Global engineer splits with Adani

Coal company boss says CQ mine project won't be impacted

Adani Australia chief executive Lucas Dow. Picture: Matt Taylor GLA011118ADANI

GLOBAL engineering specialist Aurecon has severed ties with Adani Australia but the coal company insists the breakdown of the 20-year relationship will not impact its Carmichael coal mine in Central Queensland.

Adani Australia late yesterday confirmed the split that effectively ends a two decade-long association through the Abbot Point Coal Terminal.

Adani Australia CEO Lucas Dow said although he was surprised by Aurecon's decision, it was still full steam ahead for the Carmichael project.

"Obviously we were surprised by the decision given the length of the engagement," Mr Dow said.

"It had been a constructive relationship and there's no contractual issues or commercial issues.

"On the positive side for us, it's not going to have an impact in terms of the schedule for the development of the Carmichael mine and rail project.

"There's plenty of people willing to step into the breach for the work on the port, so it's not going to have a knock-on impact on our business."

Activists who have been extremely vocal in their opposition to Adani's Carmichael project may attempt to claim the relationship breakdown as a win.

But Mr Dow said Adani had repeatedly demonstrated that it would not be intimidated or deterred by concerted campaigns from extremists.

"We've seen activists targetting companies that have been providing services to us, but importantly there's a whole range of companies that have been very strong about their support for the resourses industry, the coal mining sector and our project in particular.

"And we expect that to continue.

"Really what we want to be able to do is provide a clear message that we've been at this project for over eight years and we're determined to see it through.

"Attempts or actions from activists to have a material impact on our projects are clearly misplaced."

Mr Dow said that Adani was already in discussions with companies interested in filling the void left by Aurecon.

"There's a swag of engineering houses that we've got pre-existing relationships with that are doing work with us elsewhere that will be well and truly suited by stepping into the vacancy that Aurecon's decision's now created."

In a statement late yesterday, Aurecon said it would cease work for the Adani-leased Abbot Point export terminal following the completion of its current phase of work.

It said it would transition its people to partner with other clients over the next six to nine months.

"As part of this decision the firm has also ruled out working on any other Adani group of companies' projects.

"Aurecon continues to pivot its 7500 people and their capabilities towards a future-ready business which includes aligning to its sustainability commitments and ongoing digital transformation."

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Originally published as Global engineer splits with Adani