2.3.4.1.2 Additional coal resource development


The decision over the inclusion of ACRD in the CRDP is informed by companion product 1.2 (coal and coal seam gas resource assessment) and based on the judgement of the Assessment team, which was guided by companion submethodology M04 (as listed in Table 1) for developing a coal resource development pathway (Lewis, 2014). The Assessment team utilised all publicly available evidence and, where possible, verified details and information with relevant companies to evaluate the potential for individual coal resource developments to proceed to future commercial production. Based on the research of the Assessment team, two coal mining project proposals are included in the CRDP for the Maranoa-Balonne-Condamine subregion: the New Acland Coal Mine Stage 3, which is an extension to the existing New Acland Coal Mine, and The Range, which is a new (greenfield) mine. The mines are planned as open-cut developments. These are the only two coal mine project proposals in the subregion for which EIS have been submitted and, in the case of the New Acland Coal Mine Stage 3, approved by the State. Table 12 gives the reasons for including or not including coal resource developments that were considered in companion product 1.2 for the Maranoa-Balonne-Condamine subregion (Sander et al., 2014) in the CRDP for the Maranoa-Balonne-Condamine subregion. Several potential projects are at the stage of early or preliminary exploration (i.e. Wandoan Coal Project, Dalby West), and some are at the stage of performing baseline or concept studies (i.e. Columboola Project, Cornwall, Tin Hut Creek). These projects are not included in the CRDP as their progression to commercial operation is too uncertain, particularly in light of falling commodity prices in the 2014–15 financial year. Other project proposals are less advanced in terms of their assessment, planning and regulatory approval status. Consequently, most of the identified coal resources listed in Table 12 are considered (on the basis of evidence available as of July 2015) to have low potential to progress to future commercial production and were not included in the CRDP. However, it is possible that some of these coal resources may be re-evaluated for future development.

There are no CSG project proposals for the Maranoa-Balonne-Condamine subregion, in addition to the baseline CSG developments, that are sufficiently advanced to warrant inclusion in the CRDP. To be included in the CRDP the project should have progressed from the initial exploration stage and be at least in the stage of demonstrating its producibility, for example, through pilot production. An initial advice statement should be available; anything prior to this is too speculative to be included in the CRDP in the light of currently fluctuating oil and gas prices. The Ironbark Project, which is not a commercial operation yet but is currently at pilot production stage with an EIS in preparation, has been included in the baseline to ensure consistency with the OGIA numerical groundwater model (QWC, 2012; OGIA, 2014).

Table 12 Coal resource developments considered for inclusion in the coal resource development pathway (CRDP)


Coal resource development

Company

Included in CRDP?

Reasons for including or not including in CRDP

New Acland Coal Mine Stage 3

New Acland Coal Pty Ltd

Yes – modelled

The New Acland Coal Mine Stage 3 has been proposed by the New Hope Group as an expansion of the existing New Acland open-cut mine. The environmental impact statement was first submitted in 2014 with additional information provided in August 2014 (DSD, 2014) and approval granted in December 2014. The project is to start construction in 2015 with progressive pit development from 2017 to 2029 generally from north to south across each of the three new pits (Manning Vale West, Manning Vale East and Willeroo) (New Hope Group, 2014b). The Stage 3 project involves the extension and operation of the existing New Acland Coal Mine to increase production from 4.8 –7.5 Mt/y of thermal coal (New Hope Group, 2012b, 2014b). The pits will be progressively backfilled using spoil dumps (New Hope Group, 2014b).

The Range

Stanmore Coal Limited

Yes – modelled

Stanmore Coal Limited has proposed a new open-cut coal mine, The Range, which is to extract coal from the Pelham Seam within the Taroom Coal Measures that occurs through much of The Range area (WDRC, 2011b). The EIS was approved by the Queensland Government in February 2013 and is now being progressed through Commonwealth approvals (Stanmore Coal, 2013, 2015). Construction was to begin in 2014 and production is to begin in 2016 continuing for a period of 26 years (Stanmore Coal, 2012). The mine is expected to produce 6–6.7 Mt/y of ROM coal for an average product coal of 5 Mt/y with the potential for up to 7 Mt/y; a total of 157 Mt of coal is forecasted to be produced (DEHP, 2013).

The project consists of three open-cut pits (two of them being developed initially with the third being developed in the final years) and requires clearing of approximately 187.22 ha (DEHP, 2013). Approximately 8 million cubic metres of topsoil will be removed during the life of the project which will be used for progressive rehabilitation.

