2023 Annual Report
01
Year in review
Bathurst at a glance
2023 key statistics
Chairman and CEO’s report
How is our product used?
Financial and operating overview
People and culture
Sustainability
Governance
Remuneration report
02
Financial statements
Income statement
Statement of comprehensive income
Statement of financial position
6
7
8
10
12
20
22
50
53
59
59
60
Statement of changes in equity 61
Statement of cash flows
Notes to the financial statements
Independent auditor’s report
03
Shareholder information
Shareholder information
04
Resources and reserves
Tenement schedule
Coal resources and reserves
Corporate directory
62
63
94
100
104
106
114
4 Bathurst Resources Limited Annual Report 2023
01
Year in review
In this section
Bathurst at a glance
2023 key statistics
Chairman and CEO’s report
How is our product used?
Financial and operating overview
People and culture
Sustainability
Governance
Remuneration report
Section 1: Year in review 5
Bathurst at a glance
Asia-Pacific
Export coking
coal sales ≈ 1.2Mt
New Zealand
Production ≈ 1.8Mt
Sales ≈ 0.9Mt
“
We also have 2 strategic long life coking coal projects in British
Columbia, Canada that will complement our current product
offerings and customer markets in Asia-Pacific.
Indicative production and sales tonnes are those under Bathurst management
6 Bathurst Resources Limited Annual Report 2023
2023 key statistics
Operational (BRL & 100% BT Mining)
Other (BRL & 100% BT Mining)
Financial (BRL & 65% BT Mining)
Total coal sales
2.1Mt
6%
Employees
~620
Revenue
$389m
32%
Coal used for steelmaking
Contributed to NZ economy
Revenue from domestic sales
1.7Mt
15%
$334m
15%
$105m
3%
Coal used for electricity
Scope 1 & 2 emissions
Revenue from export sales
0.1Mt
-59%
0.047t CO2e
Per tonne of coal produced
Coal used for food production and
other local industry
0.4Mt
-2%
Overburden removal
11.2Mt
-5%
LTIFR
5.5
Per million hours worked
TRIFR
18.1
Per million hours worked
$284m
47%
EBITDA
$166m
59%
Net profit
$90m
195%
Operating cash flows
$121m
34%
Section 1: Year in review 7
Chairman
and CEO’s report
Peter Westerhuis
Chairman
Richard Tacon
Chief Executive Officer
Nau mai and welcome. This year can be considered a success, where we have
again increased our earnings and cash levels while maintaining focus on future
investments and shareholder value and growth.
Record earnings driven by export segment
The 2023 financial year was a successful year, in which we
achieved a record operating surplus driven by the strong export
segment which continued to benefit from high benchmark pricing.
The record results saw our consolidated EBITDA grow from
$104.4m in FY22 to $166.4m in FY23, an increase of 59 percent,
and our consolidated cash also significantly increased by $87m
to $163m.
Valuing our communities
Our people and their communities continue to be of the
greatest importance to our business. A key community for us
is Nightcaps in Southland where our Takitimu mine is located.
In March, we held an open day at the Takitimu mine where we
invited the community to observe our operations first hand and to
showcase the former mining areas which have been rehabilitated
into productive farmland, wetlands and areas of indigenous
vegetation. The event was organised as a day of fun for the whole
family, with entertainment and food provided. More information
about the success of the day is detailed as a case study later in
the annual report.
Domestic development
While we continue to see some of our domestic customers move
away from coal as an energy source and transition to alternative
fuels, we are happy to have entered into a long-term agreement
for the use of our quality domestic coal for steel making in New
Zealand. This aligns with our strategy to support steelmaking both
in New Zealand and internationally.
The agreement has enabled us to move into the Waipuna West
extension at the Rotowaro mine and has extended the life-of-mine
by 3 years. This extension has enabled us to increase our staff
headcount and will provide approximately 170 jobs at the mine site
as well as work for local contractors and suppliers in the area. The
operations at the Rotowaro mine remain an integral contributor to
the economy in the Waikato region.
