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Thiess News, Volume 1, 2000

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Foxleigh A New Approach<br />

to Coal Mine Development<br />

Construction of the newest addition to the<br />

Bowen Basin coal mining fraternity,<br />

the $100M/year Foxleigh project, has<br />

commenced, following the Government grant<br />

in November last year of a 35-year mine lease.<br />

Owned by the Foxleigh Joint Venture, and to be<br />

operated by <strong>Thiess</strong> under a Life-of-Mine contract,<br />

coal production commenced in January this year,<br />

less than two years after the first exploration holes<br />

were drilled.<br />

To date, more than 50,000 tonnes of ROM coal<br />

have been hauled from the mine to the adjacent<br />

German Creek coal preparation and handling<br />

plant, to successfully meet the Joint Venture’s initial<br />

export shipment schedule. The tight deadline was<br />

achieved through construction of over 16km of<br />

haul road in less than 50 days.<br />

Initially, Foxleigh will produce some 2 million<br />

tonnes of coal per annum. However, considerable<br />

potential exists to raise this figure to 3 million<br />

tonnes or greater.<br />

Due to the high quality of the Foxleigh product,<br />

a new growth sector of the export coal market will<br />

be targeted. One of only a handful of mines of its<br />

kind in Australia, Foxleigh’s very low ash coal is<br />

ideally suited to the pulverised coal injection (PCI)<br />

process commonly used in steel making.<br />

Export markets will include Japan, Europe<br />

and South America.<br />

A key initiative of Foxleigh’s operation will be the<br />

relationship between <strong>Thiess</strong> and Joint Venture<br />

partner, the Aboriginal and Torres Strait Islander<br />

Commercial Development Corporation (CDC).<br />

The two organisations have joined forces to<br />

maximise training and employment opportunities<br />

for local Aborigines and will put to good use the<br />

$1.6M allocated by the Joint Venture for<br />

training programs.<br />

CDC Chairman Joseph Elu said he was impressed<br />

with <strong>Thiess</strong> and the Joint Venture partners’<br />

commitment to securing tangible outcomes<br />

for Aboriginal people in the area.<br />

“Not only will this investment provide a<br />

commercial return for the CDC, it will also<br />

provide a unique opportunity to maximise<br />

Aboriginal employment and training,” he said.<br />

In total, the project will support some 100 direct<br />

employees who will reside in the local area, and 30<br />

Middlemount houses have already been committed<br />

to the project.<br />

The Foxleigh Joint Venture comprises Queensland<br />

company CAML Resources (60%); Itochu Coal<br />

Resources Australia investment vehicle ICRA<br />

Foxleigh Pty Ltd (20.6%); CDC investment<br />

vehicle Bowen Basin Investments (16.4%);<br />

and CAML investment vehicle Lake Lindsay<br />

Investments (3%).<br />

Queensland at work<br />

<strong>Thiess</strong> <strong>News</strong> <strong>Volume</strong> 1 <strong>2000</strong> 11

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