Western Surat Gas Project

Senex Energy Limited

No

A project proposal of significant size is Senex Energy Limited’s Western Surat Gas Project, which includes Senex Energy’s Don Juan tenements (ATP 593P and ATP 771P) and three additional permits (ATP 767, ATP 795, ATP 889) (Senex Energy, 2015a). The proposal includes the drilling of up to 1000 wells over a period of approximately 30 years for a targeted production throughput rate of 35 TJ/day (Senex Energy, 2015b). Senex Energy expects to commence pilot production no later than the end of 2017 with early appraisal results to inform the larger scale investment decision. An EIS is expected to be submitted in mid-2016 (Senex Energy, 2015c). As the Western Surat Gas Project is currently only a proposed action in the early stages of planning and no pilot production has commenced and no IAS has been submitted, the project is not included in the CRDP.

ambreCTL Project (‘Felton’)

Ambre Energy Limited (Ambre Energy)

No

On basis of assessment of available evidence, continuation does not appear to be going ahead. There is no clear direction available from Ambre Energy Limited and no evidence of a current program via Queensland Government. No feedback was obtainable after phoning and emailing Ambre Energy. No further activity is indicated publicly. No EIS is evident. Queensland Government website states that Ambre Energy’s previous project at the same site, ‘Felton Mine and Dimethyl Ether Pilot Plant Project’ was withdrawn on 15 March 2011 and replaced by the ‘ambreCTL Project’. However no further information is listed by Queensland Government on ambreCTL Project. Local opposition for this project has been made public via Friends of Felton and media (DEHP, 2014a).

Back Creek

Allegiance Coal Limited

No

Allegiance Coal Limited has progressed to preparation of a mineral development license (MDL) application. However, the project is pre-EIS and thus not included in the CRDP (Allegiance Coal, 2011).

Bottle Tree

Cockatoo Coal Limited

No

The project’s status is pre-EIS and it has only indicated and inferred resources, thus it is not included in the ACRD (Cockatoo Coal, 2015).

Bringalily

Blackwood Corporation Ltd

No

Any potential development proposals for the Bringalily coal deposit are pre-EIS and thus not included in the CRDP.

Bushranger (Coal)

Cockatoo Coal Limited

No

The project’s status is pre-EIS and it has only indicated and inferred resources, thus it is not included in the CRDP (Cockatoo Coal, 2015).

Cameby Downs Expansion Project

Yancoal Australia Ltd

No

Queensland Government website states: ‘...on 8 October 2013, the proponent withdrew the referral for the project. Yancoal had until 31 March 2014 to submit the EIS to the department for assessment. However, the EIS was not submitted by that date. Consequently, the final Terms of Reference for the EIS have ceased to have effect (DEHP, 2014b).

Columboola Project

MetroCoal Limited and SinoCoal Resources Pty Ltd

No

MetroCoal Limited (N Villa, 2014, pers. comms.) confirmed that desktop studies and concept studies have commenced and are continuing. However, due to CSG activity considerations in the area this project will not be permitted to commence before 2023.

Cornwall

Aquila Resources Ltd

No

Aquila Resources (JHH, 2014, pers. comms.) confirmed that the project Cornwall status remains at pre-EIS but in July 2014 the mineral development licence (MDL) was granted and a conceptual study will be performed. However no EIS or further plans are reportable.

Dalby West

MetroCoal Limited

No

MetroCoal Limited (N Villa, 2014, pers. comms.) confirmed that only early exploration stages have commenced, but as the tenure is overlapped by CSG activity, coal mining will not be accessible for 15 years

Davies Road

Cockatoo Coal Limited

No

The project’s status is pre-EIS and it has only indicated and inferred resources, thus it is not included in the CRDP (Cockatoo Coal, 2015).

Glen Wilga

CS Energy Ltd

No

The project has measured coal resources, but is pre-EIS and thus not included in the CRDP (WDRC, 2014).

Haystack Road

CS Energy Ltd

No

The project’s status is pre-EIS and it has only indicated resources, thus it is not included in the CRDP (WDRC, 2014).

