An Update on Coal for the Bowen Basin

Transcription

1 An Update on Coal for the Bowen Basin Presented by Celeste Cronin-Stacey Regional Geologist Department of Natural Resources and Mines 26 September 2013 Photo courtesy of AngloAmerican Coal

2 Disclaimer Based on or contains data provided by the Department of Natural Resources and Mines, Queensland 2013 which gives no warranty in relation to the data (including accuracy, reliability, completeness or suitability) and accepts no liability (including without limitation, liability in negligence) for any loss, damage or costs (including consequential damage) relating to any use of the data. Data must not be used for direct marketing or be used in breach of the privacy laws. Project information is gained directly from each company for the Coal Development Projects and Mineral and Energy Development Projects to ensure the data is as accurate and up to date as possible. Note that "Proposed Start-up" dates for projects are provided by the proponent and may not necessarily reflect Queensland Government time frame estimates. Data such as employment figures, start-ups etc are predictions made by each company with the best information at hand however are subject to change. Photo courtesy of AngloAmerican Coal To gain a better understanding when looking at the workforce maps they are best used in conjunction with the Development Project Lists above as the proposed projects have different predicted start-up dates.

3 Introduction As of August 2013, there were: approximately 52 coal mines in Queensland 41 in, 4 in Northern and 7 in Southern Region, over 20 mineral mines and many medium to large (> tonnes/year) extractive quarries operating in Queensland.

4 Coal Development Projects As at the end of Quarter calendar year there were: 96 coal development projects listed in Qld; 69 in Qld; of those 26 are totally within the Regional Council area with another 3 shared with Isaac Regional Council (29); of the are new projects while 8 are expansions/extensions and the shared 3 are all new projects.

5 The Bowen Basin In 2012 calendar year: Queensland produced million tonnes of saleable coal. The Bowen Basin produced 80% of this from its 47 operating coal mines. All of Queensland's high-grade coking coal, and 48% of the export-traded thermal coal came from the Bowen Basin. Region's coal mines produced 165 million tonnes of saleable coal, representing 85% of the state's total output, and directly employed ~ full-time equivalent (FTE) positions (as at 31 March 2013). Bowen Basin Coal industry directly employed ~ 29,700 FTE positions (as at 31 March 2013). Which is about 91% of Queensland s Coal Industry positions.

6 January Present Bowen Basin Coal New Mines which have started production in Project Company Status Est. Cap Exp Employment Mining Tenure New capacity (Total) Sedimentary Basin Regional Council Region Daunia (OC) BHP Billiton Mitsubishi Alliance New project - First Production achieved Q US$1600m 1000 (con), 450 (op) ML 1781 & Mtpa coking Bowen Isaac Photos courtesy of BMA Right: Daunia Mine Coal Handling and Preparation Plant Below: Box Cut 1 at Daunia Mine

7 Expansions/Extensions which have started production this year 6 Brownfields Combined Capital Expenditure ~ $3.97 b

8 Bowen Basin Coal Expansion/Extension Development Projects which have started production in Project Company Status Est. Cap Exp Employment Mining Tenure New capacity (Total) Sedimentary Basin Regional Council Region Broadmeadow UG BHP Billiton Mitsubishi Alliance (BMA) Extension - of existing Broadmeadow Mine. First production achieved Q US$900m 650 (con, Existing (op) ML Mtpa coking Bowen Isaac Millennium OC Peabody Energy Ltd Expansion - complete A$270m 160 (con), 480 (op) ML & others 1-2 Mt coking Bowen Isaac Yarrabee East (OC) Yancoal Aust. Ltd Expansion - Ground Broken March 2013 $260m e 355 (op) ML Up to 3.2 Mtpa PCI Bowen Rolleston (Phase 1) (OC) Xstrata Coal Ltd (Glencore) Phase 1 Expansion complete May 2013 $391m na (con), 150 (op) MLA & others 3 Mt thermal Bowen Kestrel Mine Extension Project (UG) Rio Tinto Ltd Expansion - Q2 construction complete (started production July 2013) ~A$2 b 1452 (employees and contractors) ML 1978 & others 1.4 Mt hard & semi hard coking Bowen Lake Vermont (OC) Jellinbah Group (Jellinbah, Marubeni, Sojitz) Expansion - Q2 construction completed August 2013 $150m 350 (con), 150 (op) ML Mt added with expansion; total mine capacity 6 Mt coking & PCI Bowen Isaac

