Port Waratah Coal Services Ltd. scrapped plans for a A$5 billion coal terminal at the world's biggest coal port in Newcastle, opting to allow the lease to lapse in 2019 and save about A$100 million in land lease fees, ABC reported May 31.
Hennie du Plooy, CEO of Port Waratah, said the company consulted with various industry shareholders and concluded that the existing terminals' capacity, including potential expansion options, is likely to be sufficient to cater for future growth in coal exports.
"We are confident that with ongoing investment in the reliability and performance of these terminals, we will be well positioned and flexible enough to adjust quickly to changes in demand," du Plooy said.
The plan to expand Newcastle's coal export capabilities, known as Terminal 4, was announced in 2009 and approved in 2015.
