Adani Ports acquires 50 mtpa terminal in Australia, eyes hydrogen exports

The Board of Directors of Adani Ports and Special Economic Zone (APSEZ), India’s integrated transport utility company, has approved the acquisition of Abbot Point Port Holdings (APPH), the holder of the entities which own and operate the North Queensland Export Terminal (NQXT) in Australia, from Carmichael Rail and Port Singapore Holdings (CRPSHPL).

The transaction will be completed on a non-cash basis, APSEZ revealed, adding that it will issue 14.38 crore equity shares to CRPSHPL in exchange for the acquisition of 100% interest in APPH. This is said to be based on the enterprise value of NQXT of A$3,975 million ($2.53 billion). It is understood that as part of the transaction, APSEZ will also assume other non-core assets and liabilities on APPH’s balance sheet.

As disclosed, by acquiring APPH, APSEZ will own NQXT, a natural deep-water, multi-user export terminal located at the Port of Abbot Point, approximately 25 kilometers north of Bowen, in North Queensland, on Australia’s east coast. The Indian company aims to explore potential future green hydrogen exports from the Port of Abbot Point.

With a current nameplate capacity of 50 million tonnes per annum (mtpa), NQXT is regarded as a cash-generating asset that will consolidate APSEZ’s presence along the East-West trade corridor, in line with its global expansion strategy.

NQXT, under a long-term lease from the Queensland Government, is said to provide strategic access to currently eight major customers under long term ‘take or pay’ contracts. During FY25, the terminal handled an all-time high cargo, APSEZ stressed, adding that the cargo was exported to 15 countries, including 88% to Asia and 10% Europe. NQXT posted FY25E A$349 million ($222.2 million) revenue and EBITDA of A$228 million ($145.1 million), APSEZ highlighted.

Ashwani Gupta, Whole-time Director & CEO, APSEZ, stated: “NQXT’s acquisition is a pivotal step in our international strategy, opening new export markets and securing long-term contracts with valued users. Strategically located on the East-West trade corridor, NQXT is poised for robust growth as a high-performing asset, driven by increased capacity, upcoming contract renewals in the medium term, and the potential for green hydrogen exports in the long term. We are targeting EBITDA growing to A$ 400 million within 4 years.”