Speaking at the release of the company’s global half yearly profit announcement, Carroll said metallurgical coal made a significant contribution to the company’s first half operating profit, which is up 40% year-on-year to $US6 billion.

“In the case of metallurgical coal, we've seen a fantastic increase in response in terms of production; 77% up in the second quarter versus the first quarter of this year,” she said.

“I am very pleased with the way that the metallurgical coal team responded to the devastating floods that they experienced at the end of 2010 and beginning of 2011.

“Proactive recovery plans were put in place, and we were able to manage the impacts on our customers by talking to them early on. In fact, we led the way in settling the Q2 and Q3 benchmark prices at record levels.

“And we have put in place a comprehensive programme to reduce the impact of rain on our open-cut operations in preparation for the next rainy season.”

The Grosvenor metallurgical coal project in Queensland has been slated as one of the key growth projects for its metallurgical coal business globally, Carroll said.

Targeting a mine life of 30 years, the proposed $1.1 billion Grosvenor mine is expected to produce 4.3 million tonnes per annum of metallurgical coal.

Construction at the Bowen Basin mine is planned to start in 2012 and full production is anticipated in 2016.

Run-of-mine production is expected to reach up to 7Mtpa, with this output to be transported via an overland conveyor for processing at the company’s Moranbah North longwall mine.

The project has completed the public exhibition phase of the environmental impact statement.

Anglo also plans to develop the Moranbah South longwall project over the next 10 years. Carroll toured the Moranbah North mine earlier this month.