GVK Hancock and Australia-based QCoal, a privately-owned company focused on coal exploration and mining, have entered into a MoU to work together on coal transportation services for approximately 20 million tonnes of coal per annum.
The infrastructure is being developed by GVK Hancock, including the Galilee Basin North-South rail line, which has been recently announced as the preferred rail corridor by the Queensland state government.
The MoU sets out the key commercial principles, including the scope of services, pricing principles and service requirements, for GVK Hancock to provide transportation services to QCoal and its joint venture parties, a release from GVK Group said.
GVK Hancock and QCoal have also been in detailed discussions identifying numerous areas of co-operation developed by both parties and to contribute significantly to the economic development of Queensland.
GVK Hancock noted that executing the agreements for utilising the transport infrastructure will be seen as a major milestone towards providing third party users with fair, commercial access to infrastructure capacity.
Incidentally, GVK Hancock has received rail accreditation in December 2011 and it is expected that announcements will be made in the near future regarding successful infrastructure operators selected to maintain and operate the infrastructure facilities and selection of short listed major construction contractors to build the infrastructure facilities.
