Australian listed company Bathurst Resources (ASX:BTU) is looking forward to developing an open cut coal mine in the Buller region of the west coast of South Island in New Zealand. The company says that the mine would have the highest safety and environmental standards.
The company has concluded its definitive feasibility study for the coking coal project and deems it a technically and economically feasible project. The Escarpment and Deep Creek blocks have probable reserves of 12.6 million tonnes of ROM coal.
The two locations will see conventional open cut mining operations. The two blocks are expected to produce about 3 million tonnes of raw coal each year at full production levels. After washing this would give 2 million tonnes of hard coking coal per annum.
Escarpment block will initially produce 650 tonnes per year starting production in the fourth quarter of 2011. It will then push up to 1 million tonnes a year by 2013. While Deep Creek block will be developed only in 2013 and will then increase annual production of coal to 1.5 million tonnes a year. By 2015 the production will be at full capacity of 2 million tonnes per annum.
Craig Munro the Chairman was at pains to explain that the safety of the mine would be a big focus. Specially in the aftermath of the death of 29 mine workers in Pike River Coal Mine.