More than 150 jobs will be created in the Port Augusta region as new owners of the former Northern Power Station build a $ 250 million port.
- Cu-River mining bought the former site of the power plant
- The company plans to build a port capable of dealing with iron ore, grains and other commodities
- The site is the size of Adelaide CBD
Flinders Power has sold the former plant site to CU-River Mining – a South Australian iron ore magnetite producer that has mining and exploration licenses in the far north of the state.
The new owners plan to turn the site into a "bulk transhipment and bulk port facility," which will boost jobs in the Upper Spencer town.
More than 150 people are expected to be employed during construction and up to 100 permanent positions are created when the new $ 250 million door is in operation.
Construction will start as soon as feasibility and approvals are completed and the port is operational within two years. He will see the return of commercial shipping to Port Augusta for the first time in 50 years.
It is proposed that the port facility be able to deal with iron ore, grains and other commodities.
The barges will be loaded into the port and then navigated to the deeper waters of the Gulf of Spencer to unload on larger ships, the size of Cape, which have a capacity of approximately 175,000 tons.
The northern power station near Port Augusta was demolished in November 2017. (Provided: McMahons)
& # 39; Direct export route & # 39; for mining company SA
CU-River's external affairs manager, Shelaye Boothey, said the 1,068-hectare site – about the size of the Adelaide CBD – was an important acquisition for the company.
"CU-River has a strong flow of projects and an ambitious growth strategy that will keep it based in South Australia for the next few decades," she said.
"Buying the site is a significant strategic decision that allows CU-River to secure a direct export path for the 15 million tonnes of high grade iron ore magnetite it plans to harvest each year from 2026.
"However, we intend to develop the port as a multi-user facility, providing Spencer Gulf and the North End industry with new export opportunities."
Ms Boothey said due to the significant size of the site, there was considerable scope for the land to be developed for a number of commercial uses.
"Let's examine the feasibility of building a large-scale solar farm," she said.
"However, we will explore all options to ensure that the commercial potential of the site is maximized.
"The development of the site will result in more jobs for Port Augusta, making this an interesting prospect."
In May 2016, the Norther Mill was closed, forcing about 400 workers out of work.
Its two 80-meter boilers were demolished about 18 months later and its 200-meter chimney was destroyed in November 2018.
The sale is expected to be completed in April 2019.
Flinders Power CEO Peter Georgaris said the company is committed to meeting its closing and rehabilitation obligations.
"Rehabilitation and remediation are critical to our agreed plan," he said.
"We are focused on a successful transition to a new and exciting future for this important infrastructure site. I believe that the transition from the site to a port facility is an excellent opportunity for Port Augusta and the region."