Australian iron ore prospector Hancock Prospecting says it plans to develop two mines at Alpha and Kevin’s Corner in the Galilee Basin and a 500km rail line to port facilities.

Hancock chairman Gina Rinehart had a meeting with Queensland Premier Anna Bligh to talk about the project in the state’s central west region.

The government has identified the coal-rail corridor as a significant infrastructure facility, which will be able to utilise Abbott Point.

The decision will enable the company to proceed with a bankable feasibility study.

If the project is approved, it will be the largest thermal coal mine in Australia, generating employment for thousands of people.

Rinehart says that now that the government has confirmed rail and port infrastructure, a head office for the company will be set up in Brisbane in Australia.