WOLLONGONG COAL LIMITED Quarterly Report
October - December 2019
Wollongong Coal Limited
ABN 28 111 244 896
7 Princess Highway, Corrimal, NSW, 2518
Quarterly Report | |
October - December 2019 | |
Table of Contents | |
Investigations from the Resources Regulators Concluded.............................. | |
Capital Structure as on 31 December 2019....................................................... | |
WCL Quarterly Report | Wollongong Coal Limited |
October - December 2019 | ABN 28 111 244 896 |
Page 2 | 7 Princess Highway, Corrimal, NSW, 2518 |
Quarterly Report
October - December 2019
Production and Sales
Russell Vale | Wongawilli | WCL | |||||||||||
Colliery | Colliery | Totals | |||||||||||
Jul - Sep | Oct - Dec | Jul - Sep | Oct - Dec | Jul - Sep | Oct - Dec | ||||||||
2019 | 2019 | 2019 | 2019 | 2019 | 2019 | ||||||||
ROM | - | - | - | - | - | - | |||||||
Production | |||||||||||||
Saleable | - | - | - | - | - | - | |||||||
Production | |||||||||||||
Sales | 38,100* | - | - | - | 38,100 | - | |||||||
*approximately 19,700 tonnes were sourced from third parties.
Russell Vale Colliery
The Russell Vale Colliery remains on Care and Maintenance. The application process to restart mining activity progressed in the quarter. Formal submissions were submitted to the Department of Planning, Industry and Environment for Part A in October 2019. Additional studies around water modelling was requested in early December by DPIE and will be submitted in late January 2020. Work has continued to address the surface and underground mine assets in preparation for the restart work program, which will commence following government approvals.
Wongawilli Colliery
The mine remains on Care and Maintenance. The mine portals to the old mine workings have been secured against entry and the mechanical ventilation and power removed from the workings decommissioning these workings. Sealing of old sections of the mine will commence in the first quarter of 2020. Two portal seals are targeted for completion in the next Quarter. Round the clock security is in place at the eastern mine pit head facility.
Surface clean up and environmental compliance works are continuing at the pit head site. Power has been isolated from the catchment facilities. The redundant substation at the No 4 Shaft facility will be removed in the first quarter on 2020.
Work is progressing on the evaluation and development program, to continue mining operations in the future utilising the North West Mine entries. The North West Mine entries and preliminary development drivages are covered under the existing mine approval. Additional work is planned to get the current approval timeframe extended until 2025 - this will start in January 2020.
WCL Quarterly Report | Wollongong Coal Limited |
October - December 2019 | ABN 28 111 244 896 |
Page 3 | 7 Princess Highway, Corrimal, NSW, 2518 |
Quarterly Report
October - December 2019
Health, Safety, Environment & Community
Health & Safety
Russell Vale Colliery
- There were two notifiable incidents in the quarter, where a fitter strained his back and a deputy fell aggravating an old injury.
Wongawilli Colliery
- There were no notifiable incidents in the quarter.
Both mines have reviewed and updated their Health and Safety Management Plans following the changes at each operation.
Site Security
Russell Vale Colliery
Additional work continued with National Parks Authority and Wollongong Council on nature trails and bush bike trials leading to our property which is an active mining lease. Signage, fencing and gates have been reviewed.
Wongawilli Colliery
Ongoing incidents with trespassers, theft and children at holiday periods has increased our security measures and coverage at Wongawilli. Police have been notified of several incidents.
We have moved from the site all spare items and equipment that is not used to keep the mine in a care and maintenance state.
WCL Quarterly Report | Wollongong Coal Limited |
October - December 2019 | ABN 28 111 244 896 |
Page 4 | 7 Princess Highway, Corrimal, NSW, 2518 |
Quarterly Report
October - December 2019
Environment & Community
Community Complaints
Environmental Incidents
WCL Quarterly Report | Wollongong Coal Limited |
October - December 2019 | ABN 28 111 244 896 |
Page 5 | 7 Princess Highway, Corrimal, NSW, 2518 |
Quarterly Report
October - December 2019
Group Energy and Potable Water Usage
Wollongong Coal Limited
Group Diesel Useage (Litres)
100,000
80,000
60,000
40,000
20,000
-
Q3 2018 | Q4 2018 | Q1 2019 | Q2 2019 | Q3 2019 | Q4 2019 | ||
Russell Vale | Wongawilli | ||||||
Wollongong Coal Limited
Group Electricity Useage (kWh)
8,000,000
6,000,000
4,000,000
2,000,000
-
Q1 2018 | Q2 2018 | Q1 2019 | Q2 2019 | Q3 2019 | Q4 2019 | ||
Russell Vale | Wongawilli | ||||||
Wollongong Coal Limited
Group Potable Water Useage (KL)
15,000
10,000 | ||||||||||||||||||||||
5,000 | ||||||||||||||||||||||
- | ||||||||||||||||||||||
Q3 2018 | Q4 2018 | Q1 2019 | Q2 2019 | Q3 2019 | ||||||||||||||||||
Russell Vale | Wongawilli | |||||||||||||||||||||
WCL Quarterly Report | Wollongong Coal Limited | |||||||||||||||||||||
October - December 2019 | ABN 28 111 244 896 | |||||||||||||||||||||
Page 6 | 7 Princess Highway, Corrimal, NSW, 2518 |
Quarterly Report
October - December 2019
Group Waste Disposal and Recycling
Wollongong Coal Limited | |
Group General Waste Disposal (m3) | |
180 | |
160 | |
140 | |
120 | |
100 | |
80 | |
60 | |
40 | |
20 | |
- | |
Russell Vale | Wongawilli |
Wollongong Coal Limited | |
Group Recycable Waste (m3) | |
12 | |
10 | |
8 | |
6 | |
4 | |
2 | |
- | |
Russell Vale | Wongawilli |
Russell Vale Colliery
The Community Consultative Committee (CCC) meetings was held during the Quarter on 18 November 2019.
