Australian Mining Magnate Secures Coal Export Deal with China

CANBERRA, Feb. 8 -- Queensland mining magnate Clive Palmer said Saturday his company has secured Australia's largest coal export deal with China.

The Resourcehouse chairman said the company had reached a 20-year agreement with one of China's largest power companies, China Power International Development, the flagship company of China Power Investment Corporation (CPI).

"This deal with CPI is Australia's biggest ever export contract," Palmer said in a statement.

"This is Australia's largest single, non-syndicated, finance deal and the interest from China highlights the strength of the project and the benefits for Queensland and Australia in developing a new world class coal region such as the Galilee Basin," he told reporters.

"There will be four underground mines and two open cut mines," he said.

Meanwhile, Queensland Premier Anna Bligh said there was some environmental red tape to negotiate before the project was approved but she did not expect any last-minute problems.

"It is world demand which is making it a commercial opportunity," Bligh said.

More than 100 million additional tons of coal could be exported every year from Queensland because of new projects under consideration by the state government.