Is the coal industry about to wake from its two years of hibernation - well if the rumours are correct then yes.
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To invoke one of its own conditions it would appear a spontaneous combustion event is about to occur with key industry players emerging from depths to ignite the mining industry.
With thermal coal prices rising more than 70 per this year and similar increases in coking coal who would blame industry insiders from having a go, and quickly, because who knows how long these prices will last.
Already we have seen Glencore re-open Glennies Creek underground and Bloomfield the adjoining Camberwell open cut. The two miners bought these mines last August from Vale, who in 2014, had placed both of them in care and maintenance.
Further up the Valley Australian Pacific Coal (AQC) is in the process of buying Anglo American’s Dartbrook underground –another mine in care and maintenance and Mach Energy is progressing the start of the former Rio Tinto owned Mount Pleasant open cut.
So what of other news in the industry, first that one of the country’s major coal players Gernman-born billionaire Hans Mende known for his role in Whitehaven Coal and Gloucester Coal is according to the Australina Financial Review placing fingers in strategic pies all over the Hunter Valley: he has a stake AQC and he is scouting for more deals through Malabar Coal with old friends Tony Haggarty and Andy Plummer.
Malabar Coal is developing the Spur Hill underground coking coal mine whose neighbour is Anglo’s Drayton South Coal Project.
One idea is that Malabar may acquire its neighbour along with NuCoal Resources’ Savoy Hill Coal and Dellworth Coal licences and create a super underground mine running all the way from Jerrys Plains through to Denman.
And given the appearance of former coal mining billionaire, Nathan Tinkler as a speaker at this week’s Drayton South determining Planning and Assessment Commission (PAC) hearing in Muswellbrook anything is possible.(see story page 3)
One final rumour is Yancoal ,whose shares enjoyed a 16 per cent rise to their highest price in more than two years, is looking to purchase Rio Tinto’s Mount Thorley Wakworth. But talk of Glencore acquiring all Rio’s local assets is also still part of the rumour mill.
Louise Nichols
From cattle to coal. Once a specialist agriculture writer today its about community, in particular, the Upper Hunter. I have lived and worked in the region for more than 30 years. Land use issues and the future direction of our region. But you cannot take ag out of the picture - our food and how we grow it is the basis of all life. Covering the Hunter and Mid North Coast rural issues is now part of my role with ACM.
From cattle to coal. Once a specialist agriculture writer today its about community, in particular, the Upper Hunter. I have lived and worked in the region for more than 30 years. Land use issues and the future direction of our region. But you cannot take ag out of the picture - our food and how we grow it is the basis of all life. Covering the Hunter and Mid North Coast rural issues is now part of my role with ACM.
