DBCT outloading berth
Background History

Dalrymple Bay Coal Terminal ("DBCT") is located at the Port of Hay Point, which is 38 kilometres south of Mackay in central Queensland. It was established as a common-user terminal and commenced operations in 1983.

DBCT is supplied by an electrified rail system from the Bowen Basin coalfields and is Queensland's largest coal export terminal being the only privately owned and operated terminal in Queensland that offers multiple third party access.

The terminal was designed as an open access coal export facility by the Queensland Government on behalf of four original customers who were unable to access nearby Hay Point Coal Terminal ("HPCT").

HPCT is owned by the Central Queensland Coal Associates ("CQCA") joint venture and is operated by Hay Point Services Pty Ltd, a wholly owned subsidiary of BHP Coal Pty Ltd. HPCT was developed by the Utah Development Company in the early 1970s and further expanded in 1975-76 by the addition of the second berth.

An expansion is currently underway to expand the stockyard which will increase the terminal's capacity to 40 Mtpa. The Terminal was constructed to service mines associated with Utah.

In the late 1970s a number of new coal mine developments, not associated with Utah, were being planned but were unable to access port facilities. These mines included Blair Athol, Riverside, German Creek and Oaky Creek. The Queensland Government then made the decision to develop a common-user coal export facility immediately adjacent to the existing HPCT facility to service these new mines. The new facility, DBCT, was constructed by the then Harbours Corporation of Queensland on behalf of the Queensland Government.

DBCT currently has 9 major mining customers operating 11 local mines. The mines operated by Anglo Coal, BHP Mitsui Alliance, Xstrata (formally MIM), Foxleigh, Australian Premium Coal (APC), Peabody and Rio Tinto, represent over 80% of DBCT's throughput.

A distinguishing feature of DBCT is the use of two reclaimers to feed each outloading conveyor/shiploader. This feature enables DBCT to blend cargoes out of the stockpiles which, with other service provision, is acknowledged by terminal users as enhancing their commercial position in global markets.

DBCT processes three commercial coal categories being - coking coal, PCI coal and thermal coal - which can be blended into a possible 58 registered products. Coal processed through DBCT is defined as a homogeneous product attracting a single terminal infrastructure handling charge (known as the "TIC").

Coal is sold by the terminal Users according to an FOB sales paradigm (FOB refers to "free on board"). The customers of DBCT's Users are responsible for organising and paying for shipping. Importantly, this means that the DBCT Users have a limited ability to influence shipping patterns.

On 15 September 2001, a Babcock & Brown led consortium purchased a 99-year lease (initial 50 years with an optional extension for 49 years) of DBCT from the Queensland Government following a competitive bidding process.

This gave effective ownership of DBCT to DBCT Trust and DBCT Management. BBI was then listed in June 2002 and held a 100% interest in DBCT Trust and DBCT Management and in turn, the leasehold interest in DBCT. On 1 July 2005, BBI was restructured and changed its name to Babcock & Brown Infrastructure (BBI). The DBCT asset is managed by BBI (DBCT) Management Pty Limited which is based in BBI's Brisbane office.