INTERNATIONAL COAL NEWS

NSW underground coal mines underperform open cuts

COAL production from New South Wales' underground coal mines is declining while production from i...

Lou Caruana

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NSW Minerals Council’s annual industry snapshot Key Industry Statistics found open cut mining contributed to a growing proportion of state’s record 156 million tonnes of saleable coal and 121Mt in exports in the 2011 financial year.

In the same period, saleable coal production from the state’s 30 underground mines was 50.2Mt compared with 50.7Mt in 2010 and 51.6Mt in 2009. This compares with open cut’s 106.6Mt in 2011, which was 12% higher than its 2010 figure of 94.6Mt and 22% higher than its 2009 86.8Mt figure.

The industry will continue to change and innovate to minimise the impacts of the growth of mining, NSW Minerals Council acting chief executive Sue-Ern Tan said.

“This new data demonstrates again that the $20 billion minerals industry is an important part of the NSW economy,” she said.

The value of coal at average market prices in the year was $16.15 billion, with exports at $11 billion. There were approximately 21,126 people employed in coal mining in NSW during the year.

Tan said the industry snapshot also provided some much needed perspective on land use.

“We now know that coal and mineral exploration titles cover 22% of the State’s land. Coal and mineral production titles, which are required for mining, cover just 0.48% of land in NSW.

“While there are concerns about land use conflicts and we support the need for regional strategic land use plans, the claims by some that mining is rapidly engulfing the State are not supported by these facts.”

Royalties returned to the NSW Government rose by 25% to a record $1.24 billion.

“We are creating jobs in regional NSW, driving investment as the biggest private investor in the State and making an important return to the people of NSW through our royalties and taxes,” Tan said.

The latest figures reinforced the industry’s world leading health and safety record, she said.

“The trend of a falling lost time injury frequency rate in NSW mines continues and at 5.46 per million hours worked it is now at its lowest level for more than a decade,” Tan said.

“Our safety record has been improving consistently over the past 30 years. But we won’t rest because there is nothing more important to come out of our mines than our people.”

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