Horse Creek

Sekitan Resources Pty Ltd

No

In addition to their recent acquisition of the Wilkie Creek Mine (see Wilkie Creek Mine extension below) from Peabody Energy in 2015, Sekitan Resources Pty Ltd, a wholly owned subsidiary of Exergen Pty Ltd, acquired the mining lease for Horse Creek near Chinchilla (The Chronicle, 2015). However, the project is pre-EIS and thus not included in the CRDP.

Injune

Cockatoo Coal Limited

No

The project’s status is pre-EIS and thus it is not included in the CRDP.

Krugers

Cockatoo Coal Limited

No

The project’s status is pre-EIS and it has only indicated and inferred resources, thus it is not included in the CRDP (Cockatoo Coal, 2015).

Lochbar

NA

No

Any potential development proposals for the Lochbar coal deposit are pre-EIS and thus not included in the CRDP.

Ownaview

Cockatoo Coal Limited and Mitsui

No

The project’s status is pre-EIS and it has only inferred resources, thus it is not included in the CRDP (WDRC, 2014).

Pittsworth

NA

No

Any potential development proposals for the Pittsworth coal deposit are pre-EIS and thus not included in the CRDP.

Rywung

Yancoal Australia Ltd

No

The project has measured coal resources, but is pre-EIS and thus not included in the CRDP (WDRC, 2014).

Sefton Park

Yancoal Australia Ltd

No

The project has measured coal resources, but is pre-EIS and thus not included in the CRDP (WDRC, 2014).

Surat Coal (Carbon Energy)

Carbon Energy Limited

No

Underground coal gasification (UCG) project. UCG projects are out of scope and thus not included in the CRDP.

Tin Hut Creek

Cockatoo Coal Limited

No

Cockatoo Coal (R Punt, 2014, pers. comms.) advised that baseline studies have commenced, although this remains at pre-EIS status.

Wandoan Coal Project (MDL 420)

Moreton Resources Limited

No

Moreton Resources views the Wandoan Coal Project as a long-term strategic asset. Moreton Resources will seek to advance its understanding of the total potential of this asset in 2016 (Moreton Resources Limited, 2015).

Wilkie Creek Mine extension

Sekitan Resources Pty Ltd

No

The sale of the previously described Wilkie Creek Mine (current status: closed) in July 2015 to Sekitan Resources Pty Ltd, a wholly owned subsidiary of Exergen Pty Ltd, indicates ongoing commercial interest in this mine and a potential re-commencement of mining activities on the existing leases. However, in the absence of detailed plans or information and the deal not being finalised yet (expected in the third quarter of 2015), the Wilkie Creek Mine extension is not included in the CRDP.

ATP = authority to prospect, CRDP = coal resource development pathway, EIS = environmental impact statement, IAS = initial advice statement

Baseline and additional coal resource development timelines

The coal resource developments in the Maranoa-Balonne-Condamine subregion are forecast to be developed and operated over many years and even decades. To visualise this, a timeline was constructed using references presented earlier in this product (Figure 28). The timeline shows baseline and ACRD and highlights that many of the projects described in the subregion will be operational at the same time, emphasising the need for a model that captures the potential cumulative impacts.

Figure 28

Figure 28 Timeline of coal resource developments in the baseline and additional coal resource developments in the Maranoa-Balonne-Condamine subregion constructed using publicly available information

For the baseline coal seam gas (CSG) projects, construction and production occurs concurrently due to the staged development process.

The coal resource developments in the CRDP are equal to the sum of those in the baseline and ACRD.

Baseline = baseline coal resource development, a future that includes all coal mines and coal seam gas (CSG) fields that were commercially producing under an operations plan approved as of December 2012. For the Maranoa-Balonne-Condamine subregion, however, ‘baseline’ includes all CSG developments in the subregion that are reported in the 2014 Annual Report for the Surat cumulative management area

CRDP = coal resource development pathway, a future that includes all coal mines and coal seam gas (CSG) fields that are in the baseline as well as those that are expected to begin commercial production after December 2012

ACRD = additional coal resource development, all coal mines and coal seam gas fields, including expansion of baseline operations, that are expected to begin commercial production after December 2012

APLNG Project = Australia Pacific LNG Project, LNG = Liquefied Natural Gas, QCLNG Project = Queensland Curtis LNG Project, Santos GLNG Project = Santos Gladstone LNG Project + GLNG Gas Field Development Project.

Last updated:
16 October 2018
Thumbnail of the Maranoa-Baloone-Condamine subregion

Product Finalisation date

2016
PRODUCT CONTENTS