Net earnings for the June quarter were $US82.3 million with sales for the underground mining segment rising more than 15% and surface mining jumping 18%.

Bucyrus attributed the surge in underground original equipment sales to moderate increases in the longwall, room and pillar and belt system product lines.

Underground aftermarket part sales were up 14% thanks to increased longwall projects in the US.

However, this was offset by a decline in the Australian market due to reduced mining activity as lower coal prices kicked in.

Underground mining sales for the first six months of the year were negatively impacted to the tune of $54.3 million due to the effect of the stronger US dollar.

New underground equipment orders for the June quarter fell almost 84% to $23.5 million while underground aftermarket parts and service fell 19%.

Total new orders for the business were down 52%.

The dramatic drop in underground equipment new orders was attributed to reduced longwall and room and pillar orders this year due to current global economic conditions, plus the influx of longwall orders from the US and Russia in 2008 that set a high benchmark.

Aftermarket orders also had a way to drop after a high level of longwall orders in 2008 from Australia and South Africa.

Bucyrus attributed the fall in surface sales to a decline in electric mining shovel and blasthole drill new orders, due to reduced demand for commodities mined by its customers.

Total backlog in underground mining as of June 30 was $838.3 million, with $5.8 million falling into the next 12 months.

Bucyrus has spent $24.3 million this year with $8.6 million allocated to the expansion of its South Milwaukee facilities. The OEM expects to spend $60-70 million in 2009.