The joint venture also provides BHP Mitsui Coal with a 50% ownership position in the Millennium preparation facility and associated infrastructure assets. Peabody stated that the reserves contribute to its position of more than 9 billion tons.
Peabody said that the Millennium preparation facility is a three-stage coal handling and preparation plant capable of annually processing 6 million tons of coal split equally between Peabody and BHP Mitsui. It will reportedly serve both Peabody’s Millennium mine and BHP Mitsui’s Poitrel mine.
The Millennium mine began ramping up in 2007 and is claimed to be on track to produce 3 million tons by 2010. It is among three new greenfield mines Peabody has completed in Queensland and New South Wales states of Australia in 2007.
Peabody said that it is increasing its commercial presence to serve high-growth Asian markets through its Australian business platform and expanded coal trading, marketing and business partnerships.
