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Moorebank Intermodal Company (MIC) and the Sydney Intermodal Terminal Alliance (SIMTA), have reached financial close for the Moorebank Intermodal Terminal Precinct PPP project.

SIMTA, a consortium of Qube Holdings and Aurizon Holdings, will develop and operate the open access freight terminal on a joint precinct comprising Commonwealth land and adjoining land owned by SIMTA.

The total project cost is estimated at certain AUD1.5 billion (US$1.16 billion) over ten years.

The precinct will include an import-export (IMEX) freight terminal with eventual capacity for up to 1.05 million containers per year, and an interstate freight terminal with capacity for up to 500,000 containers a year. Stage 1 will see 250,000 containers per year through the IMEX facility. The first stage of the interstate terminal will have a similar capacity. Subsequent stages will be developed in line with demand.

As we reported in early August, Qube, the Australia-based freight logistic company announced that it had entered into an agreement with Aurizon Holdings Limited to acquire all of Aurizon’s interest in the Moorebank project in Sydney (Australia), conditional upon financial close with Moorebank Intermodal Company (MIC).

The acquisition includes Aurizon’s 33% interest in the Moorebank Industrial Property Trust (MIPT), which owns the 83 ha freehold land at Moorebank, as well as all of Aurizon’s interests in development of the rail terminals and associated warehousing under the 99 year lease agreements across the entire 243 ha Moorebank precinct. The transaction would bring Qube’s ownership of MIPT and the Moorebank project to 100%.

Qube Holdings’ Managing Director, Maurice James, said:

“The Moorebank development is certainly a once in a lifetime opportunity and Qube is pleased to have reached agreement with Moorebank Intermodal Company to deliver this important piece of national infrastructure.”

“Linking one of the nation’s busiest ports by rail to an inland facility with the sheer scale and location benefits of the Moorebank site is a game changer that will deliver huge long term benefits to both business and consumers.”