Good news for the coal industry - Blast-off for Byerwen

Posted June 10, 2015

byerwen coal

Tenders will start going out this month for work on the $1.7 billion Byerwen coal mine, 20km west of Glenden in central Queensland.
Construction is scheduled to start by the end of the year at the hard coking coal project, being developed by QCoal Group and JFE Steel.
“The rail and electrical work packages are expected to be out in the next couple of weeks,” QCoal Group general manager of mining operations Danny McCarthy said. “The high-voltage infrastructure works will also be out by the end of June.”
Mr McCarthy said tenders for the Byerwen project would be issued via the Industry Capability Network (ICN) or through a requested tender process, depending on the complexity of the packages involved.
He said QCoal had preference clauses in its procurement contracts for local supply.
“I think it will be great for the industry and great for the Glenden community and wider region to see a flagship project like Byerwen coming out of the ground,” Mr McCarthy said.
“It instills a lot of confidence back into the area at a time when there’s a lot of negativity – it will be good to develop a world-class project amongst that.”
The approval in April of the first of several mining leases being sought for the project has opened the way for construction, with that first lease covering a pit area adjacent to existing rail infrastructure for transport to Abbot Point.
“This enables us to put in the rail spur and train load-out area,” Mr McCarthy said.
The Byerwen project will be a staged development, expected to reach a peak capacity of about 10 million tonnes per annum.
The mine is expected to employ about 300-350 people in its initial stages of operation.
QCoal Group has flagged its aim to be producing 20mtpa of coal across its central Queensland mines by 2020.
It began production from the Drake mine, 17km south of Collinsville, in December last year.
This added to the cluster of local sites – including the Sonoma mine and processing plant at Collinsville - which QCoal operates as its Northern Hub.
The Drake product is processed at Sonoma and Mr McCarthy said the company was also seeking opportunities for bypass coal (which would not go through the preparation and handling plant) to boost overall production.
The Northern Hub strategy has seen QCoal slightly increase its workforce levels to about 400 at a time when the nearby Glencore Collinsville coal operation is shedding 80 workers.
“It has enabled us to share resources – both plant and people - seamlessly across the operations. That was always the strategy for the Northern Hub and testament to that we are continuing to operate and don’t have any plans to reduce that,” Mr McCarthy said.
QCoal is producing 4-4.5mtpa from the Northern Hub and expects first coal from Byerwen to be shipped in the second half of 2016.

2 responses to “Good news for the coal industry - Blast-off for Byerwen”

  1. Tony Doyle says:

    Great news for the region..t..d

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