Name of the Project
Olive Downs coking coal project.

Location
In the Bowen basin, in Queensland, Australia.

Project Owner/s
Pembroke Resources.

Project Description
Olive Downs will be one of the biggest opencut coking coal mines in the world.

The project proposes the development of a greenfield opencut coal resource in an existing brownfield mining precinct for the export of coking and pulverised coal injection products to the steel production industry. Fully developed, the complex will be one of the biggest metallurgical coal mines in the world.

The project comprises the Olive Downs South and Willunga deposits.

The proposed Olive Downs South domain opencut pit areas are generally aligned from north to south and are located on the western side of the Isaac river.

Phase 1 will produce 4.5-million tonnes a year of steelmaking coal, which will be exported through the Darymple Bay coal terminal.

At full production, the mine could produce up to 15-million tonnes a year of metallurgical coal, with a mine life of nearly 80 years.

Potential Job Creation
The project will support 700 jobs during construction and more than 500 new jobs for the region when fully operational.

Net Present Value/Internal Rate of Return
Not stated.

Capital Expenditure
The project is estimated at A$1-billion.

The Stage 1 project is expected to require a capital spend of A$450-million.

Planned Start/End Date
Construction on the Olive Downs South domain started in 2019 while construction at the Willunga domain will start in 2027.

Latest Developments
Contractor Thiess has been appointed as the mining services contractor.

The eight-year contract will result in Thiess’ delivering full-service mining operations, including mine planning, overburden removal, drill-and-blast, load-and-haul, water management and rehabilitation, as well as the construction of the mine infrastructure.

The company is expected to generate A$1.5-billion in revenue from the contract over the first five years.

Pembroke Resources secured A$500-million in financing in December last year for the development of the Olive Downs mine, after the North Australian Infrastructure Fund provided a loan facility of up to A$175-million earlier in that year.

Thiess will start operations at the mine in the first half of 2023, subject to the finalisation of contracts.

Key Contracts, Suppliers and Consultants
Sedgman and CPB Contractors (design, procurement, construction and commissioning of the coal handling and preparation plant).

Contact Details for Project Information
Pembroke Resources, tel +61 2 9231 1400 or email info@pembrokeresources.com.au.