$10 billion mine project spending announced - iMINCO Mining Training Information

$10 billion mine project spending announced

BHP Billiton held an important investor briefing in Melbourne on March 25, announcing $10 billion dollars in capital expenditures for the iron ore, metallurgical coal, and energy coal segments.

The Western Australia Iron Ore operations will receive $6.6 billion dollars to expand capacity to 220 million tonnes per year.

Queensland Coal (50% owned by BHP) is in line for $2.5 billion dollars in projects. Mining capacity will expand to 4.9 million tonnes and port capacity will expand to 11 million tonnes per year.

Hunter Valley Energy Coal will receive $400 million dollars (see previous story about 300 full-time jobs), to add 4 million tonnes of run-of-mine production.

All three deposits are massive in size and hold the types of coal in demand globally. The minimum inventory lives of both Hunter Valley Energy and Queensland Coal are in excess of 100 years and Western Australia Iron Ore’s mine life being greater than 200 years.

The additional capital expenditures not only expand capacity but retool existing infrastructure to better handle the types of effects from cyclones and rains which disrupted operations the past few years.

Strong demand from China

Strong demand coming from China fuels the investments in metallurgical coal. Two years ago China was a net exporter in terms of metallurgical coal but almost overnight, China’s import demand jumped significantly leading many to believe that China’s metallurgical coal production is in a significant state of decline.

Manganese alloy production year to date jumped by 54% from a year ago and sales volumes reached record levels on strong market demand.

The metallurgical coal segment remains under significant pressure as heavy rains flooded open pit mines in the Bowen Basin. Production in the March quarter was down 18% from a year ago.

Despite lower copper prices BHP’s coal and iron ore divisions continue to show strong demand and growth despite significant challenges to operations from Mother Nature.

The $10 billion dollar capital expenditures will expand coal production and help relieve pressure on port operations caused by storms in Western Australia.

Mining Job Information

Learn more about the Bowen Basin mining location.

The Bowen Basin contains the largest coal reserves in Australia. This major coal producing region contains one of the world’s largest deposits of bituminous coal.

The Basin contains much of the known Permian coal resources in Queensland including virtually all of the known mineable prime coking coal. It was named for the Bowen River, itself named after Queensland’s first Governor, Sir George Bowen.

The Bowen Basin covers an area of over 60,000 square kilometres in Central Queensland running from Collinsville to Theodore and is dotted with many coal mines operated by multiple mining companies.

Caterpillar Haul truck 793

Caterpillar Haul truck 793

The 793F has a load cpacityof 226.8 ton (US) and a top speed of 60 kilometres an hour. It's a turbocharged air-to-air aftercooled diesel engine that has enhanced power management capability for maximum hauling performance. The C175-16 is a 16-cylinder, four-stroke design that uses long, effective power strokes for optimum efficiency.

The 793F, is an autonomous-driven truck. Over 100 793F trucks are now operating via Command for hauling, the Cat autonomous truck operations system, which is a part of Cat MineStar™

Read more about the CAT 793 automomous mining dump truck on our website.

Resources and Infrastructure Industry (RII)

Commonly refered to as Black Coal Competency (BCC), the RII competency is one that can be attained by an operator who has previously worked in the industry and has completed a number of operating hours on various types of machinery.

RII competency is granted to prove correct and safe operation of mine site machinery. It is a very useful qualification to have, as it confirms the operator has the required experience and expertise.

Find out more about RII Competencies here

You can transfer your nationally recognised civil Excavator, Front End Loader or Dozer tickets only to RII Black Coal Competencies.

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