Wednesday 13 May 2009OPR Welcomes Government FundingOakajee Port...

Wednesday 13 May 2009
OPR Welcomes Government Funding
Oakajee Port and Rail (OPR) welcomes the commitment by the Federal Government to allocate
$339 million over the next four years towards the development of common user facilities at the
deepwater port at Oakajee.
This investment decision, announced yesterday as part of the 2009-10 Federal Budget, was in
response to a request for support from Western Australian Premier Colin Barnett.
Mr Barnett announced late last year that the State Government would become a direct participant
in the port through funding and ownership of common use infrastructure and sought a commitment
from the Federal Government to share the development cost.
Mr Barnett has pointed to Oakajee as potentially the single-most important project for WA’s
economic development over the next 50 years.
OPR Chief Executive Officer Christopher Eves said the combined Federal and State Government’s
commitment gave the Oakajee project unprecedented support for a major Australian infrastructure
development.
“Direct financial support for Oakajee from both the Federal and State Governments provides a
massive boost for the project.” said Mr Eves.
“It indicates the widespread support for this project in Australia and demonstrates the highest levels
of commitment to see the port and rail infrastructure developed as quickly as possible.
“OPR is very appreciative of the Federal Government’s commitment and the ongoing leadership of
Premier Colin Barnett Premier to secure the funding.
“We wholeheartedly agree with both levels of government that this is a project of strategic and
national importance.”
The Federal Government’s support follows the March 20 signing of a State Development
Agreement between the WA Government and OPR that underpins the next stage of the project’s
development.
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Since the State Development Agreement was executed, OPR has opened commercial, operational
and technical discussions with a wide range of Oakajee stakeholders, including mid-west miners
and potential Chinese participants.
A project Bankable Feasibility Study (BFS) is scheduled for completion in March 2010. This is
expected to be followed by financial close in late 2010, at which stage Federal and State
Government funding will be required.
Murchison Metals Limited and Mitsubishi Development Pty Ltd, a subsidiary of Mitsubishi
Corporation of Japan, each hold a 50% economic interest in OPR.