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BHPB coal production down

BHP Billiton yesterday reported lower annual production of both metallurgical and energy coal as ...

Greg Tubby

The world’s biggest diversified miner produced 35.64 million tonnes of metallurgical coal in the year to the end of June, a 4% drop from the year before due largely to reduced production at Queensland Coal, which reflected depleted reserves at Riverside and extended scheduled maintenance outages at a number of mines.

This was partially offset by increased production at Goonyella with the continued ramp-up of Broadmeadow (commissioned last August) to nameplate capacity in the June 2006 quarter.

Production also increased at Illawarra Coal, reflecting the continued ramp-up of Dendrobium (commissioned in April 2005) and record production at West Cliff.

June 2006 quarterly production was lower than the June 2005 quarter due to the timing of scheduled maintenance shutdowns, particularly at Peak Downs.

BHP said this was partially offset by the continued ramp-up of Broadmeadow and Dendrobium.

June 2006 quarterly production was higher than the March 2006 quarter reflecting the continued ramp-up of Broadmeadow, timing of longwall changes at Crinum and other scheduled maintenance outages in the prior quarter.

Energy Coal

Annual production of energy coal also slipped 2% to 85.76Mt, reflecting lower production at Ingwe in South Africa as it recovered from significantly higher than average rainfall experienced in the March quarter and increased strip ratios at Hunter Valley Coal.

BHP said this was partially offset by record production at Cerrejon Coal, which benefited from the ramp-up of recently expanded capacity.

Production for the June 2006 quarter was higher than the March 2006 quarter reflecting high rainfall at Ingwe and a planned outage for a longwall move at San Juan Coal in the prior quarter.

Production at Hunter Valley Coal increased during the quarter reflecting lower strip ratios and improved equipment availability.

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