Importance of our coal and CO2 emissions
Last year, we shared that we had undertaken independent
verification and analysis of our export coal. This validated that
the use of Stockton coal by overseas steelmakers enables the
steel production to avoid emitting 315,000 tonnes of CO2 per year
because of the unique properties of our coal.
With an evergrowing commitment internationally to reduce
greenhouse gas emissions, this demonstrates the importance of
our coal internationally and supports our Buller Plateau growth
strategy and the opportunities for extending the life-of-mine at
this site.
8 Bathurst Resources Limited Annual Report 2023
Our other Canadian investment, the Crown Mountain coking
coal joint venture project, also in British Columbia, continues to
progress as well. This year saw a consent agreement executed with
key indigenous nations. The next steps include the environmental
assessment and environmental impact statements which are
being prepared for submission. First production for the project is
expected in FY27.
Further growth opportunities
While our strategy of increasing our exposure to steelmaking
coal has seen us invest in the Canadian coking coal projects over
recent years, we remain committed to continuing our search for
sustainable and value enhancing opportunities in the near future.
Looking forward
The last 24 months have demonstrated firsthand the levels of
volatility in our industry, particularly the pricing experienced in
the export segment. It is pleasing to have been able to convert
the high prices over this period into exceptional operating profits,
which have been achieved thanks to the skill and experience of our
teams and our ongoing management of costs.
We step into the new financial year with a steadfast focus on
moving forward, and in a position to utilise our strong financial
position to deliver another year of great results.
Energy use and emissions
As an organisation, we continue to monitor our energy usage and
strive to improve and become more efficient where we can. Most
electricity consumed at our sites is generated from renewable
sources such as water or wind, so the fuel related emissions have
been something we have targeted. One way we do this is the use
of Esso diesel efficient fuel in our machinery which has reduced
CO2e significantly. We have also engaged in energy saving projects
with suppliers, which is detailed further as a case study in the
annual report.
Progressive approach to rehabilitation
We recognise that we need the support of our stakeholders
and must earn our social licence to mine by demonstrating that
our mining footprint is minimised by undertaking progressive
rehabilitation to minimise impacts.
Rehabilitating mine land back to sustainable ecosystems as soon
as practical is key to our mine rehabilitation. In FY23, we returned
5,500 m2 of red tussock to the final Cypress pit overburden at
Stockton mine using the vegetation direct transfer method. This
method involves the careful translocation of intact soil and flora
and fauna so that the cover of the disturbed land is immediate and
biodiversity values are returned.
Cyclone Gabrielle
While we are no stranger to bad weather and the operational
delays that come with it, this year saw unseasonably high levels
of rainfall at the North Island mines across the summer months.
The already wet ground and poor mining conditions were further
deteriorated by Cyclone Gabrielle, which passed through the North
Island in February, and caused significant flooding in the pits at
both mines.
It was only due to the can-do attitude of our experienced and
dedicated staff that operations were able to resume quickly
after the flooding and contracted sales volumes were able to be
delivered.
Canadian coking coal projects
Confirming the commitment to our strategy of increasing exposure
to steelmaking coal, on 5 September 2023, we executed an
agreement to purchase the assets of the Tenas coking coal project
in north-west British Columbia in Canada.
The Tenas project is situated near the small town of Telkwa and
is well located to existing infrastructure including rail and the
deepwater port of Prince Rupert. The project is expected to have a
life-of-mine of 22 years and annually produce approximately 750kt
of saleable coal, supplying key steelmaking markets. The project is
undoubtedly attractive and is anticipated to have a low strip ratio
and be one of the lowest cost producers of metallurgical coal on
the seaborne market. Production is expected to start in FY26.
Section 1: Year in review 9
Peter Westerhuis Richard Tacon Chairman Chief Executive Officer How is our product used?
