For the 2000-01 year the Brisbane-based company reported operating profit before significant items of $104.8 million (MIM’s share) compared with $111.8 million for 1999-00.
Earnings before interest (EBIT) for the Bowen Basin coal operations increased by $156.1 million to $249.6 million as a result of increased sales and higher Australian dollar prices.
MIM’s 75% share of earnings before interest, tax and exchange was $140 million for Oaky Creek ($47 million in 1999-00) and $109 million for Newlands, Collinsville, Abbot Point NCA ($46 million in 1999-00).
The company expects coal production to continue at the high levels achieved for the June 2001 quarter. The addition of a fourth washplant module gives Oaky Creek the potential to increase annual output by a further 1 million tonnes but rail capacity constraints need to be addressed.
“At NCA, with continued high demand for both thermal and coking coal products, we expect to further increase output beyond that achieved for the 2000-01 year,” MIM said in a statement. “With a focus on further strengthening and expansion of the coal business, the company has recently embarked on a major exploration effort in the Bowen Basin aimed at creating opportunities for further project development.”
Results for the June 2001 quarter delivered increased tonnage across all operations. At Oaky Creek (MIM 75%) total coal production for the quarter was 10% higher than for the previous June quarter. Scheduled longwall moves at both underground mines were completed with washplant operation maintained from ROM stocks.
A scheduled longwall move will occur at the No 1 underground mine in the September quarter. Coal washplant feed will be maintained from ROM stocks. Coal output for the September quarter is expected to continue at the June quarter level.
Open cut mining using retained overhauled draglines resumed at Oaky Creek in July and will provide operational flexibility during a period of short panels at the No 1 underground mine and ultimate transfer of the No 1 operation to the South East area during the 2002 financial year. Open cut production will also replace coal from the Alliance Colliery, scheduled for closure next year, with coking coal of a higher quality.
At Newlands-Collinsville-Abbot Point (MIM 75%) total coal output for the quarter was 23% higher than for the previous June quarter. A scheduled longwall move at the Newlands underground mine was completed in July.