View all newsletters
Receive our newsletter – data, insights and analysis delivered to you
  1. News
November 12, 2021

Bowen obtains funding to restart Bluff coal mine in Australia

Slated to start production in Q1 2022, the Bluff Mine is estimated to host a 13.5Mt JORC Resource of ultra-low volatile PCI coal.

Australian firm Bowen Coking Coal has closed an $8m (A$11m) placement and received a $10.9m (A$15m) debt facility from a private credit institution to enable the restart of Queensland’s Bluff Mine.

The coal exploration company signed a deal last month to acquire the Bluff pulverised coal injection (PCI) mine from mining contractor MACA for A$5m.

Although the mine started coal production in the first quarter of 2019, it was placed on care and maintenance in December 2020 due to low coal prices.

Petra Capital handled Bowen’s equity raising and served as the sole lead manager and bookrunner.

Bowen Coking Coal has awarded a contract to CMC Group, in partnership with Comiskey Mining Services, to prepare the Bluff Mine for production that is scheduled in the first quarter of 2022.

Off‐site work has started, with mobilisation to site scheduled by the end of the year.

The Bluff Mine is estimated to host a 13.5Mt JORC Resource of ultra-low volatile PCI (ULVPCI) coal.

It is projected to have a 1Mtpa-1.2Mtpa run of mine over four to six years.

Bowen managing director Gerhard Redelinghuys said the acquisition and funding of the mine mark key milestones in its journey to becoming the next metallurgical coal producer in Australia.

Redelinghuys said: “We look forward to recommissioning and operating the mine in a safe and responsible way to deliver high-quality ULVPCI coal to our customers in the steel industry.

“Furthermore, we are delighted with the strong reception we received from the market for our inaugural debt facility and capital raising, which positions Bowen well as it transitions from coal explorer to multi-mine coking coal producer.”

Bowen is also planning to start mining work at the Broadmeadow East Project. This is subject to environmental approval that is anticipated by the end of this year.

Related Companies

Free Report

What’s missing from your IPO industry assessment?

IPO activity all but stopped in 2020, as the investment community grew wary of the effects of COVID-19 on economies. No matter how deserving a business was of flotation, momentum was halted by concerns of when a ‘new normal’ of working patterns and trade would set in. Recently, sentiment has changed. Flotations picked up again during the second half of 2021, and now in 2022 the mood is decidedly optimistic. Business leaders have their eyes on fast rebounding economies, buoyant market indices and the opportunity once again to take their businesses public. As a result, global IPOs are expected to hit back this year. With GlobalData’s new whitepaper, ‘IPOs in Consumer and Retail: 5 must-include elements for your prospectus industry report’, you can explore exactly what is needed in the essential literature. GlobalData’s focus lies in the critical areas to get right:
  • Macroeconomic and demographic environment
  • Consumer context
  • Industry environment
  • Competitive environment
  • Route to market
Interested to learn more about what to include in your IPO Industry Assessment report? Download our free whitepaper.
by GlobalData
Enter your details here to receive your free Report.

NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. The top stories of the day delivered to you every weekday. A weekly roundup of the latest news and analysis, sent every Friday. The mining industry's most comprehensive news and information delivered every month. The mining industry's most comprehensive news and information delivered every month.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy