Anglo American has suspended production at its Grosvenor steelmaking coal mine in Queensland, Australia, following an underground coal gas ignition incident that occurred on June 29, 2024.
Resources Safety and Health Queensland (RSHQ) coal inspectors are currently on site, assisting with efforts to safely seal the facility.
The incident prompted the immediate evacuation of all personnel from the underground mine, with no injuries reported.
Anglo American’s mine team is now collaborating with specialist teams from the Queensland Mines Rescue Service and regulatory authorities to extinguish the underground fire and prepare for a safe re-entry into the mine.
RSHQ’s Serious Incident Investigation Unit (SIIU) has not been deployed to the location due to the evolving nature of the situation but remains on standby to aid in future investigative efforts if required.
The suspension of operations at Grosvenor is expected to last several months due to the likely extent of underground damage.
This delay could potentially impact Anglo American’s plans to sell its metallurgical coal mines in Australia, which are part of a broader restructuring strategy announced by the company.
Prior to the incident, Anglo American‘s steelmaking coal business was projected to produce approximately 8 million tonnes of product in the first half of 2024, with Grosvenor contributing around 2.3 million tonnes.
For the full year 2024, the production guidance was set at 15 to 17 million tonnes, with Grosvenor expected to contribute about 3.5 million tonnes.
The company has stated that an update to steelmaking coal production guidance will be provided once more information becomes available.
This incident not only affects Anglo American’s production targets but could also have implications for the global metallurgical coal market, potentially tightening supply.
As this is an ongoing situation, RSHQ has stated that they will not be providing additional information or granting interviews at this time.
The presence of RSHQ coal inspectors and the potential future involvement of the SIIU underscore the seriousness with which safety incidents in the mining industry are treated in Queensland.