Coal carrier runs aground near Great Barrier Reef

A Chinese coal carrier leaking oil in Australia's environmentally sensitive Great Barrier Reef area after running aground could be in danger of breaking up, authorities warned yesterday.

The Shen Neng 1 became stranded on a shoal 70 kilometres east of Great Keppel Island off the Queensland coast late Saturday after veering some 15 kilometres outside the shipping lane.

"She is completely damaged on the port side," said Patrick Quirk, general manager of Maritime Safety Queensland.

"It is in danger of actually breaking a number of its main structures and breaking into a number of parts."

Mr Quirk said while the situation was stabilising hour by hour "we are still very concerned about the ship".

The accident occurred within the southern zone of the Great Barrier Reef Marine Park and the government is investigating why the ship strayed so far outside the shipping channel, Queensland Premier Anna Bligh said.

"The vessel is in a restricted zone of the Great Barrier Reef Marine Park - these are zones that are off limits to shipping," she told reporters.

Maritime Safety Queensland said only small volumes of oil had been seen in the water in the vicinity of the ship and the spill was a "ribbon" of oil measuring approximately three kilometres by 100 metres.

"While the amount of oil is considered relatively small at this stage, it is a 'persistent' substance and expected to take some time to break apart," they said in a statement.

Authorities sprayed chemical dispersant on the slick yesterday and experts were assessing the vessel to see how it could be salvaged.

Environment Minister Peter Garrett said it was too early to say whether the spill would have a lasting impact on the World Heritage-listed Great Barrier Reef - one of Australia's biggest tourist attractions.

"We don't have advice at present as to whether the oil is going to threaten any part of the ecology of the reef," Mr Garrett told ABC Radio.

"That's why we want to use a dispersant quickly by trialling to assess its effectiveness. Once we've evaluated its effectiveness, then it might be available for further use."

The owners of the 230-metre carrier, loaded with about 65,000 tonnes of coal and with 975 tonnes of heavy fuel oil on board, have engaged professional salvors to determine how to salvage the ship.

The incident follows a large oil spill from the container carrier Pacific Adventurer in March 2009, which polluted Moreton Island and Sunshine Coast beaches, and conservationists warned there will be more spills to come.

"We can be certain that this is a sign of things to come," said Capricorn Conservation Council spokesman Ian Herbert. "A year ago, Moreton Island, yesterday Great Keppel Island, next year - who knows where?"

Queensland's ports will be the exit points for billions of dollars in coal and Liquefied Natural Gas (LNG) exports over the coming decade, as new resources projects designed to meet Asia's energy needs are developed.

The Great Barrier Reef, which covers 345,000 square kilometres along Australia's northeast coast and is celebrated as the world's largest living organism, is already facing the twin threats of climate change and toxic farm chemicals.