanco Infratech insists on the extreme wage cut,”The West Australian reported.