During 2006 the Quinsam mine increased its production rate for 2007 to 600,000 clean tonnes per annum to meet increased demand both in its traditional west-coast markets and its overseas export market.
At the Quinsam North property, an in-fill drilling program is being planned for the first half of 2007 in the area closest to the Quinsam mine to support mine design and reserve development.
“Incorporation of Quinsam North into the Quinsam mine's long-term operational plan will not only formally support the extension of the current mine life but would form the basis for possible mine expansion as well,” the company said.
At Hillsborough’s Peace River Coal Partnership – owned by Hillsborough, Anglo Coal Canada and NEMI Northern Energy and Mining – operations are concentrated on the “immediate reopening” of the Trend mine and the ramp-up to its full production rate of 1.6Mtpa in the first half of 2007. Modifications to Trend's coal preparation plan were also undertaken in late 2006.
While the operating group focuses on the reopening of the Trend mine, PRC's development group will continue the exploration and development of its other projects, including continued development of the Horizon mine plan and exploration and in-fill drilling on several of the other Tumbler Ridge area properties.
Exploration and field programs will continue as well on the properties held by the Belcourt Saxon, which PRC holds a 50% interest in.
In the same region, AESWapiti Energy and Hillsborough are now in the process of obtaining regulatory and permit approvals for a 184-megawatt power generation facility and the Wapiti thermal coal mine. Construction of the power generation facility is expected to commence in the fourth quarter of 2007 with primary mine development beginning one year prior to the opening of the power generation facility, expected in 2010.
“I am pleased that Hillsborough met its 2006 goal of diversifying its product base, through our 20 percent interest in PRC and the success of the AESWapiti project. We are now both a thermal and metallurgical coal producer: a multi-mine, multi-projects company. This next year will see several large projects move through the development stages and closer to fruition," president David Slater said.
