Collaborative LW Relocation Planning

Use of Hazard Maps and Monitoring Tools

Steve Wilson

Project Manager

NGC LTCC

17 October 2012

Backgound

● 2005 – Peabody AU acquisitions; Metropolitan, North Wambo, North

Goonyella

– Added to existing Longwall US LW at Twentymile

– Twentymile

– Metropolitan

– North Wambo

– North Goonyella

2

Twentymile

● High volume / low margin operation

● Steaming coal majority direct to local power plants, lately more

going to export as gas fired power generation expands

● 1000’ (300m) DBT BiDi 3500tph operation, 10’ face generally stable

but problems with TG pillar sizes under variable DOC

● Complex systems in MG, wide entry with 4 monorails (1 general

services OWS, 1 x Pumps WS, 2 x Scissorveyor in centre)

● Highly flexible workforce V inflexible MSHA restrictions

● Geology has interrupted mine plan, driving sub-mains and shorter

blocks now Development constrained

● Moving to new Sage Ck site within 3yrs – cross grades at 15%

3

Metropolitan

● Oldest coal mine in AU

● High quality Met product

● Surface constrained – under Water Catchment area, National Parks

downstream of wash plan / stockpile

● Outbye Coal clearance constrained – 600tph drift and outbye

system (upgrade to 1000tph Easter 2013)

● 150m face width , 3.2m full seam extraction section at LW 22A

● 18 y.o.Westfalia 2 x 750t shields, single 450kW AFC drive 1000tph,

1200mm gate belt

4

Metropolitan continued

● $250m Upgrade Project underway

– New Joy LW at Minibuild – installing for LW23 but major

challenges to get it down the old drift

– Looking at feasibility of a diesel powered rack and pinion

dolly car to replace old DC winder

– Power upgrade 6.6 – 11kV – Surface works completed

– New Drift on ice at 500m / 3000m

– Coal Prep plant upgrade - continuing

– Backfill ‘paste’ plant pilot plant positive progress

5

North Wambo

● Top AU producers forecasting 5.0mt 2012

● Box cut entry operation – easy access

● Constrained by proximity to Open cut ops blasting

● Part 4 approvals Sth Bates / Sth Wambo leases approved to 2031 –

pending Peabody capital approvals

● Joy RS20 250m 2 x 1050t face

● Best Automation uptake of any Peabody op – using full BiDi ops with

both TG and MG Gate End automation – LASC running

● Challenges - Spon Com and CH4, Overlying flooded goaves and

remnant pillars, seam splits and converges, high variability in

immediate roof strata, old United goaf areas 90-120m below

6

North Goonyella

● Chequered history, many owners, Peabody establishing credibility on site as being ‘in the for the long run’

● Much improved ‘IR-scape’ – current EBA voted up this year with approx 80% majority after previous agreement negotiations degenerated into 2010 ‘lock-out’

● Currently extracting LW 7N with 300m Joy face, taking bottom 4.2m of 6.0m seam – shearer automation increased uptake by crews

● Improving consistency currently averaging >300kT months

● Challenges are CH4 and Spon Comb, soft friable coal with many small unknown faults, TG CH4 limits DV access for secondary support – trialling pumpable cribs

● Managing transition to Top Coal Caving on LW8 via 3 block lease deal with Yancoal Aust – start date Sept 2013

7

Collaborative LW Relocation Planning

● Process instigated in 2008 by George Schuller

● 3 months prior to scheduled bolt up date ‘home team’ presents detailed plans against a standard format

● Ongoing commitment from corporate management levels

– time away from day to day ops for a cross section of LW ops teams

– travel and accommodation costs

● First challenge was to establish agreed benchmarking, especially between US and Australian ops

● Project Management Training undertaken during 2009, established a standard Peabody LW Move MS Project template

8

Longwall Changeout Duration Benchmarking Definitions

Run Down Phase:

The time beginning when the normal production / maintenance schedule is

first interrupted for any longwall move activity and ending when the

Recovery Mesh is pulled onto the longwall face.

Bolting Phase:

The time beginning when the Recovery Mesh is pulled onto the face and

ends when the AFC chain is broken for recovery.

Recovery Phase:

The time beginning when the AFC chain is broken and ends when the final

shield, including buttress, is recovered from the old face.