Construction
in which most buildings or
structures are made from steel.
Electricity generation
when there isn't enough green
energy supply to meet demand.
Semi-conductors
are an essential component in many
electronic devices such as solar
panels and smartphones.
Transport
Carbon fibre
which has many uses including
sporting equipment.
Infrastructure
Fuelling of
local industries
that make essential
everyday consumables.
10 Bathurst Resources Limited Annual Report 2023
Section 1: Year in review
11
Financial and
operating overview
Record operating surplus driven by our strong export segment
Consolidated1 EBITDA2
$’m
200
180
160
140
120
100
80
60
40
20
0
70.7
t
r
o
p
x
E
104.4
2
2
Y
F
A
D
T
B
E
I
(9.1)
2.7
(2.2)
166.4
d
n
a
l
s
I
h
t
r
o
N
c
i
t
s
e
m
o
d
d
n
a
l
s
I
h
t
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o
S
c
i
t
s
e
m
o
d
e
t
a
r
o
p
r
o
C
s
d
a
e
h
r
e
v
o
3
2
Y
F
A
D
T
B
E
I
1. Consolidated in this section means 100 percent of Bathurst and 65 percent equity share of equity accounted joint venture BT Mining.
2. EBITDA is a non-GAAP measure and reflects earnings before net finance costs (including interest), tax, depreciation, amortisation, impairment, non-cash
movements on deferred consideration and rehabilitation provisions.
12 Bathurst Resources Limited Annual Report 2023
Reconciliation of underlying profit to consolidated EBITDA
Underlying profit (non-GAAP)
Add back
Fair value movement on derivatives
Impairment
Statutory profit (non-GAAP)
Add back
Equity share of joint venture results
Depreciation and amortisation
Net finance income/(costs)
Movement in deferred consideration
Fair value movement on derivatives
Impairment
Non-cash movement in rehabilitation provision
Bathurst EBITDA (non-GAAP)
Add back
Equity share of joint venture results
Consolidated EBITDA (non-GAAP)
Export segment
Note
8
13
6
15 (c)
16
2023
90.6
-
(0.1)
90.5
2022
43.1
(12.3)
(0.3)
30.5
(98.7)
(53.2)
5.9
0.5
1.7
-
0.1
1.5
1.5
164.9
166.4
6.0
2.7
(0.4)
12.3
0.3
0.7
(1.1)
105.5
104.4
Stockton is an open cut mine producing low-ash metallurgical coal that is exported overseas for use in steelmaking. Our equity share is 65
percent via joint venture BT Mining.
Operational metrics (100 percent basis)
Unit
Export FY23
Export FY22
Production
Sales
Overburden
Financial metrics (65 percent equity share)
EBITDA
Other metrics
kt
kt
Bcm 000
1,042
1,197
4,996
913
1,023
4,446
$’000
154,097
83,398
Average HCC benchmark
USD/t
291
374
Section 1: Year in review
13
Financial performance
After the extreme highs and volatility of FY22, the hard coking
coal (HCC) price returned to lower levels during FY23 but still
remained at historic highs with an average of US$291/t across the
four benchmark quarters. Coal supply out of Australia improved
throughout FY23 while demand remained limited as major
economies continued to battle high inflation and rising costs which
pushed the coal price to low US$220’s by late May before a slight
recovery by June year end. Russian coal producers continued
to dump coal into both China and India throughout FY23 which
added further downward pressure across the year and limited any
significant upside.
Although the pricing reduced throughout the year, the still
historically high pricing enabled increased revenue. The revenue
growth was partially offset by increases to the cost base, which
was driven by the increasing inflation experienced worldwide,
labour supply shortages following on from border restrictions, and
macro market impacts from the war in Ukraine affecting the supply
and price of fuel, which increased by an average of 30 percent
throughout the year. The average rate of inflation remained high
and closed at 6.0 percent for the 12 months to 30 June. These
increases in costs were experienced across all our operating
segments.
Realised coal price hedging income also partially offset the
decrease in the HCC benchmark experiences throughout the year.
Hedges set during the high pricing levels experienced during FY22
have delivered additional revenue which has helped the financial
success of the export segment as the prices decreased throughout
the year.
Operational highlights
Operationally it is pleasing to note that we were able to achieve all
forecast shipments, despite facing delays due to bad weather at
the Stockton mine during the first half of FY23. Improved weather
conditions and operational efficiencies enabled us to recover the
lost production during the second half of the year.
The weather-proofing facilities we installed the previous year
have been working well and helped to limit the impacts from the
weather enforced delays experienced in the first half of the year
– particularly our water management, roading network, and the
aerial ropeway which is a vital piece of infrastructure that takes
coal off the plateau and down to the rail loadout facility.
The mine saw greater coal production than originally modelled,
all of it bound for export markets to be used for steel production.
In FY24 and the following 2 years, we are expecting to see more
of the same, based on results from resource drilling and also our
mine planning. This will come with less overburden removal than
otherwise forecast.
The new McCabe coal fines storage facility is operational after
achieving its design specifications and will carry out this function
until the mine’s end of life. Additionally, the design for the Mine
Creek Sump was completed in FY23. This water treatment facility
for the Mine Creek, Granity and Miller stream catchment is now
moving into regulatory approvals processes. The new sump will
also support management of historic, underground acid drainages
from the Millerton area.
Labour remains a challenge, and we are increasingly relying on
overseas recruitment to fill positions, e.g., for mining machinery
operators and mechanics.
In terms of ongoing site rehabilitation, we over-achieved our
budget in FY23, meaning that replanting is proceeding at 30
hectares a year, up on the earlier annual rate of 20 ha.
HCC benchmark outlook
The HCC price has remained relatively stable in recent months and
has fluctuated largely between US$220/t - $250/t since mid-April,
with weaker demand being offset by a tight coal supply. China’s
return to the seaborne market this year has helped support the
seaborne market, however concerns around the Chinese economy
have increased in recent weeks which has seen the Chinese CFR
coal price start to diverge from the Australian FOB coal price as
demand from Chinese buyers falls.
However, as the monsoon season ends in India over the next
month, demand should pick up from Indian mills in the coming
months. If China continues to experience further economic
instability, the HCC coal price will likely track lower over the next
one to two quarters. Australian coal supply is forecast to increase
further throughout FY24 which will add additional downward
pressure to the coal price especially if demand remains limited.
At the time of finalising this report pricing was USD $361 per
tonne, with the 9 October 2023 S&P Global Platts Premium Hard
Coking Coal forward curve forecasting average pricing levels
averaging USD $325 per tonne through to June 2024.
Growth projects
Buller (100 percent equity share)
The Buller project encompasses mining and exploration permits as
well as a coal mining licence (Sullivan) on the Denniston Plateau on
the West Coast of the South Island of New Zealand. The project is
located close to the Stockton mine, with the ability to use Stockton’s
infrastructure assets, which include a coal handling and preparation
plant, and a rail loadout facility.
The permits include the Escarpment mine, which is in care-
and-maintenance, but which we can return to operation when
appropriate. Bathurst continues to see future development of
Escarpment as a key component of its wider Buller projects strategy.
In FY23, the Escarpment access arrangement with the landowner
was extended to 2032. We updated an options analysis into the
optimal blend of coal between the different Buller projects, including
integration with coal resources in the Stockton life-of-mine plan.
14 Bathurst Resources Limited Annual Report 2023
A focus for FY24 is the renewal of the Escarpment consents that are
beginning to expire over the next few years, as well as completion
of mine planning for an extension to the Escarpment project
(Escarpment Extension), as part of the wider Buller project study.
