A project to build a 1,400-MW thermal power plant fuelled by Australian coal at Gazi on the Iskenderun Gulf has been revived by Australia's Seapac. A consortium put together by the firm has signed a memorandum of understanding with the Turkish Electricity Generation & Transmission Corporation (TEAS), say industry sources.

The group has until September to come up with financing for the total $2,000 million estimated investment cost. Besides Seapac, it includes Australia's SES, Germany's Siemens, France's Dumez and the local Oyak.

Negotiations for a similar project put together by Seapac which would use steam coal from Queensland in Australia collapsed when the Queensland government pulled out of the deal in 1988. Now the coal source reportedly will be from another Australian province, New South Wales, say the sources. The original plans included the construction of a coal handling port costing around $150 million at Yumurtalik near Gazi, industry sources say Dumez will now be responsible for its construction.