Adani must fund mine: Queensland premier

A major expansion of the Abbot Point coal terminal in north Queensland has been approved by federal Environment Minister Greg Hunt.

Abbott Point coal terminal. (File: AAP) Source: AAP

Queensland's government has warned Indian mining giant Adani it must finance the controversial Carmichael coal mine on its own.

The federal government has today approved the expansion of Abbot Point port, which is intended to service the proposed Carmichael mine, prompting Premier Annastacia Palaszczuk to sternly tell Adani not to expect any financial assistance from the state.

She says there'll be no taxpayers' money going towards the project.

Federal Environment Minister Greg Hunt approved the Abbot Point project, with conditions including that no more than 1.1 million cubic metres of dredge material is removed.

The dredge material must also be placed in a designated onshore area.

It was the third version of the project to be submitted for approval.

The material to be dredged is now substantially lower than the 38 million cubic metres originally proposed.

The expansion will boost the port's capacity to meet anticipated export demand from proposed coal projects in the Galilee Basin, including Indian mining giant Adani's controversial Carmichael mine.

The dredging area is more than 20km away from any coral reef complex and the federal government maintains the project is fully consistent with the 2050 long-term sustainability plan to protect the Great Barrier Reef.

However, conservationists say the approved expansion will damage the reef.