Australian Aurizon’s coal volumes via rail rise 7% on year in fiscal 2017-18 to 212.4 mil mt

23-Oct-2018

Australia’s largest rail freight operator Aurizon carried 7% more coal by rail year on year in fiscal 2017-2018 (July-June) at 212.4 million mt, amid increases from both its Queensland and New South Wales operations, the company said Monday.

In the thermal coal dominant region of Hunter Valley in New South Wales, Aurizon carried 52.3 million mt of coal year, up 10% from a year earlier, the company said while releasing its results for the fiscal year.

Its giant metallurgical coal powerhouse, the Central Queensland Coal Network, carried 152.5 million mt in the fiscal year ended June 30, up 6% year on year, with two out of its four networks registering an increase.

Above rail volumes on the Goonyella system – which connects the export terminals at Hay Point, Dalrymple Bay and Abbot Point to mines operated by the largest coal miners including BMA, Glencore and Peabody – rose to 62.4 million mt, up 15% from a year earlier, the results showed.

The Newlands corridor – which links to Goonyella and provides customers with additional flexibility to access Abbot Point, servicing customers such as Glencore, Jellinbah Resources and QCoal – saw a 15% hike in volume to 20.4 million mt.

The major Blackwater system’s above rail volumes, however, fell to 58.5 million mt, down 2% from a year earlier, it said. Blackwater links Central Queensland mines from the Bowen Basin to two export terminals at the Port of Gladstone – RG Tanna and Wiggins Island Export Terminal.

The Moura corridor, which also connects to the terminals at the Port of Gladstone, also saw volumes drop to 11.2 million mt, down 7% year on year, it added.

Further south in Queensland, its South-West Rail Corridor (not part of CQCN), which connects New Hope’s coal mines to the Port of Brisbane registered a total of 7.6 million mt for the period, up 9% year on year, it said.

Thermal coal’s share of total volumes across all operations rose from 30% to 33% across the two years, while metallurgical coal fell from 70% to 67%, the company said.

Aurizon said that further growth was expected in fiscal 2018-2019 with total above rail coal volumes pegged at 215 million-225 million mt, the company said.

For the April-June quarter, CQCN’s volumes were 38.9 million mt, up 23% year on year and up 9% from the January-March quarter. Its NSW and South-West Rail Corridor volumes combined were 15.8 million mt, up 8% from a year earlier and 12% higher than the the March quarter, the company said.

Source: S&P GLOBAL PLATTS