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Anglo American’s Grosvenor project delivers its first coal

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World Coal,

Anglo American has announced the commissioning of its Grosvenor metallurgical coal longwall operation in the Bowen Basin of Queensland, Australia.

The Grosvenor project, which was approved for development at the end of 2011, has delivered its first coal from its underground longwall seven months ahead of schedule and more than US$100 million below budget.

Anglo American expects Grosvenor to produce 3.2 million saleable t in 2016. At full capacity, the Grosvenor longwall is capable of producing 7.5 million saleable tpy. When fully ramped up, Grosvenor is expected to operate at an all in sustaining unit cost of AUS$110/t (approximately US$82/t at the current exchange rate).

Seamus French, CEO of Bulk Commodities for Anglo American, said: "We have delivered the Grosvenor metallurgical coal project ahead of schedule and below budget, with an outstanding safety record and in line with our environmental obligations. The Grosvenor mine project has taken more than seven million man hours to construct, with almost 6000 personnel inducted onto the project.

French continued: "We began the installation of the longwall just 24 days before its first shear and production of coal – a truly remarkable feat and a result of the team's technical expertise and the modular approach we have taken to our underground longwall operations in Australia. We look forward to shipping the mine's high-quality product to our steel customers across Asiaas production begins to ramp up in the months ahead. While Grosvenor may not fit Anglo American's strategic portfolio choices, its long-term commercial attractiveness is beyond question."

Edited from press release by Harleigh Hobbs

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