Coal news and updates

BHP Billiton pull back Goonyella coking coal mine in Queensland

As the industry battles job losses and closures, BHP Billiton is pulling back activity at its Goonyella coking coal mine in Queensland to avoid the operation slipping into the red.

The miner night told Downer EDI that its contract for pre-stripping - which is the first step in preparing new mining areas within existing operations - at Goonyella Riverside would be terminated in September, almost two years ahead of its June 2016 expiry.

Mr Dean Dalla Valle, BHP Billiton coal president, said that the move was 'to ensure the long-term viability of BHP Billiton's coal business'.

Mr Vale said that “The coal industry is undergoing a difficult transition and to be globally competitive we have to reset the cost base of the business.”

He said that “Coal producers [must make] the necessary step-changes to create value for shareholders.”

Source - www.canberratimes.com