The Rising Influence of Rising Affluence

[DewDiligence]

BHP approves $845M investment to sustain metallurgical-coal operations in Australia:

http://www.sec.gov/Archives/edgar/data/811809/000118143112037635/rrd349451.htm

BHP Billiton today approved investment of US$845 million to sustain operations at Illawarra Coal, in southern New South Wales, Australia by establishing a replacement mining area at the Appin Mine.

The replacement area will have a production capacity of 3.5 million tonnes per year of metallurgical coal and will sustain Illawarra Coal’s production capacity at 9 million tonnes per year. Appin Area 9 will be operational in 2016 and will replace production at the West Cliff Mine. The project includes roadway development, new ventilation infrastructure, new and reconfigured conveyors and other mine services.

The development has received all necessary regulatory approvals.

Unlike thermal coal, metallurgical coal (an obligate ingredient for steelmaking) remains a prized asset.