It remains on track to achieve FY19 production guidance at 6.5Mt having completed longwall moves at Appin and Dendrobium following the end of the quarter and renegotiating the remaining labour agreements.

 

"We successfully renegotiated a new Appin Trades and Operators and West Cliff Coal Preparation Plant Enterprise Agreement during the March 2019 quarter, thereby concluding the renegotiation of all major labour agreements at the operation," the company said.

 

Illawarra's focus will remain on achieving a substantial uplift in development rates at Appin in order to sustain the operation of two longwalls in parallel from H2 FY20.

 

"FY19 production guidance remains unchanged at 6.5Mt as we commence the extraction of new panels at both Appin and Dendrobium in the June 2019 quarter, following the successful completion of two longwall moves," it said.

 

During the March quarter, the company also started a drilling program at the Eagle Downs Metallurgical Coal project in Queensland to further support the completion of the feasibility study ahead of a final investment decision scheduled for the December 2020 half year.