Kestrel is a proven world class underground mine located 40km north-east of Emerald in central Queensland that produces high quality hard coking coal for export markets. In 2017, the mine sold 5.1Mt, comprising 4.3Mt of hard coking coal and 0.8Mt of thermal coal. Royalty payments to the state have been A$30m in FY15, A$60m in 2016, ~A$86m in FY17 respectively.
Coal has been mined at Kestrel via underground longwall and continuous miner methods since 1992. The Kestrel South underground commenced production in 2013 following the completion of approximately US$2B development. The mine is currently producing from the 400 series domain using a 415m wide longwall supported by continuous miner sections. Kestrel is a low cost long life mine with high quality infrastructure and equipment.
Kestrel produces a low ash, low phosphorus and high fluidity coking coal which is sought after by steel producers for their coke blends. Kestrel has delivered strong cashflows in recent years, demonstrated by a significant increase in EBITDA and EBITDA margin during the 2016-2017 period. The Kestrel mine is a profitable and sustainable mining operation and Kestrel Coal Resources is intent on developing plans to expand the business and deliver improve performance.