Huainan currently produces around 35 million tonnes per annum from its mines in the Anhui province, including several longwall operations. To date the company has only used Chinese made equipment but has outlined plans to increase output to 100Mtpa by 2010.

Longwall Associates Australia is a subsidiary of US-based Longwall Associates which specialises in the design and manufacture of AFCs.

Peter van Iersel, Longwall Associates Australia managing director told ILN that the agreement will place the company in the position of preferred supplier for future AFC orders from Huainin. The business is valued at about $8-$10 million per annum with the first order expected to be placed by the end of May.

“We will assist Huainan with the manufacture of some AFC components. They have their own manufacturing division which is expected to manufacture other components, to the Longwall Associates specification. We will provide haulage components, transmissions and the like, which will be manufactured in Mackay,” van Iersel said.

Longwall Associates also has an exclusive agreement with China Coal Research Institute (CCRI) to sell Chinese designed and manufactured supports into the American and Australian markets.

CCRI is a research and development institute, centrally controlled by the Chinese government to provide support to the burgeoning coal industry. It produces the designs for China’s shield supports and is also the testing authority for shields.