Bathurst reaches collaborative agreement with Solid Energy NZ

THE BOURSE WHISPERER: ASX and New Zealand Exchange-listed Australian coal mining company Bathurst Resources has come to a collaborative agreement with Solid Energy New Zealand Limited.

The agreement has been struck through Bathurst’s wholly owned subsidiary company Buller Coal Limited.

Buller Coal and Solid Energy will collaborate as each business seeks to develop their respective export coal resources on the Denniston Plateau.

Buller Coal is currently establishing its Escarpment mine project on the Denniston Plateau.
 
 “This is a landmark Agreement for both companies as it will ensure efficient use of resources, including water, and also avoid unnecessary duplication of assets on the Plateau,” Bathurst Resources chief executive officer Hamish Bohannan said in the company’s ASX announcement.

 “The Agreement demonstrates both companies commitment to ensuring that mining on the Plateau is carried out in a sustainable manner with as minimal environmental impact as possible.

“Our two companies will continue to work together to ensure coal mining, processing and transporting off the Plateau is done in the most efficient and optimal manner.”

The agreement provides for:-

– Collaborative mine planning and designs on the Plateau where the two companies have common boundaries;

– Coal transport agreement for up to 500,000 metric tonnes, or 25% of BCL’s expected coal production via rail through to the Port of Lyttelton;

– Both parties working together to identify and implement arrangements to enable each to have sufficient water available for their respective coal mining operations on the Denniston Plateau;

– Solid Energy granting BCL the right to locate some of its facilities inside areas covered by Solid Energy’s coal mining licences on the Denniston Plateau; and

– Solid Energy having access to BCL’s infrastructure, on appropriate commercial terms, to avoid unnecessary duplication of processing & coal transportation facilities.