Yancoal Says Mines Disrupted After Heavy Rain Batters Queensland

   By Rhiannon Hoyle 
 

SYDNEY--Yancoal Australia Ltd. (YAL.AU) said Tuesday that production at its Yarrabee and Middlemount open cut mines, in central Queensland state, had been disrupted by heavy rainfall in the region at the weekend.

Output at the Middlemount mine in particular, where one of the banks was breached by floodwaters, is expected to be affected for at least three weeks, the company said in a statement to the Australian Securities Exchange. Normal operations at the Yarrabee mine are expected to recommence this week, it said.

Flooding, torrential rain and tornados have battered Queensland in recent days as a storm the Bureau of Meteorology refers to as ex-tropical cyclone Oswald moves south along the east coast.

Separately, Xstrata Coal, a unit of Xstrata PLC (XTA.LN), said there had been disruptions to some of the rail lines it uses to transport its coal to port from its Oaky Creek and Rolleston mines in the resource rich Bowen Basin. "We are monitoring this and looking at contingency plans," the company said in an emailed statement.

Write to Rhiannon Hoyle at [e-mail]

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