Draft study backs Oakajee feasibility
Oakajee Port & Rail (OPR) has completed a draft feasibility study, opening the way to finalise the port and rail project's supply chain configuration, co-owner Murchison Metals said today.
Project support: OPR chief executive John Langoulant
OPR contractor Worley Parsons found the $4.4bn Oakajee project was technically and operationally feasible, meaning commercial feasibility was likely to be confirmed later in the year.
The costs of capital items for the project were put at $1.8bn for below-rail infrastructure, $1.2bn for the private-user port facility, $422m for above-rail assets including rolling stock and a contingency fund of $343m.
The Western Australian and federal governments have committed $565m to the common-user section of the port with $60m in contingency funds.
"The current major areas of activity include further engineering studies and progressing our approval program, together with negotiation of supply chain agreements with our potential foundation customers – Karara Mining, Sinosteel Midwest Corporation and Crosslands Resources – which we expect to be complete later this year," OPR chief executive John Langoulant said.
