Oaky creek

International mining company Glencore Xstrata, one of the worlds largest coal miners, the primary owner of the Oaky Creek underground mine in Central Queensland, has been seriously effected with the falling coal price in the first half of 2013 and has responded by laying off 150 workers at the Oaky Creek coal mine, effectively cutting its workforce at the mine to just over 1,000 employees.

Oaky Creek Mine is 55 Percent Owned by Glencore Xstrata
The Oaky Creek underground coal mine is a joint venture operation with the partners comprising Glencore Xstrata (55 percent), Sumisho Coal Australia Pty Ltd (25 percent), Itochu Coal Resources Australia Pty Ltd (15 percent) and ICRA OC Pty Ltd (10 percent). The mine produces two premium quality medium volatile coking coals and has an annual production capacity of 11 million tonnes of ROM coal.

Oaky Creek Mine is a Modern Mining Operation
Glencore Xstrata's Oaky Creek coal mine is situated between the two Queensland Bowen Basin coal mining towns of Middlemount and Tieri. It is an up to date efficient and modern mining operation that produces coal for the export market.

Mining Began at Oaky Creek in 1982
Mining at Oaky Creek began in 1982 as an open cut drag-line operation with the first coal being produced in late 1983. Oaky Creek No.1 Colliery began mining underground operations in July 1990 which at that time had a workforce of 585 employees. Long-wall mining began in 1999 when Oaky North underground commenced production. In 2003 Xstrata purchased the Oaky Creek mining operation from Mount Isa Mines (MIM) and the open cut operation that was still being carried out at the site was closed in 2006. There are currently three long-wall mine workings taking place at two Oaky Creek underground operations, one being the world first automated low seam long-wall. The mine is renown for producing one of the Bowen Basin's most sought after coking coals.

Oaky Creek Coal is Exported out of Dalymple Bay and Gladstone Ports
There is also a coal preparation plant at the Oaky Creek mine and after the coal is treated at the plant it is transported by rail to ports at either Dalrymple Bay or Gladstone from where it is exported to the company's overseas customers in South America, North Africa, Europe, Asia and Japan. At current production levels the Oaky Creek Mine is expected remain productive for at least the next 30 years.

Expansion Possible at Oaky Creek if Market Conditions Improve
Despite current cut backs it is still planned to expand production at the Oaky Creek Mine over the next five years in order to further develop additional sections of the lease area. If the expansion goes ahead it will include a new long-wall mining system, expansion of the coal preparation plant and an electrical system upgrade.

Glencore Xstrata is one of the worlds biggest metal and mining companies that has a presence in 20 countries around the globe and a workforce of over 70,000 personnel. Xstrata Coal is the worlds largest seaborne thermal coal exporter, as well as being one of the worlds largest producers of coal used in the making of steel. It has more than 30 underground and open cut coal mines in Australia, Colombia and South Africa.

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.

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.