Name of the Project
New Acland Stage 3 coal mine expansion project.

Location
Queensland, Australia.

Project Owner/s
New Acland Coal (NAC), a subsidiary of the New Hope Group.

Project Description
NAC operates the existing New Acland coal mine as a 4.8-million-tonne-a-year opencut coal mine on mining lease (ML) 50170 and ML 50216. The mine has reserves that will allow for current operations to continue until about 2017.

The project will expand the mine’s yearly output from 4.8-million tonnes to 7.5-million tonnes and will extend the operation’s life beyond the current end-date of 2017/18.

The revised coal project proposes to develop Stage 3 of the New Acland mine, which involves the extension of the mine’s operating life to about 2029, including the progressive development of two new resource areas within the area covered by Mining Development Licence 244, also covered by ML application 50232.

The two resource areas will be developed sequentially and combined with the current operations, will supply up to 7.5-million tonnes a year of saleable product coal for the export and domestic markets until about 2029.

Key features of the project include:

developing parts of the Manning Vale and Willeroo resource areas;

upgrading the existing coal handling and preparation plant and supporting infrastructure;

constructing a new coal load-out facility on the mining lease and an estimated 8 km rail spur, as a result of the relocation of the existing Jondaryan coal load-out facility;

roadworks and constructing water management structures; and

relocating and potentially upgrading the power supply to the revised project.

The Acland town area, including Tom Doherty park, the War Memorial and the Acland No 2 colliery and utility services, will be maintained over the life of the revised project.

The closest point of potential mining operations will be at least 10 km away from Oakey, compared with the 7 km previously proposed.

The land disturbed for mining activities will be reduced by more than half, compared with the original Stage 3 proposal.

Veneering to coat all transported coal leaving the mine by train as a measure to reduce the potential for coal dust coming from trains will continue.

Lagoon Creek will not be diverted as previously proposed. Operations will continue to be self-sufficient for water, with water continuing to be bought from Toowoomba’s Wetalla wastewater reclamation facility. Only about 20% of the Wetalla water is bought by NAC.

Production levels from the New Acland mine will be reduced by at least 25% to 7.5-million tonnes a year, from the originally proposed ten-million tonnes a year.

Potential Job Creation
The expanded operation will result in employment for 260 people at the mine, while ongoing employment will result in up to 435 jobs and 2 300 indirect jobs.

Net Present Value/Internal Rate of Return
Not stated.

Capital Expenditure
A$900-million.

Planned Start/End Date
About 2.5 years will be required to complete the design, build and other related activities to facilitate the revised project.

Latest Developments
Labour union the Construction, Forestry, Maritime, Mining and Energy Union (CFMEU) has thrown its weight behind calls for the Queensland government to approve the New Acland Stage 3 project.

CFMEU Queensland Mining and Energy district president Stephen Smyth has said that government needs to “stand up” for workers.

New Hope Coal has laid of 150 staff at the New Acland operations as the approvals for the Stage 3 expansion continue to lag, despite several court rulings in favour of the project.

Queensland Resources Council CEO Ian Macfarlane has said that the drawn-out process for approvals sends a poor signal to investors.

The call to action comes as New Hope faces fresh opposition from the Oakey Coal Action Alliance (OCAA), which has now appealed the Queensland Court of Appeal’s final orders.

New Coal CEO Andrew Boyd has said that while fair and reasonable legal action is everyone’s right, the actions of the green group are nothing more than lawfare designed to delay the project.

“We have been seeking approval to expand New Acland mine for more than 12 years. Over the past two years, we have fought and won a series of legal battles against a handful of objectors to the project.

“In the latest fight, the highest court in Queensland ruled definitively in our favour, a fact that OCAA has acknowledged by not challenging the Court of Appeal’s finding on the substantive issues.

“This latest stunt by OCAA has nothing to do with groundwater or any other environmental issues. It is clear that its action is nothing more than an attempt to delay final decisions on Stage 3,” Boyd has said.

Key Contracts and Suppliers
Not stated.

On Budget and on Time?
Not stated.

Contact Details for Project Information
New Acland Coal, tel +61 7 3418 0500, fax +61 7 3418 0355 or email aclandinfo@newhopegroup.com.au.