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The Vancouver-based producer said Friday that the reserve base at the complex near Chetwyd has been increased by 88% to 29.6 million tonnes. The growth will lengthen its life and also support a potential expansion to 1.7Mtpa.
Company officials noted that current mine approvals permit annual production of up to 900,000tpa. Applications have been submitted to increase that to 1.7Mtpa over the 13-year mining life.
The expansion will include an increase in the processing plant’s throughput capacity and the rail loadout to bring its capacity to more than 3.7Mtpa.
“The newly expanded facilities will process coal from both the Willow Creek mine and the nearby Brule mine, eliminating the need to construct a plant and load-out facility for Brule,” the company said, noting that at full capacity the mine and plant will employ more than 300.
"With plans to grow production in our northeast BC mines from 2.2 million tons to nearly 6 million tons in three years time, the reopening of the Willow Creek mine is an important milestone for Western in achieving its goals,” Western Coal president Keith Calder said.
“With coal markets continuing to move in our favor, Western will be investing the strong cash flow generated to further reduce costs and increase its size and scale to become a major global metallurgical coal producer, all of which will provide even greater stability for employees, communities and our shareholders over the long term."
The reserve increased was realized via a recently completed prefeasibility study at Willow Creek which updated information previously recorded in December 2007.
The new review found in situ measured coal resources of 37.3Mt and indicated resources of 11.6Mt, for a total of 48.9Mt, as well as an inferred resource of 300,000t.
The recently wrapped study also contributed 27.7Mt of proven run-of-mine coal and 1.9Mt of probably ROM coal, for a total of 29.6Mt ROM reserves, for the company’s designed open pit mine.
“This new reserve is expected to produce up to 7Mt of coking coal and 14.6Mt of high-quality PCI coal,” officials said.
“Previously reported reserves were 14.8Mt proven and 900,000t of probable ROM coal.”
