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NEWS
Cyclone Debbie maroons
Queensland coal
Coal miners in North Queensland face
an uphill battle recovering from dam-
aged infrastructure and production loss-
es in the wake of Cyclone Debbie.
The tropical cyclone lashed Queens-
land and New South Wales in early April
and with infrastructure outages expected
to last about five weeks, stranding large
amounts of the world’s premium coking
coal onsite, prices are tipped to rise.
In 2011, Cyclone Yasi washed away
20mt of coking coal production from the
Bowen Basin; one of Australia’s richest
coal reserves, accounting for about half
the world’s seaborne coking coal supply.
ANZ Ltd’s commodity researchers ex-
pect losses in the order of 13mt of cok-
ing coal and 3mt of thermal coal as a
result of Cyclone Debbie’s impact and
predicted coking coal prices would rise
above $US200/t in the weeks that fol-
lowed as buyers grew desperate.
Already, Yancoal Australia Ltd and
QCoal Group have declared force ma-
jeure on deliveries to the world’s largest
importer of coking coal, China, which
has been left scrambling to supplement
supply loses.
While Australian exports fell 25mt, US
In times of hardship, the mining industry
has always dug deep for communities in
need.
The cyclone-battered coast of
Queensland is no exception and despite
economic woes, several mining compa-
nies have stepped up to help the recov-
ery effort.
In April, Queensland State Devel-
opment Minister Anthony Lynham an-
nounced the recovery effort had yielded
key successes, including the restoration
of 89% of power in North Queensland,
two days ahead of schedule.
“My Department of State Development
is working with local councils, other state
agencies, businesses and the Federal
Government to plan for and deliver an
economic recovery plan,” Lynham said.
Queensland Premier Annastacia
Palaszczuk congratulated BHP Billiton
Ltd for donating $250,000 to charities
nominated by the Government.
BHP Billiton/Mitsubishi Alliance asset
president Frans Knox said the donation
PAGE 8 MAY 2017 AUSTRALIA’S PAYDIRT
exports jumped over 12mt, leaving the
net impact at 13.5mt.
Mine sites were left with no way to get
their product to port after extreme rain-
fall crippled Aurizon Ltd’s rail network.
Aurizon mobilised all available crews
and resources to inspect and repair the
Newlands, Goonyella, Blackwater and
Moura coal systems which form the
Central Queensland Coal Network.
ANZ said stockpiles at the mines
were understood to be fairly high and
with no means of moving stocks, mining
may have to be suspended, or at least
slowed.
“With rail infrastructure the bottle-
neck in the system, the likelihood of ex-
ports recovering any lost production will
be limited to the stockpiles held at the
ports,” ANZ said.
With the Goonyella rail network signifi- Clermont and Rollestone coal mines,
cantly impacted by land slips, sites like
Realm Resources Ltd’s Foxleigh coal
mine have sought alternative rail lines
and ports while repairs continued.
Queensland State Development Min-
ister Anthony Lynham said his number
one priority was the re-establishment of
essential services.
to the Salvation Army would help deliver
urgently needed services and support to
regional Queensland communities such
as Mackay and Moranbah.
“This is far from over for the people
of Queensland. Many families have lost
their homes and communities continue
to be without power. Communities are
relying on organisations like the Salva-
tion Army for help,” Knox said.
Despite economic woes and crippling
damage to its rail network, Aurizon Ltd
has put all hands on deck to support
clean-up efforts and deliver much need
supplies.
Crews also helped the Rockhampton
community prepare for rising floodwa-
ters by building a flood proof barrier at
Rockhampton Airport and sandbagging
the information centre and showgrounds.
Aurizon Vvce president Peter Cowan
said there was a long tradition of Aurizon provide assistance to the broader com-
and its employees helping the commu-
nity during natural disasters.
“Aurizon employees live and work in
“We are working with Aurizon to se-
cure resourcing for traffic management
to assist the recovery effort. We have
also managed to expedite approvals to
help relocate wheel loaders to Hay Point
to assist with recovery operations at the
port,” Lynham said.
“We have also been working closely
with companies like Hastings Deering
Group, a mining and earthmoving equip-
ment company in Rockhampton, to get
their business and 600 staff back to
work as soon as the flooding subsides.”
In early April, despite heavy rain im-
pacting access, power, logistics and
services, BHP Billiton Ltd confirmed that
work had resumed and mine production
had restarted at 11 of its partially-owned
coal mines in the region.
With no damage occurring to mine
infrastructure, work had also resumed
at Glencore Australia’s Oaky Creek,
but production remained suspended at
Collinsville and Newlands at the time of
print.
these local communities affected by
flooding, and it’s important we roll up our
sleeves to help with flood preparation
and recovery,” Cowan said.
“There’s an extraordinary amount of
community spirit, and when people are
faced with these types of events we all
pitch in to do what we can to protect
property and community assets.”
Evolution Mining Ltd even deployed a
team led by mine rescue personnel to
assist with recovery efforts in affected
communities.
Evolution executive chairman Jake
Klein said: “Our thoughts are with the
people of Queensland who have been
affected by the cyclone, which include
some of our own employees and their
families.
“We have mobilised a team to support
our employees who require it, and to
munity.”