B06 Coal Mining

South32 walks away from coal extension

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Original article by Nick Evans
The Australian – Page: 16 : 24-Aug-22

Diversified miner South32 has advised that it will not proceed with a proposed US700m ($1bn) expansion of its Dendrobium coal mine in NSW. CEO Graham Kerr says the company has decided to invest its capital in other projects, although he has not ruled out reviving the expansion plans for Dendrobium in the future. Production at the mine is slated to continue until at least 2028; the expansion would have extended its mine life to 2041, after South32 scaled back plans for a larger expansion that was rejected by the NSW Independent Planning Commission in 2021.

CORPORATES
SOUTH32 LIMITED – ASX S32, NEW SOUTH WALES. INDEPENDENT PLANNING COMMISSION

BHP abandons sale of Mt Arthur coal mine

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Original article by Nick Evans
The Australian – Page: 17 & 20 : 17-Jun-22

BHP has shelved plans to sell the Mt Arthur thermal coal mine in New South Wales after the trade sale process did not attract a "viable" offer for the asset. The estimated $1bn cost of rehabilating the site when the mine closes is believed to have been a major deterrent for potential buyers. Mt Arthur had been slated to close in 2045, but BHP has advised that this will be brought forward to 2030. BHP says that keeping Mt Arthur open for another eight years will provide certainty for the mine’s 2,000 workers and the Hunter Valley community.

CORPORATES
BHP GROUP LIMITED – ASX BHP

Glencore tried to sell Yancoal stake to parent

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Original article by Peter Ker
The Australian Financial Review – Page: 15 : 30-May-22

Yankuang Energy’s bid to gain full ownership of Yancoal Australia will need the support of Glencore, which has a 6.4 per cent stake in the target. Hong Kong-listed Yankuang has a 62.26 per cent stake in Yancoal, and the support of Glencore will be needed if it is to reach the 90 per cent threshold to move to compulsory acquisition. This would also require ownership restrictions imposed on Yancoal by the Foreign Investment Review Board in 2012 to be overturned. Meanwhile, it has emerged that Glencore has sought on a number of occasions in recent years to sell its Yancoal stake to Yankuang, and it is likely to be a willing seller at the right price.

CORPORATES
YANCOAL AUSTRALIA LIMITED – ASX YAL, YANKUANG ENERGY GROUP COMPANY LIMITED, GLENCORE PLC

10 years on, ASIC drops Rio pursuit

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Original article by Nick Evans
The Australian – Page: 15 : 1-Mar-22

Rio Tinto has agreed to settle the Australian Securities & Investments Commission’s legal action over the $US29bn writedown of its Mozambique coal assets in early 2013. The $750,000 civil penalty for breaching Rio Tinto’s continuous disclosure obligations in the lead-up to the writedown must be approved by the Federal Court. ASIC has dropped most of the original charges against Rio Tinto, as well as former CEO Tom Albanese and ex-CFO Guy Elliott. Rio Tinto had acquired Mozambique-focused Riversdale Mining for $US3.7bn in 2011.

CORPORATES
RIO TINTO LIMITED – ASX RIO, AUSTRALIAN SECURITIES AND INVESTMENTS COMMISSION, FEDERAL COURT OF AUSTRALIA, RIVERSDALE MINING LIMITED

10 years on, ASIC drops Rio pursuit

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Original article by Nick Evans
The Australian – Page: 15 : 1-Mar-22

Rio Tinto has agreed to settle the Australian Securities & Investments Commission’s legal action over the $US29bn writedown of its Mozambique coal assets in early 2013. The $750,000 civil penalty for breaching Rio Tinto’s continuous disclosure obligations in the lead-up to the writedown must be approved by the Federal Court. ASIC has dropped most of the original charges against Rio Tinto, as well as former CEO Tom Albanese and ex-CFO Guy Elliott. Rio Tinto had acquired Mozambique-focused Riversdale Mining for $US3.7bn in 2011.

