Nice post buffet. Looks like today's resource stocks trashing is related to falls in commodities & fear related to Chinese slowdown, instead of the usual US-market fear bogeyman.
On a similar theme to your post, there are so many world-class/outstanding mineral/resource provinces in this country (off the top of my head, Pilbara, WA Goldfields, Kambalda Nickel Province, Georgina Basin NT/Qld, NW Qld, Eucla Basin WA/NT, Arckaringa Basin SA, Lake Eyre Basin SA, Surat Basin Qld, not forgetting Tassie etc), however, most of these regions as we know are fairly isolated, with local rail services developed by and for industry. Amazing to reflect that in 2008, Australia still doesn't have a dedicated freight line from the east coast to the west.
30 years ago, Lang Hancock and Joh BP proposed building such a rail line from the Pilbara to the East Coast. Nothing came of it.
No big picture vision from our leaders, either. The lack of major rail infrastructure in this country is a critical element missing, which is needed for industry to develop.
However, the current Fed Govt looks to be using some initiative, and has made infrastructure a real priority.
"Infrastructure Australia" is to be created media link here and the Govt has set aside $20bn for the "Building Australia Fund".
Also, I see that a commitment has been made to a WA Infrastructure Fund media link here
For federal infrastructure, the Govt will evaluate proposals by PPP (Public Private Partnerships).
I'm aware of two groups with the big picture vision that this country needs to develop, who both have big plans and the motivation required to try to develop improved inland rail in Australia.
Actually, two individuals, coincidentally both based in Brisbane, with their supporting groups, to push this issue.
East West Line Parks, led by Mr. Shane Condon, East West Line Parks Web site are determined to build a rail line from near Newman WA to near Bowen Qld, connecting to Port Hedland, thereby linking the iron ore deposits with coking coal mines, to facilitate the building of smelter parks along the rail line. Target date is 2014. So far, 18 of the world's largest steelmakers have expressed interest in this project.
And secondly, Australian Transport & Energy Corridor Ltd (ATEC), longtime proponents of The Australian Inland Rail Expressway, led by Mr. Everald Compton. Their long term plan is to connect Melbourne and Darwin via rail through NSW and Qld. Website
Without Govt support, neither of these projects (nor others that have not received publicity) would have a chance of becoming a reality in our lifetime. And that is what has been lacking in the past. Lots of lipservice, but no true Govt support. Let's hope that finally, those who are able to wield power (on a federal and state level), do so for the benefit of this great country.
Of course, it will take years of studies and approvals, and then construction, but at least there is a sign that things may happen. Good luck to the visionaries.
cheers Marny
UMC Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
