LISTEN | $27m row between Aurizon, Gladstone coal terminal

AURIZON has taken a battle between Wiggins Island Coal Export Terminal owners to court over future pay disputes which could see the rail company up to $27 million worse off each year.

Aurizon has told investors it received notices from seven of the eight WICET owners seeking to reduce the financial exposure from Aurizon in regards to the coal terminal project.

In an announcement in October, Aurizon said the changes "would substantially reduce" the return the company would get from constructing the $900 million rail infrastructure for the terminal.

WICET'S DAYS IN COURT

Monadelphous in $200m court claim against WICET

$32m court claim over jetty and berth construction dismissed 

WICET loses court challenge over $22m

 

The case could cost WICET $27m each year.
The case could cost WICET $27m each year.

 

It claims it met the deadlines and commitments under the contract signed on September 2011 with it delivering the first railings for the project in April 2015 before coal shipments began in May.

"Aurizon Network was to receive certain payments, which would deliver an above regulatory return on its investment in the (rail project), in return for Aurizon agreeing to develop the project on time and for a lower than forecast cost," the announcement read.

"Both were achieved."

Aurizon claimed the change of contract would see it be up to $27 million worse off each year for 20 years.

"Aurizon has continued discussions with the customers to resolve the dispute commercially," a statement to investors this month read.

"Regrettably, these discussions have not produced a resolution.

"Aurizon today issued proceedings in the Supreme Court of Queensland to assert its contractual rights under the Project Deeds."

MORE WICET COURT STORIES

WICET ordered to change documents in legal battle 

WICET loses court challenge      



Dolls help heal Gladstone mum's postnatal depression

Dolls help heal Gladstone mum's postnatal depression

A New Auckland mum has a collection of a dozen dolls

O'Dowd's call for party unity to gain voter support

O'Dowd's call for party unity to gain voter support

Nationals member wants Liberal Party to 'get on with the job'.

Company buys $1.5m of property for Agnes projects

Company buys $1.5m of property for Agnes projects

Stockwell has launched two new residential projects.

Local Partners