CALLIDE mine is up for sale, with owners Anglo America stating the mine near Biloela no longer fits the company’s growth strategy.
Chief Executive Officer of Anglo American’s Metallurgical Coal business, Seamus
French today announced the company had commenced a divestment process for the thermal coal mine.
Mr French said Anglo American’s Metallurgical Coal business unit’s strategy was focused on growing its metallurgical coal business.
“Callide mine is a thermal coal operation primarily supplying domestic power stations in Biloela and Gladstone,” Mr French said.
“The Callide mine does not align with our growth strategy and the divestment process will lead to the sale of the operation as a going concern.
“Callide mine is a low cost coal producer with a significant resource base of more than one billion tonnes, a stable and well run operation in an established mining area and has a strong future underpinned by long term coal supply contracts.
“Anglo American sees an exciting opportunity for investors to expand the Callide business,” Mr French said.
“The process will be undertaken with care and respect for our employees and all other stakeholders with our priority during this period being the safety of our employees and stability of the operation,” Mr French said.
“Anglo American will work closely with Government, its customers, suppliers and the local community to ensure they are consulted throughout this process,” Mr French said.
Member for Flynn, Ken O’Dowd has requested an urgent meeting with Anglo management.
“Anglo has said they wish to focus on expanding their metallurgical coal business and that thermal coal did not align with the company’s current strategy.
I need to know what this decision means to the workers and the community of Biloela and district,” Mr O’Dowd said.
“We’ve seen it all before, these companies come to town with all the hoop-la and hype and when they see a ‘better’ opportunity they move on.
This should sound a warning bell to the State Government in their dealings with the LNG Industry,” he said.
“Governments and local councils should be demanding that these companies commit to social infrastructure before they are granted their valuable operating licences, because when they are finished they will pack up and move on, with little consideration for the communities that have bent over backwards to accommodate them.
“I need to know from Anglo just how committed they are to Central Queensland and who they might be considering as a prospective purchaser of these assets.
“I don’t like the sound of it and I need to be reassured that the Callide mine has a strong and viable future.” Mr O’Dowd said
Read Friday's Central Telegraph for the latest update.