BHP Billiton Approves Klipspruit Project In South Africa
Edited Press Release
LONDON (Dow Jones)--BHP Billiton announced Friday the approval of the Klipspruit Project, part of its Energy Coal operations in South Africa.
The Klipspruit opencast mine (100% BHP Billiton owned) with a current run of mine (ROM) capacity of 4.8 million tonnes per annum (Mtpa) will be expanded to 8 Mtpa, the company said.
The Klipspruit Project, which involves an investment of $450 million, will include the development of a 16 Mtpa coal processing plant called the Phola Coal Processing Plant in a 50:50 joint venture with Anglo Coal.
The plant, processing 8Mtpa of coal from each of the joint venture partners, will be located on the Klipspruit surface area and constructed by Anglo Coal, the company said.
The existing Rietspruit coal washing plant, located 32 kilometres from Klipspruit will be replaced by the new Phola Coal Processing Plant.
Increased production is due to commence in the second half of calendar year 2009, the company said.
Utilising current reserves, the mine is expected to have a 20 year life, although this has the potential to be extended through the development of further resources.
Four Mtpa of coal will be exported through the Richards Bay Coal Terminal, using BHP Billiton's existing allocation.
In the year ended June 30, Klipspruit produced a total of 3.4 million tonnes of energy coal which was sold through both the export market and to Eskom, the South African power utility.
(END) Dow Jones Newswires |
