Australian Coal Production

On Tuesday, November 4^th, we studied coal mining operations in the Hunter Valley.  To start out the day, we went to an open mine called Rio Tinto with our hostel director Nigel.   Nigel has spent a lot of time in the mining industry, so he was very insightful.  We stood on a look-out which gave us a view of the whole operation.  He explained how the process worked and also emphasized the importance of coal in the Australian economy.  Nigel told us that most of the coal mined in Australia is sent out to Asian countries, especially China.  Since the coal needs to travel a great distance to get to Asia, there needs to be an effective way to do it. 

When we visited Port Waratah Coal Services, Brian McMahon showed us how they transport the coal from the mine to the consumer.  The PWCS operates 2 coal terminals, which are both located at the Port of Newcastle.  According to the handout we received from Brian, “demand for coal through the Port of Newcastle has grown by more than 32% over the past decade.”  This shows the increasing demand is helping Australia’s part in the global economy.

We also visited the Macquarie Generation Power Station to find out how they convert coal into electrical power.  Our tour guide at the power plant told us that they burn nearly 300 tons of coal each hour.  Some of this power is used to power the city of Sydney, which requires the equivalent of nearly half a million tons of coal per day. 

Australia is the world’s biggest exporter of coal, but with climate changes their mines may be at risk.  Increased flooding makes mining extremely difficult, because they are unable to efficiently operate in a wet environment.  Also, there are increasing protests against the mining industry.  According to Kathy Mark’s article, Australian town confronts hidden costs of mining boom, many residents who live near mines have many environmental and health concerns.  Because of their increasing apprehension, mining may be downsized or forced to develop a cleaner way of doing it.  That is the one struggle right now for governments, production companies, and local residents.  Until all conflicts can be resolved, the mining industry may not be fully efficient.