Project Details

Please note: The ownership of Oakajee Port and Rail is currently being restructured and once finalised, it is anticipated the project will recommence. OPR will then be in a position to take expressions of interest.

1. COMPANY STRUCTURE

Oakajee Port and Rail (OPR) was established in September 2007 as a joint venture between Murchison Metals Ltd, Mitsubishi Development Pty Ltd and Crosslands Resources Ltd.

OPR was established to design, develop, construct and operate new rail and deepwater port infrastructure to facilitate the export of expanded production from mines in the mid-west region including the Jack Hills Expansion Project, the Weld Range Project and potentially the Karara Iron Ore Project.

OPR will be independently operated on a commercial basis to provide open access transport and materials handling infrastructure to all users. The Port facilities will be located approximately 25km north of Geraldton in Western Australia’s mid-west region.

2. PROJECT INFORMATION

Oakajee Port and Rail (OPR) is ready to deliver a rail and port business to transport iron ore from Western Australia’s mid-west region to customers across the globe.

On 20 March 2009, OPR and the Western Australian State Government signed an exclusive State Development Agreement for the development of the multi-billion dollar deepwater port at Oakajee, 25 km north of Geraldton and integrated rail network to service iron ore miners and other port users in the mid-west region.

The company will deliver world-class infrastructure and an integrated transport supply chain to underpin the future development of the mid-west, deliver thousands of new jobs during the construction phase and secure long-term economic prosperity for Geraldton and the mid-west region.

The port will cater for the world’s largest ore carriers and the railway network will service the growing number of mining projects in the region.
OPR is working with the State Government, the local community, iron ore producers and other industries to deliver this exciting infrastructure business to the mid-west and the nation.

In March 2010, Oakajee Port and Rail (OPR) delivered a draft Bankable Feasibility Study (BFS) to the Government of Western Australia, which demonstrates strong technical feasibility for the development of the Oakajee port and rail project.

Draft Implementation Agreements for the port and rail have also been delivered to the State. Both parties have substantially progressed the terms of these agreements and will continue to work together to progress outstanding matters.

Click here to view a video fly-through of the project

2.1 OAKAJEE PORT

OPR has conducted a number of studies and prepared an initial layout for a deepwater port facility to service the growing iron ore industry in the mid-west.

The Oakajee site boasts a natural deep anchorage - one of very few such sites on the Western Australian coast – and the proposed port, once fully developed, will have the capacity to accommodate cape size vessels to handle the identified demand of iron ore.

A comprehensive set of baseline marine studies has been in progress since October 2006. Other studies include port seismic survey, bathymetry and wave climate studies, on-shore geotechnical drilling and environmental impact surveys.

The state-of-the-art facilities at the proposed new Oakajee port will be designed to control dust. The development will complement the existing Geraldton port, with potential to reduce noise and dust impacts within the existing port area for the benefit of port users and local residents.

2.2 RAIL NETWORK

OPR will develop a state-of-the-art port and rail facility that will unlock access to global markets from Western Australia's mid-west region.

OPR is designing a strategic rail corridor from Oakajee to mines to the north east at Weld Range and Jack Hills under the exclusive development rights granted by the State Development Agreement. This corridor will also enable the construction of spurs for potential connection to other mines. The railway to Weld Range and Jack Hills has a length of about 550km. The system has been designed to handle iron ores from the various mines including lump, fines and magnetite concentrate.

OPR’s railway will be a heavy haul single track with passing loops that is designed to provide an initial export capacity of potential 45Mtpa. This can be expanded in small, efficient steps towards a possible capacity of 80-100Mtpa.

The prefeasibility and feasibility studies on aspects of the railway and its operations have been completed and will be continued to a Bankable Feasibility status during 2010. Environmental studies, including seasonal flora and fauna site investigations, are being conducted in the rail feasibility corridor, as part of approvals for railway construction that includes a Public Environmental Review. Heritage studies are being undertaken preparatory to approvals for geotechnical and ground water site investigations.

OPR has designed an integrated and optimised multi-user railway and port logistics chain, which will enable mid-west miners to access ore haulage and export facilities. Increased iron ore mining in the region will stimulate economic growth in the coming decades.

3. COMMUNITY INVOLVEMENT

3.1 Engagement of land holders

In 2009, OPR conducted heritage surveys for the port and rail developments with Native Title claimants: the Amangu, Naaguja, Mullewa Wadjari, Wajarri Yamatji and the Widi Mob. OPR is continuing this engagement, conducting further surveys this year for the port and rail.

The rail development requires access to land accommodating a rail construction corridor through the agricultural and pastoral zones. Most construction impacts are expected to be contained within this corridor.

The final operational rail corridor, approximately 100m wide, is being determined through consultation with land holders and careful consideration of environmental and social constraints, including environmentally sensitive areas, rare and endangered species, hills and rivers, heritage sites, towns, communities, houses and homesteads.
OPR appreciates the support of freehold and pastoral land holders who have provided access to properties that may be affected by the rail development.

During 2010, OPR will conduct further engineering studies in order to minimize the impacts of the rail development and in consultation with the owners, will commence discussions on compensation arrangements.

3.2 Assessing of community sentiment

OPR continues to assess community sentiment regarding the Oakajee integrated port and rail development.
Over the past several years, OPR has conducted studies and engaged with stakeholders and the mid-west community in order to better understand sentiment regarding the potential social impacts of the Oakajee project.

The overarching sentiment toward the port and rail development has been positive, as stakeholders believe it will enhance development in the mid-west.

OPR is continuing its engagement program and a separate report on social considerations will be prepared.

3.3 Project Employment

OPR expects to employ about 250 personnel, who will live in the region, to administer the safe, efficient and effective operation of the Oakajee deepwater port and associated new rail.

During construction, OPR expects the number of port and rail construction workers to reach a peak of around 2600, comprising approximately 900 port area workers and just over 1700 rail workers, 19 - 24 months into the construction period of three years.

All construction workers will be employed by the successful construction contractors. They will be accommodated in single rooms with private ensuite facilities in up to seven construction villages.

One village will be located at the port site and the others along the rail line. The portside construction village will comprise 1100 rooms. The rail villages will vary in size from 150 to 760 rooms. All villages will be managed by the successful contractors in accordance with strategies determined by OPR.

The total number of accommodation rooms will be determined bearing in mind project management manning, workforce rosters and visitor contingencies.

Once the port and rail are operational, the villages will be decommissioned.

4. PROJECT TIME TABLE

5. INDUSTRY CAPABILITY NETWORK

The Industry Capability Network WA (ICNWA) is also assisting Oakajee Port and Rail to identify Australian industry capability. Linus O'Brien at ICNWA can be contacted by phone on (+61 8) 9365 7629 or email linusobrien.icn@cciwa.com

6. USEFUL LINKS

How to use ProjectConnect CLICK HERE
Industry Capability Network of Western Australia CLICK HERE

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