The contracts, secured by Industrea’s Chinese subsidiary Wadam, were for five Advanced Mining Technologies directional drilling and methane gas drainage systems worth $11.7 million, and spare equipment worth $1.9 million.
Today’s contracts follow orders worth $7.5 million announced in June and July this year for similar AMT systems, supplied to Jincheng Group’s Sihe Coal Mine in the northern Shanxi Province, along with a similar $2 million contract announced in April for Shanxi Asian American Daning Energy Co’s (SAADEC) Daning Coal Mine in Jincheng.
Industrea managing director Rob Levison said the additional orders were secured due to excellent results from the AMT systems installed at the Sihe and other mines.
“Jincheng Group has achieved unparalleled levels of gas flow available for energy usage from its current installations of AMT methane gas drainage technology, with the potentially explosive gas extracted from the Sihe Coal Mine being used to power a gas-fired electricity plant in Jincheng city,” Levison said.
“In addition to the safety benefits of the system, the technology is providing a safe, reliable and productive energy source to power electrical generation equipment, while delivering substantial reductions in greenhouse gas emissions.”
Jincheng Group operates 11 AMT directional drilling and methane gas drainage systems throughout China, with total group coal production of 40 million tonnes a year.
“SAADEC was the first Chinese user of the AMT technology, and its mine has become a role model for other Chinese mines in successfully removing very high methane gas content from the coal seam,” Levison said.
“AMT’s directional drilling and methane gas drainage system has become the industry standard in China, allowing the typically gassy Chinese coal mines to improve productivity and safety standards significantly.”
Industrea has recently set up a product support centre to supply spares, training and maintenance in the country.
Today’s deal will be added to earlier announced contract awards for Cockatoo Coal ($30 million per annum mining services contract), Rio Tinto Coal ($900,000 mining equipment) and Jincheng Group ($5 million methane gas drainage and longwall roof support carriers).
