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By December 2006, the pipeline will deliver 9000 megalitres of water and further increase its capacity to 16,600ML by July 2007.
“Our state's mining sector is witnessing major increases in international demand for coking coal with forecasts of a 28% increase over the next five years," Queensland Water Minister Henry Palaszczuk said.
“After three failed wet seasons, levels at Eungella Dam have diminished considerably and resulted in decreased water security for Bowen Basin mines.
“Without a decent wet season, Eungella Dam cannot support further mine development, so an alternative water supply solution is essential," he said.
The development is a partnership between SunWater and coal majors BMA Coal, Macarthur Coal, Carborough Downs Coal, Isaac Plains Coal, Rio Tinto Coal Australia (Hail Creek Mine) and Millennium Coal.
Palaszczuk said the Burdekin-Moranbah pipeline would be augmented by two additional pipeline spurs.
“Work has already commenced on a 40 kilometre eastern spur to Coppabella and the Government this week granted approval for a 72 kilometre southern spur to Dysart.
“In order to progress the main pipeline project, SunWater has already delivered more than 20 kilometres of pipeline to strategic locations in readiness for commencement of pipe laying activities," he said.