Fair Work Commission

Overview

Members allocated to this project are Justice Boulton and Commissioner Spencer.

BHP Billiton Mitsubishi Alliance (BMA) is Australia’s and the world’s largest supplier of seaborne metallurgical coal. BMA has six fully operational mines in the Bowen Basin in Queensland (Broadmeadow, Goonyella Riverside, Peak Downs, Saraji, Crinum and Blackwater). BMA is executing three growth projects in Queensland, including the new Caval Ridge and Daunia mines and the third expansion of the Hay Point Coal Terminal.

Caval Ridge

Caval Ridge Mine has been identified as a quality coking coal resource to support BMA’s growth plans. The mine is located in the northern section of the Bowen Basin, approximately 5 kilometres south-east of Moranbah and 160 kilometres south-west of Mackay.

The project includes a new greenfield coal mine and a Coal Handling and Preparation Plant (CHPP) expected to produce up to 5.5 million tonnes per annum of quality coking coal.

The mine will be an open cut dragline and truck and shovel operation. First production for the mine will commence in 2014.

Daunia

Daunia Mine is located in the northern section of the Bowen Basin, approximately 18 kilometres southwest of Coppabella. It is an open-cut mine to be operated via an excavator and truck fleet. At full production, the mine will produce up to 4.5 million tonnes per annum of coking coal for the export market.

The new greenfield coal mine involves:

• One new open-cut coal mine
• A new Coal Handling and Preparation Plant (CHPP)
• Infrastructure associated with the new operations and facilities including a conveyor, haul roads and an overpass bridge

Construction of the mine commenced in 2011. The mine is expected to become operational in 2013.

Hay Point Coal Terminal Expansion Stage 3

To support BMA’s growth strategies, the company is expanding the Hay Point Coal Terminal, located south of Mackay. The Hay Point Coal Terminal Expansion Project (HPX3) will increase the capacity of the port to approximately 55 million tonnes per annum (Mtpa). Once complete, the expansion will accommodate the throughput required to support BMA’s growth plans.