Newlands

The Newlands coal mine in the northern Bowen Basin area of Queensland is a part of the NCA project that comprises the Abbot Point coal terminal, the Collinsville open cut coal mine and the Newlands underground longwall and open cut mining operations. The NCA Project is operated by Xstrata Coal on behalf of the joint venture partners; Xstrata Coal (55 percent), Itochu (35 percent) and Sumotomo (10 percent). The Abbot Point coal terminal, from where the Newlands steaming and coking coal is exported, is owned by the Ports Corporation of Queensland.

All Coal is Mined From the Upper Newlands Coal Seam
Development of the Newlands coal mine near the coal mining town of Glenden, 140 kilometres west of Mackay, began in 1991 with coal production getting underway two years later, in 1983. All coal mined from the Newlands operation is mined from a single coal seam, the Upper Newlands. This coal seam averages around six metres in thickness.

The Newlands Mine Began Producing Four Million Tonnes of Coal Annually
When the Newlands Mine began production it proposed to produce four million tonnes of export quality washed steaming and coking coal a year from a total production of 4.5 million tonnes produced in its open cut mine. However, underground mining of the Upper Newlands coal seam began in 1988 after considerable restructuring of the open cut operation. As a result, the combined NCA coal mining operations now has a capacity to produce 11 million tonnes of run of mine (ROM) coal a year. The joint venture employs over 1,000 employees with most of the workforce residing in Glenden.

Xstrata Coal Plans Newlands Mine Extensions
Xstrata Coal, on behalf of its joint venture partners, has applied for three extra mining leases adjacent to its Newlands mining operation that would extend its tenement holdings over an additional 11,674 hectares. When these leases are granted there will not be any increase in coal production but will expand both the current underground and open cut operations. This would result in its life of mine being extended to 2038 and the following rehabilitation work being continued through to 2042. A new open cut mining project would begin operations in 2016 with a mine life of 22 years. This mine will be expected to produce around five million tonnes of ROM coal a year and be worked using existing draglines and truck and shovel equipment.

As a result of the proposed expansion, the underground mine would have its existing longwall mining activity now taking place at the Northern Underground mine extended. The underground mining extensions are planned to start in 2013 and give the Northern Underground an additional 13 years of mining, during which time it would be producing six million tonnes of ROM coal a year.

This extension project would secure ongoing employment at the Newlands mine and continue to provide economical benefits to the region as well as benefit both the Queensland and Commonwealth governments.

Xstrata Coal, a wholly owned subsidiary of giant international mining company, GlencoreXstrata, has recently consolidated its Queensland and New South Wales coal mining divisions into the one management company known as Xstrata Coal Australia. This restructuring has meant the company's Queensland office is now closed with all business being completed out of its Sydney office.

Note- GlencoreXstrata was formed following a merger of Glencore International and Xstrata, the merger was completed in May 2013. But a decision was made by the Company's shareholders during the annual general meeting and the announcement was made in May 2014 that Glencore will drop Xstrata and be simply known as Glencore.