It Looks that Australia continue to serve challenges for the Adani Group. The dream project of building world’s biggest coal mines has received a fresh setback after Adani Enterprises Ltd. conceded it would fail to meet a March deadline to arrange A$3 billion ($2.3 billion) in financing for the project.
The December decision by the Queensland government to veto Adani’s A$900 million funding bid for a rail line meant financing would require more time to be secured, an Adani Australia spokeswoman said by phone Thursday. The Indian conglomerate said it will also consider selling a minority stake in its Carmichael project without providing further details.
The financing delay is the latest hurdle for Adani, adding pressure to its ambition to deliver the first coal production from the mine by 2020. In addition to the state government opposing a federal loan for the project, major lenders have pre-emptively excluded themselves from financing the Carmichael development because they oppose polluting fossil-fuel projects.