SYDNEY, July 4: Australia’s Whitehaven Coal has received final environmental approvals for its A$767 million ($695 million)Maules Creek coal mine in New South Wales, the company said on Thursday.
Maules Creek, which has an estimated 320 million tonnes of semi-soft coking coal and thermal coal, is a key asset for Whitehaven but approval for its development comes as coal producers are struggling with weak prices and tepid demand from major Asian buyers.
Whitehaven said it expected first coal sales in the second half of 2014 and is targeting production of 13 million tonnes per annum at full capacity.
Approval for the mine marks the second major development for Whitehaven in the past month. In June, top shareholder Nathan Tinkler handed over his near 20 percent stake in the company to creditors.
Shares in Whitehaven rose 1.8 percent to A$2.28, having fallen by almost half in the past year due to weak coal markets, uncertainty over the Maules Creek approval process and the overhang of Tinkler’s stake. ($1 = 1.1027 Australian dollars) (agencies)
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