Final Installation & Commissioning:

The time beginning when the final shield is recovered from the old face

and ends when the commissioning sheets are signed and the longwall

completes the first full normal cutting cycle with full AFC and shield

advance.

Longwall Changeout Duration Benchmarking Definitions continued

Ramp Up Phase:

The time that begins when the longwall completes the first full normal cutting

cycle with full AFC and shield advance and ends at the completion of the first

week, or part thereof, when the longwall exceeds 90% of the average weekly

production for the previous panel.

Longwall Development Float:

Calculated in days as the difference between (a) and (b) as follows:

a) The date that the development panel holes out plus seven (7) days to

demob the panel

b) The date the longwall starts the Recovery Phase (AFC chain break)

Longwall Move Time:

The total time beginning when the AFC chain is broken and ending when the

longwall completes the first full normal cutting cycle with full AFC and shield

advance.

Standard Format for LW C/O Planning Presentations

•Safety

•Project Schedule

•Longwall Move Organizational

Structure

•Contractors & Contracts

•Equipment Requirements

•Rebuilds & Repairs

•Compatibility

•Roadwork

•Storage Areas

•Workshops

•Ventilation

•Water Handling

•Communication & Reporting

•Bolting Cycle

•Recovery Process

•Setup Process

•Startup & Commissioning

•Procurement & Warehousing

•Other Issues & Projects

•Longwall Float Reporting

•Longwall Move Plan – Timing

& Review

•Longwall Move Reports &

Record Keeping

•Longwall Move – Post Move

Review

•Audits

Benefits

Many Shared Innovations

e.g. – ‘Winchless’ Installation of Recovery Mesh

Benefits continued

● Positive Networks established between sites’ LW Ops and

Engineering teams

– Initial defensiveness now gone due to consistency of process, more day to day

interactions

● Breakdown of Paradigms

– realisation that there are often many ways to ‘skin that cat’ and that your

way was possibly NOT the best way after all….

● Understanding of Others’ Limitations

– The flipside being an increased appreciation for the positives of your

operation

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WAR STORY2008 METROPOLITAN FACE FALL

•60m LONG

•TIP TO LIP OVER 3m

•HEIGHT TO 5m ABOVE CANOPIES

•AFC CHAIN JAMMED

CAVITY FILLED FOR SAFETY PRIOR TO DRILLING PUR HOLES

6 x AIR CONVEYORS ‘PIGGY-BACKED’ TO STOW STONE INTO T/G

UNLOAD AFC BY HAND – STOW ONTO TEMPORARY DECKS AND FILL REAR OF SHIELDS

SECONDARY

FALLS OF

OVERLYING

SANDSTONE

AFTER INITIAL

PRODUCTION

RESTART

‘POINT AND SHOOT AND P.O.Q.’

FURTHER ROUNDS OF CAVITY FILL AND P.U.R.

•3 ½ WEEKS

LOST REVENUE

•> $1 million

REMEDIATION

COSTS

Use of Hazard Mapping and Monitoring Tools

● Use of LW Hazard Maps is now universal across

Peabody’s Australian Ops

– Plans are developed using surface-seam holes, in-

seam drainage and structure holes, immediate roof

coring to 6-8m horizons at max 200m spacings, block

perimeter geological mapping, previous LW block

extraction experience and verification

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Use of Hazard Mapping - Examples

Use of Hazard Mapping - Examples

Use of Hazard Mapping - Examples

Use of Hazard Mapping - Examples

Use of Hazard Mapping - Examples

Monitoring Tools - LVA

● All AU sites now using 3rd party ‘LVA’ leg pressure monitoring

software – coming soon to Twentymile

– Great tool but ‘early days yet’ in terms of each sites’ validation

processes

– Moving to bring screen displays into Crew Muster areas

– Standardising pressure colour keys across sites so that we are

seeing the same low pressure / system pressure / hiset pressure

/ yield pressure scenarios

– Also moving to standardise colour keys for Rate of Pressure

Increase

– LTCC face at NGC will also plot pressure profile on rear caving

doors

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Monitoring Tools – LVA examples

Monitoring Tools – LVA examples

Hazard Plan / LVA Overlay

Hazard Plan / LVA Overlay