A former mining “minnow” company that purchased its first mine in 2015 will soon expand its operations, creating more than 150 jobs in the process.
Queensland Resources Minister, Scott Stewart said the sale agreement between MetRes – a joint venture between Stanmore Coal and M Resources – and Peabody Energy Australia would allow the restart of the Millennium and Mavis Downs coal mines near Moranbah.
“This sale agreement is great news for Queensland and will help with our state’s COVID-19 economic recovery,” Mr Stewart said.
“This venture will create more than 150 jobs through investment in underground expansions and completion of rehabilitation obligations.
“With a predicted mine life of 22 years including rehabilitation, these are lasting jobs and will create long-term royalties that will benefit all Queenslanders.
“This investment is a strong sign of the growing confidence in our resources sector as Queensland continues its road to economic recovery.”
Queensland’s Stanmore Coal purchased its first open cut coal mine from Brazil’s Vale and Japan’s Sumitomo in 2015. As part of the sale, Stanmore took on a $32 million rehabilitation obligation associated with the mine.
Since then, Stanmore’s portfolio has grown to feature projects in the Bowen and Surat basins.
The Millennium and Mavis Downs mines will feature a mix of open cut, high wall and underground mining methods used for the extraction of high-quality metallurgical coal.
The project will have a total production of 13.9 million tonnes of metallurgical coal during its lifespan.
Mr Stewart said the state government would continue to support the resources sector for the royalties and jobs it generates, particularly in regional Queensland.
“The resources sector supports more than 84,000 jobs across Queensland and represents $44 billion in exports,” he said.
“The sector has played a vital role in supporting jobs during the pandemic and will continue to do so into the future.
“Queensland is naturally blessed with the world’s highest quality metallurgical coal, which the world needs to make steel.
“Even as the world transitions to renewables, metallurgical coal for steel will remain an essential and valuable international export commodity for Queensland.”
