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The State Government has approved the mining lease for Fitzroy Australia Resources’ Ironbark No. 1 mine, 35km north-east of Moranbah.

Mines Minister Dr Anthony Lynham said the underground longwall operation was expected to employ 160 contractors during construction and up to 350 operational staff.

It will to produce up to 6 million tonnes per annum run of mine coal, mostly hard coking coal, with first production expected from the first quarter of 2020.

Fitzroy Australia Resources acquired Ironbark No.1, neighbouring Carborough Downs mine and the Broadlea project from Brazilian mining giant Vale in November 2016. Ironbark will share major infrastructure with Carborough Downs.

“Ironbark No.1 comes on top of the 13 committed resources projects in Queensland with a combined capital value of more than $9.4 billion across multiple commodities," Dr Lynham said.

“Another 42 projects are at feasibility stage, with a combined capital value of more than $65 billion, again, across multiple commodities.

“Queensland remains a global resources investment magnet, as our $56 billion resources sector generates thousands of jobs and business opportunities and royalties to pay for our teachers, doctors and nurses.”

Fitzroy’s assets include some 98,000ha of tenement holding in the world class central Bowen Basin for metallurgical coal.

“Ironbark No. 1 is the first new development in realising the potential of this significant portfolio,” Fitzroy Australia Resources chief executive officer Grant Polwarth said.

Green light for Ironbark No.1 coal mine