Queensland's $2.6 billion Wiggins Island Coal Export Terminal remains on track to start exporting coal in November despite the collapse of one of its owners, Bandanna Energy, chief executive Robert Barnes said.
Bandanna Energy, which has been developing thermal coal mines east of Rockhampton, went into administration on Monday. It is part of a consortium of eight miners, along with Wesfarmers Curragh and Yancoal Resources, that has paid for the development of WICET to export coal.
WICET's financial structure is supported by bank guarantees from all eight shareholders, as well as commitments from all the miners to cover any shortfall in financing and operating costs, according to Mr Barnes.
"We have got no issue with this [collapse of Bandanna]," Mr Barnes said.
WICET is due to receive its last major piece of equipment, a shiploader made in Malaysia that weighs 1300 tonnes and is 60 metres high, on Wednesday. Coal trains will be unloaded in late October with WICET due to start exporting coal on November 25.
Coal miners must start making payments to WICET once coal is loaded on to ships, and will need to pay for their allocated capacity regardless of whether they are producing coal or not.
Bandanna's collapse will force the remaining miners to ship additional coal to compensate for the shortfall, find other miners who want to ship coal, or make additional financial payments. Hedge funds are watching WICET closely for signs its banking syndicate, which has loaned about $2.45 billion in senior debt to the project, will not get its money back.
