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SOUTH32 LIMITED - Illawarra Metallurgical Coal production update

Release Date: 31/10/2016 10:30
Code(s): S32     PDF:  
Wrap Text
Illawarra Metallurgical Coal production update

South32 Limited
(Incorporated in Australia under the Corporations Act 2001 (Cth))
(ACN 093 732 597)
ASX / LSE / JSE Share Code: S32
ISIN: AU000000S320
south32.net




                   ILLAWARRA METALLURGICAL COAL PRODUCTION UPDATE

South32 Limited (ASX, JSE, LSE: S32) (South32) announces that production at its Illawarra
Metallurgical Coal operation will be affected by the temporary suspension of its Appin Area 9
longwall and lower rates of production at the Appin Area 7 longwall. A saleable production loss of
approximately 500kt is currently anticipated and will translate directly to sales given low inventory
levels.

The Appin mine received a prohibition notice from the New South Wales Department of Industry,
Resources and Energy on 26 October 2016, having reported elevated gas concentrations at
Appin Area 7. Longwalls 7 and 9 were subsequently suspended to enable an investigation to be
completed. The elevated gas concentrations resulted from the failure of a ventilation fan which
was promptly rectified.

Having restarted the longwall at Area 9, it became apparent that the outage exacerbated
challenging ground conditions and production has now been suspended to complete remedial
work. These works are expected to be completed within four weeks and this outage accounts for
the majority of lost production. In addition, the Appin Area 7 longwall will run at a reduced rate
before ramping up to full capacity once the necessary tests confirm that we can maintain
methane gas concentrations at a safe level.

About South32

South32 is a globally diversified mining and metals company with high quality operations in
Australia, Southern Africa and South America. Our purpose is to make a difference by
developing natural resources, improving people’s lives now and for generations to come. We are
trusted by our owners and partners to realise the potential of their resources. We have a simple
strategy to maximise the potential of our assets and shareholder returns by optimising our
existing operations, unlocking their potential and identifying new opportunities to compete for
capital.


FURTHER INFORMATION


INVESTOR RELATIONS

Alex Volante                                         Rob Ward
T +61 8 9324 9029                                    T +61 8 9324 9340
M +61 403 328 408                                    M +61 431 596 831
E Alex.Volante@south32.net                           E Robert.Ward@south32.net




Registered Office: Level 35, 108 St Georges Terrace, Perth Western Australia 6000, Australia
ABN 84 093 732 597 Registered in Australia
MEDIA RELATIONS

Diana Wearing Smith                   James Clothier
T +61 8 9324 9198                     T +61 8 9324 9697
M +61 436 482 290                     M +61 413 319 031
E Diana.Smith@south32.net             E James.Clothier@south32.net


Further information on South32 can be found at www.south32.net.

JSE Sponsor: UBS South Africa (Pty) Ltd
31 October 2016

Date: 31/10/2016 10:30:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). 
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