The Grosvenor mine conveyor. Picture: Anglo American
The Grosvenor mine conveyor. Picture: Anglo American

Anglo willing to ‘revise’ production target at CQ mines

ANGLO American is willing to revise an inflated production target at its Grosvenor and Moranbah North mines if it can't be achieved safely.

The company's metallurgical coal chief executive Tyler Mitchelson made the commitment during his second day as a witness for the Queensland Coal Mining Board of Inquiry.

The day before, it was revealed the company's global group set a target for the two Central Queensland mines to produce a combined 24 million tonnes per annum by the end of 2022.

On Monday Mr Mitchelson told the inquiry he estimated the mines only produced a combined 16.4 million tonnes per annum in 2019.

But after further questioning from Barrister Saul Holt - acting for Anglo American - the following day, Mr Mitchelson said the target was not actually stipulated.

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Anglo American metallurgical coal chief executive Tyler Mitchelson arrives at the Brisbane Magistrates Court to give evidence to Queensland's coal mining board of inquiry. Picture: Glenn Hunt / The Australian
Anglo American metallurgical coal chief executive Tyler Mitchelson arrives at the Brisbane Magistrates Court to give evidence to Queensland's coal mining board of inquiry. Picture: Glenn Hunt / The Australian

"There is a growth strategy and there is a desire to improve the business," he said.

"When we looked at our own Met Coal business, the largest opportunity we had was in the Moranbah and Grosvenor complex, focusing on the productivity in those areas, and the 24 million tonnes is a bit of a tagline target.

"The number will be what it will be, based on what we can comfortably demonstrate that we can safely deliver out of those mines."

Mr Mitchelson said if the 24 million tonnes per annum could not be reached safely, "we will revise the targets down and basically reassess the entire project".

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The inquiry heard the company wanted to add more capacity to the Moranbah-Grosvenor complex as part of an overall project to attempt to deliver the production target.

"It's about a half a billion dollar investment that we're looking at making, and we may have to rethink the size and how we actually do it," Mr Mitchelson said.

"But it's reliably and safely delivering, consistent production, and that will define what we are able to do and how we will invest."



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