The contract also includes purchase of a new 183mt face longwall coal clearance system to upgrade existing NRE Wongawilli mine longwall system in 2013. The contract is estimated for a total value of $90m approximately.
Under the contract, Joy will supply and upgrade the longwall systems and also be responsible as a turnkey responsibility for NRE mine and will be managing and coordinating for NRE Wongawilli upgrade.
The NRE mine longwall is scheduled for delivery and commissioning in Wongawilli seam for late 2011, which will facilitate production of over three million tonnes per annum from NRE mine. The option to upgrade the face width from 145mt to 390mt will facilitate operational efficiencies and create oppurtunities for further production increases.
Arun Jagatramka, chairman of Gujarat NRE, said: “We are pleased with this key development as it ensures our journey to expansion of two mines and to achieve proposed production target of six million tonnes per annum collectively from the both mines.
“We have a large resource base of around 575 million tonnes within our leaseholds and those longwall systems along with other modern infrastructure such as 4,000 tonne per hour material handling system and commensurate surface and underground infrastructure will set up both mines for further production increases beyond 6 million tonnes per annum from both the mines.”