India's Adani Group acquired Abbot Point Coal Terminal, a dedicated coal export facility, in Queensland, Australia, from North Queensland Bulk Ports.
The $2 billion deal is the latest in a series of overseas investments by Adani Group, which operates the country's biggest non-government cargo terminal at Mundra. According to market analysts, it is the largest foreign acquisition by an Indian port company.
"The state of Queensland declared Mundra Port & Special Economic Zone as the successful bidder for a 99-year lease of the Abbot Point X50 Coal Terminal following an international competitive bidding process," Adani said.
Ahmedabad-based Adani, which recently acquired the Galilee Basin coal fields in Queensland, said it plans to invest about $750 million over the next five years to upgrade and expand facilities in the Port of Abbot Point.
"We will expand the installed port capacity to 80 million tons with demand of 100 million tons coming from our Galilee mines," it said.
Located about 25 kilometers north of Bowen, Abbot Point is Australia's most northerly coal port. Its existing coal terminal has two berths capable of handling cape-size vessels with an estimated annual capacity of 50 million tons.
Adani's recent overseas partnerships include a $1.65 billion contract to build a port-and-rail infrastructure scheme in Indonesia jointly with the regional government of Sumatra Selatan and state-owned coal mining company PT Bukit Asam.
Mundra handled a record 50 million tons of cargo in fiscal 2010-11, which ended March 31, 2011, and has set a target of 200 million tons by 2020.