The Independent Compliance Audit was undertaken during the Quarter and the audit report is expected during Quarter 1 2020.
WCL Quarterly Report | Wollongong Coal Limited |
October - December 2019 | ABN 28 111 244 896 |
Page 7 | 7 Princess Highway, Corrimal, NSW, 2518 |
Quarterly Report
October - December 2019
The Mod 4 application to the project approval regarding Bellambi Gully Creek stormwater works is being finalised with more detail plans. This will be submitted in early 2020 for assessment by Planning, Industry and Environment (DPIE).
The Underground Expansion Project (UEP) for a 5 year extension for mining the Wonga East area, using first workings place change mining methods, is going through the Response to Submission stage, with the company providing detailed response to government and community submissions.
The Russell Vale Reject Emplacement Area (RVREA) Implementation Plan and Stormwater Management Plan was submitted to Wollongong Council and DPIE. Rehabilitation works are proposed to commence during March 2020.
Wongawilli Colliery
There were no reportable environmental incidents in the last quarter.
The CCC meeting was held during the Quarter on 4 December 2019.
The Independent Compliance Audit was undertaken during the Quarter and the audit report is expected during first Quarter 1 2020.
Environmental C&M works continued during the Quarter including site clean- up, scrap metal removal, weed management and erosion and sediment control works.
Management of contaminated soil from the Nebo and Wonga shaft incident is continuing with soil samples showing positive results indicating that the soil remediation methodology is working effectively.
Proposed Modification 2 to extent the time limitation on the NW Mains development for a further 5 years is ongoing, with scopes of works provided to consultants as part of a competitive tender process.
Exploration Operations
No exploration activities were undertaken during the reporting period at Russell Vale Colliery or Wongawilli Colliery
WCL Quarterly Report | Wollongong Coal Limited |
October - December 2019 | ABN 28 111 244 896 |
Page 8 | 7 Princess Highway, Corrimal, NSW, 2518 |
Quarterly Report
October - December 2019
Corporate & Financial
Cash Advances Facility Agreement
The Company has a drawdown facility for cash advances (Facility) for $350 million from Jindal Steel and Power (Mauritius) Limited (JSPML) and to date $383.38 million has been drawn. The Facility Limit has been increased to $400 million and extended up to 31 December 2020.
In addition, the Company has around $38.9 million from Jindal Steel and Power (Australia) Pty Ltd, wholly owned subsidiary of JSPML as a short-term loan.
Restructuring of Certain Secured Debts
WCL and other group companies have executed a Restructuring Support Agreement (RSA) with a group of lenders on 11-Nov-19. Under the RSA, the lenders have agreed to a standstill under the Facilities pending negotiation of final binding documentation for a restructuring.
The Company has filed a secured creditor's scheme of arrangement with the Australian Securities and Investment Commission ("ASIC") on 5th December 2019 and the first hearing in Supreme Court of New South Wales has happened on 20th December 2019.
As per the court order, the next steps are as follows:
- Scheme Creditor meeting to be held on 30th January 2020; and
- Second Court hearing on Tuesday 11 February 2020.
US $25 million facility (MCB Facility)
US $25 million facility with an outstanding loan amount of US $10.42 million up to 31 Dec 2019 was extended up to 20 Jan 2020 and it has been paid in full.
WCL Quarterly Report | Wollongong Coal Limited |
October - December 2019 | ABN 28 111 244 896 |
Page 9 | 7 Princess Highway, Corrimal, NSW, 2518 |
Quarterly Report
October - December 2019
Investigations from the Resources Regulators Concluded
The Department of Planning and Environment's Resources Regulator has confirmed that they have concluded their investigation that was commenced into whether Wollongong Coal Ltd has complied with its duties under the Work Health and Safety Act 2011 at Wongawilli Colliery.
Capital Structure as on 31 December 2019
Shares on issue | 9,366,977,256 |
Unlisted options | 480,000 |
Board of Directors
Mr Milind K Oza - | Executive Chairman |
Dr Andrew Firek - | Non-executive director |
Mr Sanjay K Srivastava - | Non-executive director |
Mr Dipen Rughani - | Non-executive director |
For Further information
Contact: | Mr Sanjay Sharma, Company Secretary |
Phone: | +61 (2) 4223 6830 |
Fax: | + 61 (2) 4283 7449 |
Business Address
7 Princes Highway (Corner Bellambi Lane)
Corrimal, NSW 2518
WCL Quarterly Report | Wollongong Coal Limited |
October - December 2019 | ABN 28 111 244 896 |
Page 10 | 7 Princess Highway, Corrimal, NSW, 2518 |
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Disclaimer
Wollongong Coal Limited published this content on 29 January 2020 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 29 January 2020 05:44:04 UTC