We completed conceptual design options for the Upper
Waimangaroa haul road, including assessment of a slurry pipeline
option. The haul road would connect Denniston Plateau to the
infrastructure at the Stockton mine.
Stockton organic growth projects (65 percent equity share)
A key focus for FY23 is to develop the Hope Lyons block,
which has progressed well and is ahead of schedule. This pit has
performed well, recording production of close to 100,000 tonnes
of coal in FY23.
Monthly US$ HCC pricing3
Key project focus areas for FY24 are:
•
Infill drilling, and advancement of baseline studies and mine
planning for the Deep Creek permit areas as part of the wider
Stockton Extension Project.
• Continued drilling and development of the Rockies North pit.
This pit is an extension of the currently mined area.
• Development of the Cypress South pit. Project focus will be
on infill drilling for refinement of coal structure, vegetation
stripping, and water management structure, with coal winning
expected in FY24.
USD/
tonne
400
300
200
100
ACTUAL
FORWARD CURVE
2
2
n
u
J
2
2
g
u
A
2
2
t
c
O
2
2
c
e
D
3
2
b
e
F
3
2
r
p
A
3
2
n
u
J
3
2
g
u
A
3
2
t
c
O
3
2
c
e
D
4
2
b
e
F
4
2
r
p
A
4
2
n
u
J
4
2
g
u
A
4
2
t
c
O
4
2
c
e
D
5
2
b
e
F
5
2
r
p
A
5
2
n
u
J
3. Monthly actual export pricing based on a monthly average of the S&P Global Platts Premium Low Vol daily spot pricing. Forward curve based on 9 October 2023 S&P Global Platts
derivatives assessments.
Section 1: Year in review
15
Domestic segment
North Island domestic
North Island domestic (NID) consists of the Rotowaro and Maramarua mines. Both produce a low-ash, low sulphur thermal coal for local
steelmaking, energy generation, and other food and agricultural industries. Our equity share is 65 percent via joint venture BT Mining.
Operational metrics (100 percent basis)
Production
Sales
Overburden
Financial metrics (65 percent equity share)
Unit
kt
kt
Bcm 000
NID FY23
NID FY22
568
627
5,136
738
687
5,534
EBITDA
$’000
18,241
27,383
Financial performance
Growth projects
Waipuna West extension (Rotowaro mine)
We obtained resource consents, and started overburden stripping
operations for a 3-year extension (based on current production/sales
volumes) to Rotowaro mining operations. The coal is destined for
the same customer base as existing Rotowaro sales, with coal supply
contracts in place.
M1 pit (Maramarua mine)
Following enactment of the Resource Management (National
Environmental Standards for Freshwater) Regulations, we modified
the pit design to preserve identified areas as inland natural wetlands.
We submitted a new resource consent application, and iwi and
stakeholder consultation is well advanced. The project is scheduled
to start in FY24 on approval of consents, with the coal destined for
the same customers as current operations.
Rotowaro North (Rotowaro mine)
The Rotowaro Extension (North) project is a potential extension
project to the current Rotowaro mine operation, located 4 kilometres
northwest of the current mine site. The project is in the conceptual
phase, in which we have confirmed a resource. We have received
customer interest for this coal, providing a basis to continue to
assess development options. Infill drilling to improve resource
confidence and baseline studies to advance project feasibility
studies are planned for FY24.
The decrease in EBITDA year-on-year is due to operational delays,
a planned reduction in sales, and an increase in costs. Sales volumes
reduced due to a planned step down in sales to an electricity
generation customer and food processing customers as they
transition to biomass fuel. Costs increased due to a combination of:
•
Inflation driven cost increases as covered in the export
commentary;
• Labour costs that increased in line with contractual CPI
adjustments;
• Fuel which increased at rates similar to export;
• Delays due to poor weather and Cyclone Gabrielle meant that
stripping in new pits at both mines was significantly delayed.
