- Government announces $3.3 million contribution towards investigating the recommissioning of the Greenbushes to Bunbury Railway Line
- Talison Lithium will also contribute up to $3.3m to the feasibility study
- Production of lithium mineral concentrate is expected to exceed 2 million tonnes per year at Greenbushes Lithium Operation
The Cook Labor Government has today announced the commencement of a joint Government and industry feasibility study into recommissioning the Greenbushes to Bunbury Railway Line.
The State Government, through the South West Development Commission, will allocate $3.3 million to conduct the study, which will be matched by Talison Lithium.
The study will be led by Talison Lithium, which operates one of the world's most important lithium mines at Greenbushes.
The investigation will build on a previous high-level feasibility study that was completed in 2020. For the past 12 months Talison Lithium has been working with relevant stakeholders, investigating prospective models.
With demand for lithium continuing to rise globally and with production from Greenbushes expected to rise to more than two million tonnes in the coming years, both industry and Government determined it was appropriate to begin the next stage of studies.
Talison Lithium will work with rail network manager Arc Infrastructure and the State Government on a detailed assessment of the engineering requirements to bring the railway line back into operation.
There will also be a substantial community impact assessment, recognising that trains have not been seen on this line for over 15 years.
Around 1.5 million tonnes of lithium mineral concentrate are currently moved between the Greenbushes Lithium Operation and Bunbury each year equating to around 135 daily truck movements on the South Western Highway.
Over the next five years, the amount of lithium mineral concentrate moved by road from Greenbushes is expected to grow to 2.1 million tonnes each year, equating to more than 70,000 truck movements each year.
Recommissioning the Greenbushes train line and moving the lithium mineral concentrate by train would remove approximately 200 trucks movements from South Western Highway each day.
The study is expected to be completed in the second half of 2024. Study findings will determine the cost of reinstatement of the track, level crossings and new terminal facilities in the Greenbushes and Bunbury areas, and a joint Talison Lithium/Arc Infrastructure/Government funding proposition.
As stated by Regional Development Minister Don Punch:
"In 2020 our Government, Talison Lithium and Arc began the process of investigating the recommissioning of the Greenbushes Railway Line, by undertaking a high-level feasibility study.
"This new study recognises the significant production increases and bright future for lithium projects in the South-West, as well as the potential to reduce the use of the region's roads by heavy trucking.
"A recommissioned Bunbury-Greenbushes rail link would also provide the impetus for greater use of the broader rail freight network linking the region with Perth."
As stated by Transport Minister Rita Saffioti:
"The global demand for lithium continues to grow at a rapid pace, and that means we will continue to see production increase at mines like here in Greenbushes.
"In the next five years, we're expecting the number of truck movements to and from the Greenbushes Lithium Operation to increase to around 200 every day, which will further increase congestion on the road network.
"Whilst there are significant positives such as reducing congestion, cutting emissions and improving road safety, we need to understand in detail what would be required to recommission the train line and the associated costs."
As stated by Lorry Mignacca, CEO, Talison Lithium:
"Talison Lithium is proud to be leading this work and looks forward to close engagement with its rail industry partners, Government, and most importantly the communities along the railway line.
"We are committed to undertaking this study and are hopeful the results of the study will lead to decisions late next year to recommission the Greenbushes to Bunbury railway line which would take our product off the roads and assist with all our decarbonisation efforts."
As stated by Murray Cook, CEO, Arc Infrastructure:
"Arc has been working with Talison and the Government for several years on this initiative and we are delighted to commence detailed studies.
"Arc looks forward to a successful outcome from the study and making a significant investment to upgrade the Greenbushes Railway Line to support Talison moving this important task from road to rail."
As stated by Warren-Blackwood MLA Jane Kelsbie:
"I welcome the commitment to undertaking this detailed study into the recommissioning of the Greenbushes Railway Line.
"There are a number of significant benefits that would come with recommissioning the line including for road safety, job creation and supporting local industry and this study will help us understand the requirements to bring it back into service."
As stated by Collie-Preston MLA Jodie Hanns:
"This new feasibility study is an important step towards recommissioning the Greenbushes to Bunbury Railway Line.
"Communities in my electorate, including Donnybrook, have raised the issue of increasing daily truck movements with me so I know this announcement to investigate re-opening the Greenbushes Line will be a welcome one.
"As the world transitions towards net zero, demand for Lithium is growing rapidly and this presents enormous economic and employment opportunities for our communities in the South-West."
