Page 300 - Annual Report 2020

Metallurgical Coal

Coal Reserves
As at 30 June 2020 As at 30 June 2019
Proved Probable Total
Reserves Reserves Reserves Proved Marketable Reserves Probable Marketable Reserves Total Marketable Reserves Reserve BHP Total Marketable Reserves Reserve
Commodity Mining Coal Life Interest Life
Deposit (2) (8) (9) (10) (11) Method Type Mt Mt Mt Mt %Ash %VM %S Mt %Ash %VM %S Mt %Ash %VM %S (years) % Mt %Ash %VM %S (years)
Metallurgical Coal Operations
Queensland Coal
CQCA JV
Goonyella Riverside (12) OC Met 513 19 532 405 9.1 25.2 0.53 14 10.9 28.4 0.56 419 9.1 25.3 0.53 35 50 432 9.1 25.3 0.53 38
Broadmeadow UG Met 59 106 165 46 8.1 23.9 0.54 67 10.0 23.3 0.55 112 9.2 23.5 0.55 120 9.2 23.6 0.54
(12)
Peak Downs (13) OC Met/Th 669 91 760 393 10.6 22.1 0.59 51 10.6 24.2 0.84 444 10.6 22.3 0.62 27 50 443 10.6 22.5 0.62 26
Caval Ridge OC Met 232 101 333 134 11.0 22.2 0.57 61 11.0 22.3 0.57 196 11.0 22.2 0.57 27 50 203 11.0 22.3 0.58 28
Saraji (13) (14) OC Met/Th 487 54 541 315 10.5 17.9 0.63 24 10.6 19.2 0.88 339 10.5 18.0 0.65 33 50 − − − − 31
OC Met − − − − − − − − − − − − − − − 293 10.2 17.8 0.65
Norwich Park (15) OC Met 159 70 229 116 10.3 16.8 0.70 49 10.2 16.6 0.70 165 10.3 16.7 0.70 65 50 165 10.3 16.7 0.70 65
Blackwater (13) (16) OC Met/Th 181 229 410 157 8.8 26.5 0.43 195 9.1 26.2 0.42 352 9.0 26.3 0.42 27 50 396 8.4 26.7 0.43 24
Daunia (17) OC Met/PCI 68 25 93 59 8.1 20.4 0.34 21 8.3 20.0 0.35 80 8.2 20.3 0.34 17 50 85 8.2 20.3 0.34 18
BHP Mitsui Coal
South Walker Creek (18) OC Met/PCI 93 36 129 74 9.2 13.6 0.29 29 9.2 13.2 0.29 102 9.2 13.5 0.29 16 80 108 9.2 13.5 0.30 17
Poitrel (19) OC Met 31 24 55 25 7.9 23.0 0.31 19 8.4 23.3 0.31 44 8.1 23.1 0.31 9.6 80 48 8.1 23.1 0.31 10
(8) Only geophysically logged, fully analysed cored holes with greater than 95% recovery (or <± 10% expected error at 95% confidence for Goonyella Riverside
Broadmeadow) were used to classify Coal Reserves. Drill hole spacings vary between seams and geological domains and were determined in conjunction
with geostatistical analysis where applicable. The range of maximum drill hole spacings used to classify the Coal Reserves were:
Deposit Proved Reserves Probable Reserves
Goonyella Riverside, Broadmeadow 900m to 1,300m plus 3D seismic coverage for UG 1,750m to 2,400m
Peak Downs 250m to 1,500m 500m to 2,500m
Caval Ridge 500m to 1,050m 500m to 2,100m
Saraji 450m to 1,800m 800m to 2,600m
Norwich Park 500m to 1,400m 1,000m to 2,800m
Blackwater 450m to 1,000m 900m to 1,850m
Daunia 450m to 850m 900m to 1,400m
South Walker Creek 400m to 800m 650m to 1,500m
Poitrel 300m to 550m 600m to 1,050m
(9) Product recoveries for the operations were:
Deposit Product Recovery
Goonyella Riverside, Broadmeadow 74%
Peak Downs 58%
Caval Ridge 59%
Saraji 63%
Norwich Park 71%
Blackwater 86%
Daunia 85%
South Walker Creek 78%
Poitrel 79%
(10) Total Coal Reserves were at the moisture content when mined (4% CQCA JV and BHP Mitsui Coal). Total Marketable Reserves were at a product specification moisture
content (9.5-10% Goonyella Riverside Broadmeadow; 9.5% Peak Downs; 10.5% Caval Ridge; 10% Saraji; 10-11% Norwich Park; 7.5-11.5% Blackwater; 10-10.5% Daunia; 9%
South Walker Creek; 10-12% Poitrel) and at an air-dried quality basis for sale after the beneficiation of the Total Coal Reserves.
(11) Coal delivered to handling plant.
(12) Goonyella Riverside and Broadmeadow deposits use the same infrastructure and Reserve Life applies to both. The decrease in Reserve Life was mainly due to
depletion, change in mine plan at Broadmeadow and an increase in nominated production rate from 19Mtpa to 20Mtpa.
(13) Percentage of secondary thermal products for Reserves with coal type Met/Th are: Peak Downs 1%; Saraji 1%; Blackwater 14%. Contributions will vary year on year
based on market demand.
(14) Saraji – The increase in Coal Reserves was mainly due to changes in the mine design and revised yield. Change in Coal Type from Met to Met/Th.
(15) Norwich Park – Remains on care and maintenance.
(16) Blackwater – The decrease in Coal Reserves was mainly due to an update in the modifying factors.
(17) Daunia – The decrease in Coal Reserves was due to depletion.
(18) South Walker Creek – The decrease in Coal Reserves was due to depletion.
(19) Poitrel – The decrease in Coal Reserves was due to depletion.

298 BHP Annual Report 2020