BHP Biliton to boost its coal output and cut costs

By Dale Benton
Global mining leaders BHP Biliton has announced plans to boost its coal output by 8 percent over the next three years. "The developing world needs...

Global mining leaders BHP Biliton has announced plans to boost its coal output by 8 percent over the next three years.

"The developing world needs steel, steel needs coking coal, and we have the strongest resource position in the seaborne market,"  BHP Billiton Minerals Australia president Mike Henry told reporters on Tuesday after an investor presentation.

"We have the portfolio of assets best placed to meet this future demand," he added.

The company is also looking to cut costs by $600million over the next 12 months by negotiating better deals on its equipment and parts for trucks, wash plants and workers.

"We will unlock further productivity, reduce costs and release latent capacity," the company said in slides prepared for an investor presentation." the company said in a statement.

BHP Billiton owns nine coking coal mines in Australia's Queensland state with Japanese partners Mitsubishi Corp and Mitsui & Co. It also owns the biggest energy coal mine in the Hunter Valley in Australia and a one-third stake in Cerrejon, alongside Anglo American and Glencore Plc.

Follow @MiningGlobal

Read the June 2016 issue of Mining Global magazine 

Share

Featured Articles

Laws Thwart US Bid to Match China on Lithium Mining

US bid to increase domestic production of lithium in order to reduce reliance on Chinese supplies of critical mineral frustrated by 'confusing' state laws

Bain: 'Inflation Dampening Mining Leaders' Net Zero Hopes'

Bain & Company’s annual Energy & Natural Resource Executive Survey shows 62% of energy execs say high costs mean net zero goals won't be met by 2060

Focus on: Lithium – ‘White Gold’ Driving the EV Revolution

Because of the move to electric vehicles, the metal lithium is rapidly becoming a vitally important part of world’s bid to move away from fossil fuels

Aluminium Industry Calls for new North America Body

Supply Chain & Operations

Data-Driven ABB Smart Hoisting Solution 'is Safety Boon'

Digital Mining

Deep Sea EV Metals Mining Firm in Greenpeace Clash

Sustainability