CORPORATES
RIO TINTO LIMITED – ASX RIO, AUSTRALIAN SECURITIES AND INVESTMENTS COMMISSION, FEDERAL COURT OF AUSTRALIA, RIVERSDALE MINING LIMITED

Activists target Adani as first coal leaves Carmichael

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Original article by Mark Ludlow
The Australian Financial Review – Page: 9 : 1-Dec-21

The first shipment of thermal coal from Adani’s controversial Carmichael mine in Queensland is expected to leave the Abbot Point terminal within weeks. The India-based company, whose Australian mining division trades as Bravus Mining & Resources, has begun test runs on the 206km rail link from the mine to Abbot Point. However, anti-coal activists have been targeting the rail link ahead of the first shipment, prompting Bravus to urge the state government to introduce harsher penalties for activists whose conduct puts themselves and others at risk.

CORPORATES
ADANI ENTERPRISES LIMITED, BRAVUS MINING AND RESOURCES

Unvaxxed BHP miners agree to get the jab

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Original article by Ewin Hannan
The Australian – Page: 5 : 25-Nov-21

BHP has advised that fewer than 35 workers at its Mt Arthur coal mine have yet to provide evidence that they are vaccinated against COVID-19. The resources group recently stood down nearly 80 of the mine’s workers under its mandatory vaccination policy. The CFMEU and the ACTU are challenging the validity of this policy in the Fair Work Commission, contending that BHP did not comply with the consultation requirements of the Work, Health and Safety Act.

CORPORATES
BHP GROUP LIMITED – ASX BHP, CONSTRUCTION, FORESTRY, MARITIME, MINING AND ENERGY UNION OF AUSTRALIA, ACTU, AUSTRALIA. FAIR WORK COMMISSION

BHP miners sent home without pay

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Original article by Ewin Hannan
The Australian – Page: 5 : 11-Nov-21

BHP imposed a deadline of 10 November for all workers at its Mt Arthur open-cut coal mine to receive their first COVID-19 shot under its mandatory vaccination policy. BHP has advised that almost 80 unvaccinated workers at the mine have been stood down without pay, although it will not take any further action until the Fair Work Commission issues a ruling on a legal challenge to the vaccination policy. The Construction, Forestry, Maritime, Mining & Energy Union had sought to delay implementation of the policy. Workers at all other BHP sites must be vaccinated by the end of January.

CORPORATES
BHP GROUP LIMITED – ASX BHP, CONSTRUCTION, FORESTRY, MARITIME, MINING AND ENERGY UNION OF AUSTRALIA, AUSTRALIA. FAIR WORK COMMISSION

Coal boom to kick-start mines

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Original article by Lachlan Moffet Gray, David Rogers
The Australian – Page: 13 & 19 : 29-Sep-21

The price of thermal coal shipped from Newcastle in New South Wales has reached a record high of $US204.75 per tonne. The thermal coal price has now risen by more than 270 per cent since reaching a 12- month low of $US54.70 in October 2020. The price of coking coal has in turn risen by 183 per cent since reaching a yearly low. National Party senator Matt Canavan says the record prices are unlikely to be sustained; however, he adds that the high prices will encourage Australian coal miners to expand production, particularly in Queensland’s Galilee Basin.

CORPORATES
NATIONAL PARTY OF AUSTRALIA

Coal, hard cash rolls in as thermal prices surge higher

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Original article by Nick Evans
The Australian – Page: 13 & 16 : 11-Aug-21

The price of thermal coal has rallied since May, amid strong demand in Europe and China. Dylan Kelly of Ord Minnett notes that the price rally has boosted the cash flows of major Australian thermal coal producers; he adds that seasonal restocking in key markets could push the coal price higher in the near-term. However, ratings agency Fitch Solutions expects the price of thermal coal to peak by the end of 2021.

CORPORATES
ORD MINNETT GROUP LIMITED, FITCH SOLUTIONS INCORPORATED