Stanmore ready to take up top met coal producer mantle

STANMORE Coal is on track to be one of the world’s leading metallurgical coal producers with its US$1.35 billion acquisition of BHP Mitsui coal assets.
Stanmore ready to take up top met coal producer mantle Stanmore ready to take up top met coal producer mantle Stanmore ready to take up top met coal producer mantle Stanmore ready to take up top met coal producer mantle Stanmore ready to take up top met coal producer mantle

The BMC mines such as the South Walker Creek mine in Queensland are top tier de-risked and cash generating operating assets.

Stanmore chairman Dwi Suseno said in the company's annual report that despite the uncertainty created by COVID-19 and global market events, the company was well positioned.

"Against this backdrop of uncertain and volatile conditions, we rose to the challenge to significantly reposition Stanmore as a leading metallurgical coal producer on a global scale," he said.

"We undertook significant works to bring Isaac Downs online with operations to fully commence in 2022 and we announced the acquisition of BHP's 80% interest in BHP Mitsui Coal."

Suseno said the BMC acquisition, which includes the South Walker and Poitrel coal mines in Queensland, was "transformative to the company".

"The BMC mines are top tier de-risked and cash generating operating assets, backed by experienced people and high-quality equipment and infrastructure access," he said.

"The acquisition is a highly strategic move, resulting in Stanmore having a portfolio of four mines and three wash-plants within an approximate 50km radius in the premium Bowen Basin region.

"Upon completion of the acquisition, Stanmore will be positioned as one of the largest global exporters of metallurgical coal."

Suseno said Stanmore was progressing well with its transition to Isaac Downs.

"Our successful ramp up of operations at Isaac Downs resulted in record production and sales in H2 2021, in time to take advantage of the record high metallurgical coal prices prevailing in the market," he said.

"Key infrastructure works, including construction of the new underpass and the diversion of Peak Downs Highway are nearing completion."