Dysart project to continue

Indonesian coal miner banks on a Bowen Basin recovery

Indonesian miner Ithaca Resources has reached a deal with the administrators of Brisbane-based Vitrinite to purchase the Vulcan South coal project and some other assets for a reported $200 million.

Vulcan is a small-scale open-cut project near Dysart with a production target of just under 2 million tonnes of coking coal a year and a three-year life.

Vitrinite entered into administration earlier this year owing creditors around $400 million, including $177 million to the Singaporean commodities trading house Trafigura, $16 million to employees, and $2.2 million to the Isaac Regional Council for unpaid haulage fees.

Ithaca Resources primarily focuses on coal mining and owns and operates multiple mines in East Kalimantan. The purchase represents their first coal investment out of Indonesia.