UK mining company Anglo American (Anglo American PLC (LSE:AAL)) has announced a major breakthrough at its Capcoal complex near Central Queensland, delivering the Aquila mine into production.
Anglo’s Aquila brought produced its first steelmaking metallurgical coal, with the project being completed within its A$226mln budget, and is now in its final stages of construction and commissioning.
The announcement establishes a seven-year extension to Anglo American’s underground operations at the Capcoal complex, where the Grasstree mine recently reached the end of its life.
According to Themba Mkhwanazi, chief executive officer (CEO) of Anglo's bulk commodities division, the new mine will have a total annual saleable production of around 5mln tonnes of premium quality coking coal.
The site, Mkhwanazi notes, will benefit from low capital intensity based on the use of existing infrastructure and systems from adjacent operations.
Chief executive officer of Anglo American’s metallurgical coal unit, Tyler Mitchelson, said: “Safely starting up longwall mining at Aquila Mine on our original schedule, despite the effects of the pandemic, is an important milestone for our Metallurgical Coal business and will support our ongoing contribution to both the Middlemount community, and Queensland’s economy.”
Aquila, of which Anglo American owns 70% and Mitsui & Co. Ltd owns 30%, was labelled by Anglo American as one of Australia’s most advanced underground mines.
The company plans to leverage its advancements in AI, remote operations and data analytics to accelerate production, with two longwalls, both fully remote capable, allowing operations to continue without the downtime that is usually required for longwall moves.