Operational highlights
There were numerous operational disruptions during the year,
which required a concentrated effort to guarantee the mines could
continue to meet their contracted sales obligations.
High levels of unseasonal rainfall increased operational downtime
which resulted in reduced production across both mines. The
impacts of Cyclone Gabrielle in February caused flooding at both
sites which caused a reduction to planned overburden removal
and stripping of new pits at both mines. Although the overburden
stripping volumes were reduced, favourable coal winning compared
to rates modelled meant sufficient coal was won.
The construction of a stream diversion at Rotowaro to allow access
to coal reserve also experienced delays due to the weather. The
weather inhibited operational hours, as well as the amount of
stripped material available from other parts of the mine to be used
for construction. While the project has taken longer than anticipated,
it is pleasing to note that it is nearing completion.
Following the approval of the Waipuna West extension (WWE) at the
Rotowaro mine, recruitment of more staff accommodated for the
increase in planned levels of stripping at the new site.
16 Bathurst Resources Limited Annual Report 2023
Domestic segment
South Island domestic
South Island domestic (SID) consists of the Takitimu mine which produces a low-sulphur thermal energy coal for local agricultural, health and
other food manufacturing industries
Operational metrics
Production
Sales
Overburden
Financial metrics
EBITDA
Unit
kt
kt
Bcm 000
SID FY23
SID FY22
224
251
1,025
226
248
1,751
$’000
11,812
9,128
Financial performance
The increase in earnings for SID was driven by:
Growth projects
New Brighton project
• A slight increased sales volume as well as increased sales price
were received.
• Reduced levels of overburden resulted in lower fuel volumes and
repair costs on machinery.
There was an increase in earnings at the Takitimu mine year-on-year.
Sales volumes increased slightly which, coupled with contractual
increases in pricing, increased revenue. The increases in revenue
were partially offset by the increases in costs mentioned in the
export commentary. A reduction in overburden removal meant that
there was a reduction in repairs and maintenance costs, and fuel
volumes.
Operational highlights
Despite weather restrictions the Takitimu mine had another
successful year, both operationally and financially in 2023.
The New Brighton permit is located 4 kilometres west of the
current Takitimu operations. We completed exploration drilling
in August 2021. A prefeasibility level study is near completion for
the project. We have finalised baseline studies and assessment of
the environmental affects ahead of submitting resource consent
applications.
Corporate
Corporate overhead costs included in the total group consolidated
EBITDA increased year-on-year, $17.7m versus $15.5m. This reflects
an increase in Bathurst overhead expenses:
• Overheads and salary costs increased due to inflationary
driven increases.
• Legal fees incurred in defending Bathurst against claims
brought by L&M (refer Note 23 of the Financial Statements).
Section 1: Year in review
17
Increasing exposure to steelmaking coal in
Canada
While the management and extension of our current New Zealand
operations aligns with our strategy to produce coal for steelmaking,
we are also expanding and diversifying by investing outside of New
Zealand.
The strategy for the Canadian assets is to:
1.
Identify and invest in projects with excellent financial metrics;
2. Ability to manage the consenting, permitting and development
risks in a tier one jurisdiction;
3. Provide additional steelmaking coal production capacity;
4. Provide long life assets aligned with current international
customer requirements; and
5. Deliver low-cost production that will endure the forecast price
volatility of the international coal market.
The project is expected to produce 1.7mt of saleable coking coal
per annum over a 16-year mine life, with first production planned
for FY27. The low stripping ratio of the project means that it will be
developed as one of the lowest cost producers of steel-making coal
on the seaborne market.
Tenas Project, British Columbia, Canada
The Tenas Coking Coal project is located just outside of the small
town of Telkwa, with easy access to road and rail infrastructure
already developed by the forestry industry and is within relative
close proximity to the deep-water port of Ridley Port, near Prince
Rupert.
