Non-expansionary Capital Works
Since 2009, DBIM has been implementing a non-expansion capital works program (NECAP) at the terminal, comprising projects which ensure the terminal remains in a safe and efficient operating condition, but which do not increase terminal capacity. Most NECAP projects are related to safety and environmental improvements or compliance with various regulations and standards. Major NECAP projects are also undertaken from time to time. Examples of major NECAP projects undertaken in recent years are the replacement of Stacker Reclaimer machine SR1 with a new reclaimer RL3 and the Water Quality Improvement Project which included augmentation of water storage on site, upgraded water transfer capability, additional settling and clean out infrastructure and the provision for flocculation.
Expansionary Capital Works
Designed with an initial capacity of 15 million tonnes per annum (MTPA), DBT’s capacity has expanded significantly over the years. DBI delivered the following expansions from 2001:
|EXPANSION STAGES AS FOLLOWS:|
|Stage 1||22.55 MTPA||1990|
|Stage 2||26.55 MTPA||1995|
|Stage 2A||28.55 MTPA||1997|
|Stage 3||33.55 MTPA||1999|
|Stage 4||37.55 MTPA||1999|
|Stage 5||45.50 MTPA||2002|
|Stage 6||54.50 MTPA||2003|
|Stage 7X||85.00 MTPA||2009|
8X – Terminal Expansion and Optimisation
DBIM has significantly advanced the planning process for the 8X terminal expansion project (8X) given the demand in end markets for metallurgical coal and the need for continued energy security for a world in transition. 8X is based on a design philosophy of developing within our existing footprint and is focused on driving efficiencies through engineered optimisation of rail receival, yard capacity and outloading systems. Should all four phases of the project be implemented, 8X is expected to increase DBT’s capacity from 84.2Mtpa to 99.1Mtpa.
Operationally, the development has been purposefully designed:
- At a designated Priority Port – under the Queensland Government’s Sustainable Ports Development Act, 2015 – and a ‘Relevant Port’ as prescribed by the National Ports Strategy
- Within Strategic Port Land as per the Transport Infrastructure Act, 1994
- Within existing DBT footprints and leased areas (waterside and landside)
- To not involve either Capital or Maintenance Dredging
- To not involve development within the Great Barrier Reef Marine Park
DBI has partnered with Brookfield Infrastructure Group, North Queensland Bulk Ports and Japanese trading group Itochu, to fund feasibility studies aimed at understanding the potential for development of a regional hydrogen hub within the vicinity of the DBT at the Port of Hay Point. As part of a pathway to greater diversity in commodities handled through DBT, the feasibility studies will help clarify the green hydrogen production capability of the region surrounding DBT, and the scope and scale of upgrades required to the existing terminal infrastructure to handle green energy exports.
As part of the studies, the parties engaged respected industry analysts, Wood Mackenzie, to undertake an assessment of the likely supply and demand growth of green hydrogen and its derivatives over the period to 2050. Wood Mackenzie estimates that total global demand for hydrogen will increase from approximately 80Mtpa currently to over 250Mtpa by 2050 (per Wood Mackenzie’s Energy Transition Outlook). Further, while 100% of current hydrogen demand is satisfied from fossil fuel-based products, by 2050 low carbon sources of hydrogen is expected to account for over 200Mtpa of the market.
Following conclusion of the market study, the parties engaged Aurecon to understand which of the green energy carriers is best suited to the existing infrastructure at DBT. The output of this work suggests that the parties concentrate their efforts on the export of ammonia given the length of the jetty at DBT. This will be the focus of the studies moving forward.
While DBI is keen to participate in the development of a comprehensive supply chain – from the construction of renewable energy generating assets through to vessel loading infrastructure – it is the company’s intention to make the terminal available to third-party producers. In much the same way that the current terminal handles coal from multiple mining companies, DBI envisions a future where green energy products from a range of producers is shipped through upgraded infrastructure to customers around the globe.