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PM opens BHP mine

PRIME MINISTER Tony Abbott officially opened BHP Billiton Mitsubishi Alliance’s 100% fly-in, fly-out based Caval Ridge coking coal mine in Central Queensland.

Blair Price
PM opens BHP mine

The delay of the open cut mine’s opening, with local press speculating that it was operating from April, has become more justifiable given Abbott’s hectic schedule.

BHP coal president Dean Dalla Valle said Caval Ridge was a significant milestone for the company.

“The operation will produce metallurgical coal for the steel industry and has been constructed with the latest technology to be one of the most productive, sustainable and highly performing metallurgical coal mines in the world,” he said.

“Energy efficiency is a key focus for the mine and was built into its design and management system. This includes the use of highly efficient equipment and the optimisation of truck, shovel and dragline movements. This improves the efficiency of our energy use and helps minimise our greenhouse gas emissions.

“Since commencing operation, the Caval Ridge team has already achieved an Australian record for the amount of overburden moved by a shovel in one week.”

In light of BMA’s announcement last month to cut 700 jobs in the state, Valle said difficult decisions needed to be made.

“We are confident that if we maintain our productivity focus then we will continue to have a globally competitive business that will provide employment opportunities for generations to come,” he said.

BMA has received political and community criticism for making Caval Ridge and its associated mine Daunia based on 100% FIFO operations.

Valle focused on the diversity and training benefits from using a FIFO workforce.

“Caval Ridge mine’s workforce, who commute from Cairns and Brisbane, include 21% females, 3% Indigenous and 43% new-to-industry employees,” he said.

“We have invested considerably in recruiting and training new entrants to the coal industry who will work alongside some of our experienced operators.

“Having a FIFO operation enabled us to reach a wider potential employee pool across the State, not only bringing greater diversity but also enabling us to share the economic benefits of the mine more broadly. Over 30,000 people applied for around 950 roles at Caval Ridge and its sister mine Daunia.”

Caval Ridge is BMA’s eighth operation in Queensland and initially targeting up to 5.5 million tonnes per annum of premium metallurgical coal.

BHP said the $US3.4 billion ($A3.9 billion) mine was delivered below budget and produced first coal three months ahead of schedule.

The mine has also created about 500 operational jobs. BMA is yet to provide a timeline for implementing its proposed 700 job cuts and is still calling for voluntary redundancies.

Last month BMA’s workforce numbers included 6000 employees and 5000 contractors.

BMA is a 50:50 joint venture of BHP and Japanese conglomerate Mitsubishi.

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