Anglo American (AAL) has temporarily suspended operations at its Grosvenor steelmaking coal mine in Queensland, Australia. This follows an underground coal gas ignition incident on 29 June 2024.
Emergency Response and Safety Measures
In response to the incident, all emergency protocols were promptly activated, ensuring the safe evacuation of the workforce without any injuries. The mine team is currently collaborating with specialist teams from the Queensland Mines Rescue Service and regulatory authorities to extinguish the underground fire. The process of addressing the fire and assessing the steps towards a safe re-entry is expected to take several months due to the likely damage underground.
Impact on Production
The suspension of operations at Grosvenor is anticipated to significantly impact Anglo American's steelmaking coal output. In the first half of 2024, the business aimed to produce approximately 8 million tonnes of steelmaking coal, with Grosvenor contributing around 2.3 million tonnes. For the entire year, the production guidance for Anglo American's steelmaking coal business ranges from 15 to 17 million tonnes. Grosvenor was projected to produce about 3.5 million tonnes in 2024, accounting for lower production in the second half of the year due to a planned longwall move.
Future Steps and Considerations
As Anglo American addresses the current situation, the focus remains on ensuring the safety of its workforce and the integrity of the mine. The company will continue to work closely with regulatory authorities and specialist teams to resolve the issue and resume operations safely.