Australian Pacific Coal (AQC) has announced a finance increase for its Dartbrook coal project in the Hunter Valley region of New South Wales, alongside key operational updates as the site moves closer to full production.
The company has amended its senior secured facility with Vitol Asia, increasing the commitment from $US90 million ($143 million) to $US104 million ($165 million) to support the Dartbrook joint venture’s working capital needs.
AQC has also secured a $5 million unsecured loan from Trepang Services, which it will on-lend to the Dartbrook joint venture.
“The untimely softer coal price environment, coinciding with the resumption of the Dartbrook underground mine, has necessitated a top-up to existing finance facilities to provide additional working capital,” Australian Pacific Coal executive director John Robinson said.
“The continued strong support from Vitol and Trepang is testament to the quality and potential of the Dartbrook asset, delivery of project milestones, and disciplined stewardship by the Dartbrook joint venture partners.”
The company also stated that the wash plant refurbishment program is in its final stages, with commissioning and testing now underway. The project remains ahead of schedule and within budget.
“Pleasingly, the Dartbrook joint venture has commenced its recommissioning and testing of the wash plant, which will enable the project to produce its targeted high-quality coal product,” Robinson said.
AQC anticipates washed coal to be available for train loading during April, subject to successful commissioning.
In December, AQC saw coal travel from Dartbrook, marking the operation’s first commercial coal sales.
AQC executive chairman John Robinson welcomed the milestone, describing it as a pivotal moment in the company’s growth.
“The first sale of commercial quantities of coal from Dartbrook is the most significant milestone successfully achieved by AQC,” Robinson said.
“With commercial production underway, we now turn our attention to refurbishing the wash plant in early 2025.”
The International Energy Agency reports global coal demand is projected to remain at 8.7 billion tonnes per year through to at least 2027.