Bowen Coking Coal will transition its Burton Mine Complex near Moranbah, Queensland, to an owner-operator model in a bid to increase cost savings, operational control, and mining flexibility.
Burton is an expansion of Bowen Coking Coal’s Broadmeadow East coal project, which originally awarded its mining services agreement to BUMA Australia in April 2022.
This agreement will come to an end on June 30, with the owner-operator model to take effect on July 1.
The mine transition is expected to increase Burton’s production and sales volume, improve alignment across all operations, and provide new opportunities for the mine’s workforce, strategic partners and local communities.
“We sincerely thank BUMA and its workforce for their contribution to the operations since mid-2022,” Bowen Coking Coal chief executive officer Daryl Edwards said.
“Over this period, BUMA have played a significant role in delivering stable operations and a lower cost profile within a challenging industry environment where labour, fuel and other inputs have increased substantially.
“In recent times, the Burton Mine Complex has recorded steady-state production while markedly reducing costs, leaving the business well positioned to now take responsibility for the mine plan, workforce and fleet.
“Once the transition has been completed, we expect to see further improvements across the mine under a single leadership voice.”
Utilising a staged approach, the transition works at Burton aim to minimise production disruptions while ensuring a smooth handover of responsibilities.
Emeco will provide a fully maintained fleet solution while Mining Pro will share its mining production and operational support expertise.
Bowen Coking Coal will also recruit additional resources to complement the existing Burton site management team.
“This transition is a critical first step towards our next stage growth plans to expand our Burton operations to incorporate tonnages from our Plumtree North, Isaac and Lenton pits, as well as plans to execute expansion works to refurbish the second module at our CHPP (coal handling and preparation plant) to increase production and sales,” Edwards said.
“The company is actively exploring funding solutions to support these plans. Our business remains committed to working closely with all stakeholders, including current contractors, suppliers, employees and community partners, to support a well-executed and successful transition.”
Subscribe to Australian Mining and receive the latest news on product announcements, industry developments, commodities and more.