MARKETS

BHP Queensland coking coal continues record run

BHP Billiton's metallurgical coal production for the nine months to March 2014 has increased by 2...

Lou Caruana

Queensland Coal achieved annualised production of 69Mt in the March 2014 quarter as a sustainable increase in truck and wash-plant utilisation rates supported an overall improvement in performance.

BHP Billiton CEO Andrew Mackenzie said: “Our productivity agenda continues to deliver outstanding results, underpinning a 10% increase in production so far this year.

“Having achieved record iron ore and metallurgical coal production during the first nine months of this year, we have raised full-year guidance for both commodities.

“During the period, the …commissioning at Caval Ridge commenced ahead of schedule. Our newest hard coking coal mine will add to our uniquely diversified and opportunity-rich portfolio of large mining and petroleum operations.”

A longwall move at the Queensland Coal’s Broadmeadow mine is scheduled for the June 2014 quarter.

Illawarra Coal production increased by 4% from the December 2013 quarter as the Dendrobium mine in NSW recovered from an extended outage.

Longwall moves at the Appin and West Cliff mines are scheduled for the June 2014 quarter.

The company has increased total metallurgical coal production guidance for the full year by 2.5 Mt to 43.5 Mt.

Energy coal production of 55 Mt for the nine months ended March 2014 was broadly unchanged from the prior period.

Record production at our New South Wales Energy Coal and Cerrejón assets was offset by reduced customer demand for BHP Billiton’s Navajo Coal product from the US and lower production at BECSA in South Africa.

The decline in production at BECSA reflected the impact of adverse weather conditions on BHP Billiton’s operations and extended outages at both a local utility and the Richards Bay Coal Terminal.

Total energy coal production guidance for the 2014 financial year remains unchanged at 73Mt.

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