We play a critical role in building a sustainable future
We believe that we have a critical role to play in building a sustainable future as the global demand for met coal continues to grow to support the world’s transition to renewable energy infrastructure.
Coronado is a leading metallurgical coal producer and trusted supplier to the global steel industry. Metallurgical coal is an essential ingredient in the production of steel, which is the most utilised metal in the world and an essential material underpinning social and economic growth. Steel’s strength and durability make it critical in the construction of major infrastructure projects (including renewable energy infrastructure), transportation technology, electrical equipment, and everyday household goods such as appliances.
As the world’s population continues to grow and urbanise, steelmakers and their suppliers will play a vital role in providing quality products that support a wide variety of uses well into the future. When iron is combined with carbon, recycled steel, and other elements, it is transformed into a much stronger material called steel which can be 1,000 times stronger than iron.
Steel is used in almost every aspect of the world’s infrastructure, including buildings, bridges, rail systems and houses, as well as in motor vehicles and everyday white goods. It is also essential to electric vehicles and wind turbines and is a critical component of other low-carbon technologies such as hydro, solar and nuclear energy. Met coal is therefore recognised as an essential building block in the world’s transition to renewable energy and a low-carbon economy.
Total global steel production is forecast to grow by 15% to 2.2 billion metric tonnes by 2050. While electric arc furnace (EAF) technologies and other steel production methods will continue to grow over time, the overwhelming production method for steel in 2050 will still come from blast furnace production, primarily in Asia.
Australian and U.S. met coals are generally of a higher quality (more efficient, less carbon intensive), therefore supporting lower emissions from steel production than the most of coal sourced from other locations around the globe.
Coronado is extremely well positioned to meet this growing demand, with reserves in the top met coal locations in the world, long-life operating assets in excess of 20 years and met coal resources exceeding 2 billion metric tonnes. This strong reserve and resource base, and the fact that Coronado sold 12.0Mt of met coal in 2023 (which accounted for 91.4% of its revenue), underpins our position as the premier pure play met coal business on the ASX.
Steel production is forecast to grow by 15% by 2050
Curragh’s CHPP incorporates cutting-edge technology to improve productivity and yield
We are currently investing in expansion works at our Buchanan mine complex
Steel is a core component of renewable energy solutions such as solar and wind farms, electric vehicles and other low-carbon technologies. It is also 100 percent recyclable, making it a uniquely sustainable material.
The uses of steel span almost every aspect of the world’s infrastructure:
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Exploration
Exploration represents the commencement of the mining process. Exploration activities include surveys, drilling, permits, mine technical analysis and planning, legal and financial consultation. The exploration process reflects a company’s first economic investment to a project and neighbouring community. Coronado maintains a metallurgical coal resource base in excess of 2 billion tonnes (JORC Code). Coronado’s Mon Valley project is currently in this stage of the mine lifecycle.
Design
Mine planning and analysis, site design, mining methods and infrastructure requirements are assessed. The outcome of these assessments will determine the infrastructure required at a specific mine site to allow commencement of operations, ultimately contributing to employment and the economy. All safety and environmental factors are considered and permitted before the next phase.
Construction
Construction is a significant undertaking which, dependent on the project, can involve significant financial investment and provide employment and contributions to local and international communities for decades. Construction is a continuous process through the mine lifecycle. Coronado is embarking on growth projects at its Buchanan and Curragh mines to achieve incremental tonnage levels.
Production
The production phase will provide metallurgical coal to customers used in the manufacturing of steel. In 2023, Coronado sold 15.8 million tonnes to customers with 91.4% of all revenues generated from metallurgical coal sales. The remaining 8.6% was from thermal sales used by powerplants for electricity generation in Australia and export markets. Coronado has a reserve and resource base for metallurgical coal production in excess of 20 years in Australia and the U.S.
Rehabilitation
Rehabilitation is a key component of the mine life cycle. Coronado recognises the value of successful rehabilitation to its local environment and the surrounding communities. In 2023, Coronado recognised Asset Retirement Obligations (ARO) of US$163.9 million for future mine life closures and rehabilitation efforts. Coronado progressively rehabilitates disturbed areas as mining progresses and is compliant with legislative requirements in both Australia and the U.S.