Stanmore Coal has acquired a 600-tonne excavator, the CAT 6060, from Hasting Deering for its Isaac Plains East mine in Queensland.
A $13 million investment by Stanmore includes additional workshop facilities and associated equipment expenditure at Isaac Plains to support efficient maintenance practises.
Typical life of the equipment is more than 10 years and is expected to support existing Isaac Plans East operations in the short term.
The trucking fleet required to support the excavator will be supplied by Golding, with the equipment set to either move prime overburden in front of the dragline or overburden in dedicated excavator and truck pits uncovering coal.
The inclusion of the additional trucking fleet enables Stanmore to operate the existing site infrastructure at capacity, which is matched to the port contracts.
This has allowed the company to retain the flexibility to scale up and down production through a cost-effective structure.
Stanmore will finance the excavator through an equipment loan facility set up with Caterpillar Financial Australia, a lender associated with the original equipment manufacturer (OEM) supplier, with the term of the loan being five years.
The excavator will be transferred to the Isaac Plains East mine to commence box-cut operations to establish the mine once environmental approvals are granted.
Stanmore has completed the Isaac Plains underground feasibility study, which confirms a positive business scale for the new underground mine.
Subsequently, potential production is expected to ramp up to an average of 1.2 million saleable tonnes per annum from year two of the production plan.
The product tonnes forecast for the underground combined with the open cut sources exceeds the current coal handling preparation plants (CHPP) and contracted port capacity.
Stanmore stated the Isaac Plains underground project would be deferred until additional port and CHPP capacity were secured or until mining at the Isaac Downs project was largely complete.