9 What is still in store for Greenfields Projects Combined ~ Mtpa 280e Operational Full Time Equivalent Employees Capital Expenditure ~$182 m 1 Brownfield Project increase North Goonyella up to 5 Mtpa Capital Expenditure $150 m

10 What is still in store for 2013 Bowen Basin Coal Projects New Mines Project Company Status Proposed Start-Up Est. Cap Exp Employment Mining Tenure New capacity (Total) Regional Council Region Dysart East Coal Project - Stage 1 Dysart Coal Management (Bengal Coal Pty Ltd) New Project - Stage 1 Test Pit and Bulk Sample Trial. EA amendment, Variation to Programme of Works and IAS submitted to regulators. Response received from EHP advising EM Plan required. EM Plan submission delayed and now expected end of September End of Q $40m 100 (op) MDL MT coking (Total Tonnage for trial) Isaac Jax OC Jax Coal Pty Ltd New project - FS 2013 $100m 100 (op) MLA Mtpa coking & thermal Whitsunday Northern Meteor Downs South Project (Orion Downs) (OC) U & D Mining Industry Pty Ltd (acquired 100% of Endocoal Ltd 7/5/13) New project - Project Evaluation Study, MLA & Environmental Management Plan submitted 2013 $42m 80 e (op) MLA Mt Photo courtesy of AngloAmerican Coal

11 Expansions/Extensions for 2013 & 2014 Bowen Basin Coal Projects Expansions/Extensions Project Company Status Proposed Start-Up Est. Cap Exp Employment Mining Tenure New capacity (Total) Regional Council Region North Goonyella UG Peabody Energy Ltd Expansion - introduce a LTCC system, under construction 2013 $150m na ML 6949 Up to 5 Mt coking Isaac Foxleigh (OC) Anglo American Metallurgical Coal Ltd Extension - FS, ML granted 13/11/12, MLA grant expected late $180m 90 (op) ML & MLA Mt PCI Isaac Middlemount (OC) Yancoal Aust. Ltd / Peabody Energy Ltd (50%) Expansion - under construction 2014? $500m na ML Mt coking & PCI (Stage 2) Isaac Baralaba North (OC) Cockatoo Coal Ltd (80%), JS Baralaba Wonbindi Pty Ltd (20%) Expansion - Start Construction First Coal Q Q $500m 171 (con), 200 (op) ML & ML MTPA PCI 90% Dysart East Coal Project - Stage 2 Dysart Coal Management (Bengal Coal Pty Ltd) Expansion - Stage 2 MLA submitted and accepted (ML70507). End of 2014 $100m 220 (op) MLA (was MDL 450 EPC 1188) 1.9 Mt coking Isaac

12 Greenfield Projects Combined ~19.5 Mtpa ~1,530 Operational Full Time Equivalent Employees Capital Expenditure ~ $4.75 b $ 5 b 4 Brownfield Projects Combined Capital Expenditure ~ $1.28 b

13 2014 Bowen Basin Coal Projects New Mines Project Company Status Proposed Start-Up Est. Cap Exp Employment Mining Tenure New capacity (Total) Regional Council Region Caval Ridge (OC) BHP Billiton Mitsubishi Alliance (BMA) New project - under construction 2014 US$3740 m 2000 (con), 500 (op) ML 1775 & MLA Mtpa hard coking Isaac Bluff Carabella Resources Ltd New project - MLA lodged 18/2/13, Environmental studies commenced, FS underway 2014 $30m approx (con), (op) ML up to 1Mtpa (ROM) PCI Drake OC Drake Coal Pty Ltd New project - FS, EIS released 2014 $350m 350 (con), 480 (op) MLA 10349, & Mt coking and thermal Whitsunday Northern Teresa (UG) New Emerald Coal Pty Ltd from Feb 2013 (100% owned by Linc Energy Ltd) New project - FS, EIS in progress 2014 $ m 500 (con), 380 (op) MLA & Mt Thermal/PCI Dingo West (OC) Bandanna Energy Ltd New Project - EIS underway, FS completed 2nd half of 2014 $135m 220 (con), 120 (op) MLA Mt PCI & thermal Photo courtesy of AngloAmerican Coal

