Economic Calendar

Monday, September 22, 2008

Australia Warns of Severe Weather for New South Wales

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By Jesse Riseborough

Sept. 22 (Bloomberg) -- Australia's weather bureau issued a severe thunderstorm warning for a large part of New South Wales, the nation's most-populous state.

The bureau has warned of destructive winds and large hailstones for 14 districts including the Hunter region -- home to the world's largest coal-export harbor -- as a strong cold front brings rain and thunderstorms to the region later today, according to its Web site.

The entire state is at risk of storm damage and residents should be prepared, Tony Kelly, the state's minister for emergency services, said in an e-mailed statement. Last year's storm season generated 82,500 insurance claims worth A$447 million ($371 million), Kelly said.

``The State Emergency Service is on full alert with all volunteers on standby and they have been advised the whole of the state could potentially be impacted,'' Kelly said. ``We expect Sydney to be impacted by late afternoon or early evening.''

Shipping movements at Newcastle port, the world's largest coal export harbor, haven't been restricted, Newcastle Port Corp. spokesman Keith Powell said by phone. There has been no impact on coal rail or port operations, said Jonathan Vandervoort, general manager of the group coordinating coal transportation through the rail and port system at Newcastle.

Rio, BHP

Rio Tinto Group, Xstrata Plc and BHP Billiton Ltd. are among mining companies that ship coal through the port.

The Illawarra coast, site of the Port Kembla Coal Terminal, managed by BHP and located 72 kilometers south of Sydney, is also under a warning.

The weather bureau will provide another update on the storm at 5:00 p.m. local time, it said.

Towns that may be affected include, Nowra, Orange, Goulburn, Wagga Wagga, Albury, Deniliquin, Tibooburra, Cobar, Broken Hill, Coffs Harbour, Port Macquarie, Taree, Armidale, Tamworth and Moree, the bureau said. Residents should move cars away from trees, secure loose items, unplug computers and appliances and keep children and pets indoors, the State Emergency Service warned.

To contact the reporter on this story: Jesse Riseborough in Melbourne at jriseborough@bloomberg.net


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