More than a month ago the Ulan longwall mine suffered from considerable water seepage underground after torrential rainfall.

An Xstrata Coal spokesperson told ILN that production remained down as the mine continued to focus on removing water from the underground workings.

A fire struck the new Blakefield South longwall operation in early January, triggering the evacuation of around 50 workers.

There was an ignition incident at the suspended mine last month, after a completed borehole reintroduced oxygen underground.

Measures were taken to shut this work down, starve the area of oxygen again and reintroduce more inert nitrogen into the mine.

The spokesperson said the company was continuing to work with specialists and Mines Rescue members to develop the next steps, and they were yet to reintroduce oxygen to the underground environment.

Out of all of Xstrata’s coal operations in Queensland, the Rolleston thermal coal mine was the most affected by the devastating wet season.

While water was pumped out of the pit, the mine’s 110-kilometre rail link to the Blackwater line had been out of action from late December until Queensland Rail National reopened it two weeks ago.

The mine only recently returned to normal operations, as the trains were now running without speed restrictions.

The giant Wandoan open cut project in the Surat Basin received federal government environmental approval last week, and Xstrata is advancing its mine planning and biodiversity plan as part of the work underpinning the mining lease applications.

Targeting 30 million tonnes per annum run-of-mine with exports anticipated from as early as 2014, the Wandoan project remains subject to board approval with a decision not expected until the end of this year.

The global mining company also launched its first rail division in NSW, with the new trains starting to haul coal from its Hunter Valley operations at the end of January, complementing the existing services provided by Pacific National.

“With an initial haulage capacity of 12 million tonnes per year, the current fleet of three trains comprise 10 locomotives and 300 wagons,” the spokesperson said.

“A further three trains were purchased in 2010 and will be in operation by late 2011.”