Xstrata Copper North Queensland.pdf - Mount Isa Mines

Our operations and economic performance
Townsville operations
Xstrata Copper’s Townsville copper refinery
and port operations form a major part of the
Xstrata Copper North Queensland Division.
Copper Refineries Pty Ltd refines anode
produced at Xstrata’s Mount Isa copper
smelter and also anode produced overseas
(99.7% pure copper) to copper cathode for
domestic and international sales as ISA brand
99.995% pure copper. In 2010 the refinery
produced 287,001 tonnes of saleable copper
cathode. Copper cathode is sold to customers
in Australia and throughout the world
including Asia.
Xstrata Technology (XT) has a business unit
located at the Townsville copper refinery.
More than 1.7 million stainless steel cathode
plates have been manufactured and
exported to the world since the technology
was developed at the Townsville refinery
in the mid 1970s. The business recorded
approximately $89 million in technology
and equipment sales in 2010. The stainless
cathode plates are sold to refineries
throughout the world using patented
XT technology.
The Townsville port operations handle mineral
concentrates in and out of port, and fertiliser
out of the port. In 2010 our port operations
shipped a total of 1.58 million tonnes of
product, comprising 887,836 tonnes of
concentrate and 692,267 tonnes of fertiliser.
Xstrata concentrates are sold to export
markets throughout the world including
Spain, India, Thailand, China, Japan and
Korea. The port operations also handle
significant volumes of third party concentrates
and fertiliser for a number of Australian and
international clients.
Net sales
Information on the Xstrata Copper North
Queensland Division’s net sales can be found
in Xstrata plc’s Annual Report 2010. Please
refer to www.xstrata.com/publications/
financial.
“Ore is mined at the
Mount Isa Mines and
EHM operations ...
copper anodes are
transported to our
Townsville copper
refinery where they
are refined into
copper cathodes. “
Markets and customers
The Xstrata Copper North Queensland
Division serves 16 countries in five markets
including Asia, Europe, North America and
the United Kingdom.
The Xstrata Copper North Queensland
Division’s ore is mined at the Mount Isa
Mines and EHM operations. Copper ore
mined at EHM is concentrated and road
freighted to Mount Isa for smelting. From
Mount Isa the copper anodes are transported
by road and rail to our Townsville copper
refinery where they are refined into copper
cathodes. Approximately 20% of our
copper cathode production is placed into
the Australian domestic market and copper
reverts are sold to Canada. The remaining
material is exported to markets in Asia
including China, Indonesia, Japan, Korea,
Malaysia, Singapore, Taiwan, and Thailand.
Direct economic
contribution
During 2010 the Xstrata Copper North
Queensland Division contributed $1.34 billion
to the Queensland economy through:
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employment of 3,931 people; including
2,887 employees and 1,044 contractors
an annual wages bill in excess of
$334 million
apprenticeship and youth training
opportunities of over $13 million
over $785 million spent purchasing goods
and services within Queensland
approximately $1.81 million paid to local
councils for annual rates
annual Corporate Social Involvement
contributions of over $1.7 million directed
to community partnerships, donations,
sponsorships and other community
programs
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$149.9 million spent on rail, power and
water charges
over $58 million paid to governments in
taxes and charges.
The Mount Isa Mines copper operations
contributed to the Queensland
economy through:
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employment of 2,762 people; including
2,260 employees and 502 contractors
an annual wages bill in excess of
$264 million
apprenticeship and youth training
opportunities of over $13 million
over $608 million spent purchasing goods
and services within Queensland, 30.09%
spent with local Mount Isa suppliers
over $1 million paid to the local council
for annual rates
annual Corporate Social Involvement
contributions of $606,548 directed to
community partnerships, donations,
sponsorships and community programs
over $100 million in rail, power and
water charges
over $37 million paid to governments
in taxes, charges and royalties.
Ernest Henry Mining contributed to the
Queensland economy through:
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employment of 911 people; including
451 employees and 460 contractors
an annual wages bill in excess of
$51 million
apprenticeship and youth training
opportunities in excess of $167,525
$132 million spent on purchasing goods
and services within Queensland, 30.09%
spent with local suppliers
$496,391 paid to the local council for
annual rates
$3.3 million paid to the local council to
support local infrastructure, including
roads
annual Corporate Social Involvement
contributions of $861,897 directed to
community partnerships, sponsorships,
donations and other community programs
$36.5 million in rail, power and water
charges.
over $20 million paid to governments
in taxes, charges and royalties.
22 XSTRATA COPPER NORTH QUEENSLAND