The underground Ashton mine, near the Ashton opencut mine in New South Wales, is expected to produce two million tonnes per annum when mining starts in 2007.

Delivery of the DBT face is scheduled for the December 2006 quarter with commissioning planned to be finalised by the end of the 2006/07 financial year. The mine will have an annualised capacity of 2.1Mt to 2.4Mt, said managing director Jon Parker. The Ashton complex, including the opencut mine, will produce up to 4Mtpa.

The company has appointed its development project team for Ashton and roadway development using one continuous miner began in December. A second machine is planned to start in March.

Meanwhile, group coal production increased by 97% to 802,000t ROM coal during the December quarter.

Felix owns three operating mines: Yarrabee (100%), Ashton (60%) and the Minerva opencut mine, which began exporting coal in November. Ramp-up to 2.5Mtpa capacity is well underway and expected to be achieved this quarter.