Overview
| Stage | Construction |
| Mine Type | Underground |
| Commodities |
|
| Mining Method |
|
| Processing |
|
| Mine Life | 50 years (as of Jan 1, 2020) |
Blue Creek is one of the few remaining untapped reserves of premium high volatility ("High Vol") A met coal in the U.S.
Due to the ongoing uncertainty related to the COVID-19 pandemic, the Chinese ban on Australian coal and current CBA contract negotiations with the UMWA, Company incurred minimal spend on the development of Blue Creek in 2021. The Company have delayed the majority of the first year budgeted $25.0 million development of the Blue Creek project. |
Source:
p. 14, 56
Summary:
Blue Creek mine will produce a premium High Vol A met coal that is characterized by lowsulfur and high coke strength after reaction (CSR).
Blue Creek mine contains approximately 103.0 million metric tons of recoverable reserves. The recoverable reserves can be increased to over 170 million metric tons by acquiring adjacent reserves as well.
The project targets the Mary Lee coal seam which has an average thickness of 5.2m.
The ash content of the coal is 9.10%, while the sulphur content is as low as 0.70%.
Summary:
The Blue Creek development will be a single longwall mine and is expected to have the capacity to produce an average of 4.3 million short tons per annum of premium High-Vol A met coal over the first ten years of production. It is one of the last remaining large-scale untapped premium High Vol A met coal mines in the U.S.
Blue Creek is expected to have a mine life of approximately 50 years assuming a single longwall operation.
Based on the current schedule, Warrior expects first development tons from continuous miner units to occur in the third quarter of 2023 with the longwall scheduled to start up in the second quarter of 2025.
Source:
Summary:
The coal will be cleaned at the coal preparation plant.
Projected Production:
| Commodity | Units | Avg. Annual |
|
Coal (metallurgical)
|
M tons
| 4.3 |
All production numbers are expressed as clean coal.
Reserves at December 31, 2020:
| Category | Tonnage | Commodity |
|
Proven
|
64,309 kt
|
Coal (metallurgical)
|
|
Probable
|
38,733 kt
|
Coal (metallurgical)
|
|
Proven & Probable
|
103,042 kt
|
Coal (metallurgical)
|
Commodity Production Costs:
| | Commodity | Units | Average |
|
All-in costs
|
Coal (metallurgical)
|
USD
|
......  *
|
|
Assumed price
|
Coal (metallurgical)
|
USD
|
...... *
|
* According to 2020 study / presentation.
- Subscription is required.
2020 Study Costs and Valuation Metrics :
| Metrics | Units | LOM Total |
|
Initial CapEx
|
$M USD
|
......
|
|
Equipment leasing costs
|
$M USD
|
......
|
|
After-tax NPV @ 10%
|
$M USD
|
......
|
|
After-tax IRR, %
|
|
......
|
|
After-tax payback period, years
|
|
......
|
- Subscription is required.
Mine Management:
| Job Title | Name | Profile | Ref. Date |
|
.......................
|
.......................
|
|
Jan 24, 2022
|
- Subscription is required.
- Subscription is required.