14 Greenfield Projects Combined ~ Mtpa (Stage 1 Springsure Creek only) ~3,495 Operational Full Time Equivalent Employees (+4 na s) Capital Expenditure ~ $8.65 b $ 9.15 b (+2 na s & Stage 1 Springsure Creek only) 2 Brownfield Projects Capital Expenditure for Baralaba South ~ $300 m (+1 na)

15 2015 part 1 Bowen Basin Coal Projects New Mines Project Company Status Proposed Start-Up Est. Cap Exp Employment Mining Tenure New capacity (Total) Regional Council Region Moranbah South (UG) Anglo American Metallurgic al Coal Ltd / Exxaro Australia New project - pre-fs 2015 A $3500m - A $4000m 900 (con), 1300 (op) MDL 277 & 377, EPC 602 & Mt coking Isaac Byerwen (OC) Byerwen Coal Pty Ltd New project - FS, EIS released 2015 $1590m 350 (con), 545 (op) MLA & others 10 Mt coking Isaac/ Whitsunday Fairhill Coking Coal (OC) Fairhill Coking Coal Pty Ltd New project - MLA & MDLA lodged na 400 (con), na (op) MLA Up to 10 Mt coking & thermal Isaac / Northern New Lenton (OC) New Hope Corp. Ltd New project pre-fs completed 2015 $400m e 400 e (op) ML & MLA Mt coking & thermal Isaac Broughton Coal Project (OC & UG) U & D Mining Industry Pty Ltd New project - Feasibility Stage 2015 $200m 150 (op) EPC Mt Isaac Photo courtesy of AngloAmerican Coal

16 2015 part 2 Bowen Basin Coal Projects New Mines Continued Project Company Status Proposed Start-Up Est. Cap Exp Employment Mining Tenure New capacity (Total) Regional Council Region Wilton Coal Project (OC) Wilton Coking Coal Pty Ltd New project - MLA & MDLA lodged na 400 (con), na (op) MLA & MLA 70465, MDLA 463 Up to 10 Mt Coking & thermal Isaac & Togara North (UG) Xstrata Coal Ltd New project - pre-fs underway 2015 $800m 1000 (con), 450 (op) ML Mtpa thermal Sarum (OC & UG) Xstrata Coal Ltd, Sumisho, Itochu, ICRA New project - FS 2015 $1000m na MLA & Mt thermal & coking Whitsunday Northern Washpool (OC) Aquila Resources Ltd 100% (Washpool Coal Pty Ltd) New project - EIS completed, DFS completed, ML grant scheduled 2013 FYE 2015 $368m na MDL 403, MLA 80164, MLA 80176, MLA Mt hard coking Springsure Creek (UG) Bandanna Energy Ltd New project - SEIS submitted, FS completed, MLA submitted Oct 2012 Mid 2015; Longwall by end of 2016 $1180m; Stage 1 $743m, Stage 2 $437 Up to 350 (con) Up to 600 (op) MLA Mtpa (1 longwall); 11 Mtpa (when 2 longwalls) (ROM) thermal Comet Ridge Project Acacia Coal Ltd New project - Prefeasibility study complete Q $50m 20 (con), 50 (op) EPC Mt ROM ktpa Saleable Coking 65% & thermal 35%

17 Expansions/Extensions for 2015 & 2016 Bowen Basin Coal Projects Expansions/Extensions Project Company Status Proposed Start-Up Est. Cap Exp Employment Mining Tenure New capacity (Total) Regional Council Region Baralaba South (OC) Cockatoo Coal Ltd (80%), JS Baralaba Wonbindi Pty Ltd (20%) Expansion - MLA lodged on the 12/10/2012. TOR drafted. EIS commenced $300m 192 (con), 200 (op) MLA MTPA PCI 90% & Thermal Banana Curragh (Curragh West) (OC) Wesfarmers Ltd Expansion - FS underway on hold 2015 na 70 e (op), 100 e (op) MLA Up to 0.3 Mt coking Jellinbah East (Mackenzie North) (OC) Jellinbah Group (Jellinbah, Marubeni, Sojitz) Extension - pre-feasibility underway mid 2016 $75m 100 (con), Existing (op) MLA & Mt PCI & coking EPC 706 & ML Mt coking MLA & Mt PCI & coking EPC 706 & ML Mt coking Grosvenor (Stage 2) (UG) Anglo American Metallurgical Coal Ltd Expansion - Stage 2 Concept phase Late 2016 A$1600m - $1900m 114 (con), 368 (op) MLA & Mt PCI & coking EPC 706 & ML Mt coking MLA & Mt PCI & coking EPC 706 & ML Mt coking Isaac Eastern Creek (OC) NCA JV (Xstrata Coal Ltd 55%) Extension - EIS lodged & pre-fs underway 2016 na 130 e (op) MLA Extend mine life 27 yrs Whitsunday Northern

