Australia mining company, Auiron Energy, will use some of the funding generated from a flotation on London's AIM later this month to revitalise a joint venture project to develop an open cast lignite mine and a power station at Ballymoney, Co Antrim.
The company, which changed its name from Meekatharra Minerals in November last year, revealed detailed plans for the joint venture project with Swedish engineering company Asea Brown Boveri in March 1999.
But these were subsequently put on hold following difficulties with the peace process and a failure to prevent the construction of an electricity interconnector between Scotland and Northern Ireland.
However, Mr Neil Arthur, managing director and chief executive of Auiron, has told The Irish Times that the board of Auiron has decided to accelerate the Ballymoney project.
He said the company was working towards finalising proposals for the $630 million development which would include a 660 million tonne lignite mine and a 500 megawatt power station by the middle of next year.
He said the company had commissioned several reports already which showed investment would support some 2,000 construction jobs and at least 500 permanent mining and power station jobs. The mine could produce enough lignite to produce 1,000 MW for thirty years, he added.
Mr Arthur said the decision to accelerate the Ballymoney project was taken because of the recent worldwide surge in fuel prices, a continued shortage of electricity in the Republic and a more stable political climate in Northern Ireland.
The renewed emphasis on the Northern Ireland project follows a company restructuring and progress on a major iron ore project the company is planning in South Australia.
It is understood Mr Arthur met the Minister for Public Enterprise, Ms O'Rourke, in December 1999 to discuss the project. This was followed up by a meeting with the Secretary General of the Department of Public Enterprise in February 2000. Mr Arthur said he was eager to meet politicians in Northern Ireland following the summer break.
He said the project required the commitment from a number of buyers in Northern Ireland and the Republic before it would get the green light. He said a final feasibility study for the projection would be completed by the middle of next year.
Auiron would considering spinning off the Ballymoney operation as a secondary listing on the London and Dublin stock markets, he added.
Auiron's interests in Ballymoney's lignite deposits dates from 1986 when the Northern Ireland government awarded prospecting licences to the company.
If the company submits proposals to the Government, the project would require planning permission, the approval of Northern Ireland electricity regulator, Mr Douglas McIldoon and the sanction of the Department of Enterprise, Trade and Industry to connect to the grid.
Some 30 per cent of the Northern Ireland electricity market was liberalised last year enabling competition to enter the market.
