Peak downs

Australia's largest coal exporter and miner, BMA (BHP Billiton Mitsubishi Alliance), has ceased its long term association with mining contractor, Leighton Holdings, at its large open cut mining operation, Peak Downs, in Queensland's Bowen Basin and awarded a two year contract to pre-strip the mine, to Perth based mining contractor, HSE Mining.

Peak Downs Contractor HSE Mining Began Operations in the Northern Territory
HSE Mining Pty Ltd has previously been known as Howard Springs Earthmoving Pty Ltd. It is a privately owned mining contracting company that was established in the Northern Territory in 1991. It now has its head office in Perth, Western Australia. Since it was formed, HSE Mining has experienced rapid growth and has built up a large fleet of specialised mining equipment that can be used to take on both large and small mining operations anywhere in Australia. Since it started business it has carried out mining work in the Northern Territory, New South Wales, Western Australia and Queensland.

Peak Downs Mine Began Coal Production in 1972
Peak Downs coal production began in 1972. It is a large open cut operation located 31 kilometres from the town of Moranbah. The Peak Downs Mine is one of seven other open cut coal mines owned by BMA in the coal rich 75,000 square kilometre Bowen Basin of Queensland with peak Downs being one of the companies oldest and most established sites. The coal mining operation at Peak Downs is now around 40 kilometres long and capable of producing more than nine million tonnes of coal annually, which, at current production levels, will last for the next 60 years.

Peak Downs Coal Exported Out of the Hay Point Coal Terminal Near Mackay
Coal produced at the Peak Downs open cut coal mine is shipped to the Hay Point Coal Terminal near Mackay for shipping to the companies overseas clients. The mine is operated by means of six drag lines along with two fleets of conventional truck and shovel equipment for overburden removal.

Peak Downs Expansion Plans Dropped in 2012
In 2012 BMA put expansion plans on hold regarding the Peak Downs Mine. This decision followed a 34 percent drop in profit from the mining of metallurgical coal from the previous year. BMA, along with other coal mining companies has been forced to curb production owing to lower demand and falling world coal prices.

Lower Coal Prices Force Changes at the Peak Downs Mine
The Peak Downs open cut black coal mine produces high quality hard coking coal that is an essential coal for the manufacturing of steel. BMA have long life reserves in their various coalfields in Queensland as well as many areas that remain undeveloped. In the current market, where demand for coal has fallen lower prices are being paid and coal companies have had to reconsider their ongoing expansion plans and look at ways whereby they can lower their day to day costs at the mine site. BMA is not immune to these changes and has therefore taken the view that its new mine operator HSE Mining is better positioned to assist in making the Peak Downs Mine more efficient going forward and will therefore give Peak Downs Mine a better chance of survival whilst these tight market conditions persist.
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