A mothballed fossil fuel development has enough funds to restart production.
Australian Pacific Coal (AQC) recently confirmed it can fully reopen its Dartbrook Coal Project, 122km northwest of Newcastle.
Vitol Asia has approved AQC’s application for a three year, US$60 million (A$90.7M) debt facility.
“This facility will allow us to complete all remediation and refurbishment works and acquire the critical equipment necessary to restart mining operations and ramp-up to full capacity,” AQC’s interim CEO Ayten Saridas said in a public statement.
Work is expected to begin sometime before 31 March 2024.
“We anticipate an intensive capital works program leading up to first coal, targeted in quarter one of 2024,” Saridas said.
The operation has been under care and maintenance since 2006, following multiple workplace accidents and low commodity prices. The Coal Handling Processing Plant will be recommissioned and ventilation circuit reestablished. This is promised to help reinforce the roof and ribs.
AQC previously struck a deal with resources mogul Nathan Tinkler, M Resources, Evolution Capital, and a JV between Tetra Resources and Javelin Private Capital Group.