18 Greenfield Projects Combined (including Stage 1 Grosvenor) ~24 Mtpa ~1,430 1,630 Operational Full Time Equivalent Employees Capital Expenditure ~ $5.71 b 4 Brownfield Projects (including Stage 2 for Springsure Creek & Grosvenor)

19 2016 Bowen Basin Coal Projects New Mines Project Company Status Proposed Start-Up Est. Cap Exp Employment Mining Tenure New capacity (Total) Regional Council Region Minyango (UG) Blackwater Coal Pty Ltd New project - FS, TOR published 30/9/11, EIS submitted for comment June 2013 start of coal 2016 $750m 500 (con), 300 to start then 500 peak (op) MLA Mt thermal & coking Grosvenor West Carabella Resources Ltd New project - MLA lodged 7/9/2012, Environmental studies commenced 2016 $500mil approx 750 (con), 350 (op) ML Mtpa (ROM) C Isaac Belvedere (UG) Vale Australia Pty Ltd New project - FS Stage 2016 $2814m 600 (con), 400 (op) MLA , MLA & MLA & ML Up to 7 Mt hard coking Banana Grosvenor (Stage 1) (UG) Anglo American Metallurgic al Coal Ltd New project - Stage 1 under construction (started June 2012) Late 2016 A$1650m 400 (con), 380 (op) ML Mt hard coking Isaac Photo courtesy of AngloAmerican Coal

20 Greenfield Projects Combined ~13 Mtpa ~600 Operational Full Time Equivalent Employees (+ 1 na) Capital Expenditure ~ $3 b 1 Brownfield Project

21 2017 Extensions Bowen Basin Coal Projects Extension Project Company Status Propose d Start- Up Est. Cap Exp Employment Mining Tenure New capacity (Total) Regional Council Region Broadmeadow (UG) BHP Billiton Mitsubishi Alliance (BMA) New Extension Proposal to convert the existing Red Hill Mining Lease Application to an extension of Broadmeadow ML. Specifically, the mining lease conversion will allow for: An extension of three longwall panels (14, 15 and 16) of the existing Broadmeadow underground mine (BRM). -- Granted coordinated project status in June Terms of Reference under development. FY 2016/17 Subject to owner s approval Subject to owner s approval MLA Subject to owner s approval Isaac Photo courtesy of AngloAmerican Coal

22 2017 New Projects Bowen Basin Coal Projects New Mines Project Company Status Propose d Start- Up Est. Cap Exp Employment Mining Tenure New capacity (Total) Regional Council Region Belview Project (UG) (single longwall) Stanmore Coal Ltd New project - Q1 Concept study, 2017 $500mil approx 300 (con), 250 (op) EPC 1114 & EPC Mtpa ROM 80% Coking, 20% PCI/high energy thermal Eagle Downs (Peak Downs East - UG) Aquila Resources Ltd 50% / Vale Australia Pty Ltd 50% New project - ML granted August 2011, construction commenced, Drift contract to commence in 2013 FYE 2017 $1720m na ML PLA Mtpa hard coking Isaac Taroborah (OC & UG) Shenhuo International Group New project - FS Q $780m 150 (max. con), 350 (max. op) MDL Mtpa thermal Mine employee Hannah Freriechs image courtesy of BMA

23 Where to find us? /central-qld-info-maps.htm Other Useful Websites Mining online services mining/mining-online-services DNRM Interactive resource and tenure maps ce/interactive-resource-tenure-maps.htm Photo courtesy of BMA Bureau of Resources and Energy Economics

24 Thank you I would like to take this opportunity to thank you as an audience. In particular I want to thank each and every company that provided the information contained within this presentation and on our webpage. Photo courtesy of BMA