The project was purchased in September 2023 for US $10.3 million,
with an upfront payment of US $2.33 million, and 3 deferred
payments of US $1.0 million 45 days after settlement, US $4.0
million deferred until all final permits to operate are received, and
US $3.0 million on the first anniversary of the receipt of the final
permits to operate.
Crown Mountain Project, British Columbia, Canada
Highlights
• The BC EAO EAC Application was submitted in May 2022.
• No requirement for Federal EIS approval by Impact Assessment
Agency of Canada due to the dimensions of the project.
• Responding to Information Requests from the EAO
now required to move to the Effects Assessment and
Recommendation phase of the consenting process with BC
EAO, expected to commence in the first half of 2024.
The project is expected to produce 750kt of saleable steelmaking
coal per annum over a 22-year mine life, with first production
planned for FY26. Along with being well located to rail and port, the
low stripping ratio of the project means that it will be developed
as one of the lowest cost producers of steelmaking coal on the
seaborne market.
Located in a mature mining region of the Elk Valley, with well-
established transport infrastructure, Crown Mountain is a joint
venture with Jameson Resources Limited (JAL). Project earn-in
is over three stages (worth CAD $121.5 million) to achieve 50:50
ownership, with future investment at our sole discretion.
Our equity share of the project is 22.1 percent. This includes
20 percent from completion of the first two funding tranches
of CAD $11.5 million, and 2.1 percent from the advance of
CAD $4.0 million on the final tranche in exchange for a mix of
preference and ordinary shares.
Highlights
• A consent agreement was executed with key indigenous
nations in early 2023. The executed agreement includes
innovative accelerated reclamation initiatives, best practice
environmental design, management and monitoring to ensure
protection of the flora, fauna and water quality in the Elk Valley.
• The project’s environmental assessment application and
environmental impact statement are expected to be submitted
later in 2023, followed by a technical review of the project.
Telkwa, British Columbia, Canada.
Elk Valley, British Columbia, Canada.
18 Bathurst Resources Limited Annual Report 2023
Consolidated cash flows
Operating
Investing
Opening Cash
EBITDA
Working capital
Canterbury rehabilitation
Corporation tax paid
Deferred consideration
Crown Mountain (environmental assessment application)
PPE net of disposal
Mining assets including capitalised stripping
Financing
Finance leases
Interest repayment on AUD convertible bonds
Borrowings repayments
Financing income/(costs)
Closing Cash
FY23
$m
76.0
166.4
(16.5)
(1.6)
(26.3)
(1.2)
(0.7)
(16.0)
(15.1)
(4.0)
-
(0.1)
2.2
163.1
FY22
$m
20.2
104.4
(4.9)
(3.8)
(4.5)
(2.3)
(0.8)
(8.1)
(11.7)
(8.5)
(1.3)
(2.6)
(0.1)
76.0
Working capital
The timing of sales, and in particular the number of export shipments for the month of June compared to the prior year, has resulted in an
increase in trade debtors. Payment of the debtors was received in July and converted into cash.
Corporation tax paid
There was an increase in corporation tax paid which reflects the tax obligations on increased taxable operating profits and the timing of
provisional tax payments. The final FY21 payment was made in July 2022, and similarly the final FY22 payment was made in July 2023.
Deferred consideration
Payments for the year consisted of royalties on Takitimu mine sales.
Crown Mountain
Funds paid were on a proportional project equity ownership basis and were used to submit the environmental application.
Mining development including capitalised stripping
Spend has increased from the previous year comparative period due to the increased mine development costs and capitalised stripping in the
Waipuna West extension at the Rotowaro mine.
Financing income/(costs)
Increased interest received on cash balances and deposits held.
Section 1: Year in review
19
People and culture
Recognising that people are our most important asset, this year has seen us
continue to implement the key pillars of our people strategy: employee experience,
enhancing our high-performance culture, and future focussed knowledge and skills.
Our workforce
Rotowaro
Maramarua
Stockton
Canterbury
Head Office
Corporate Office
Timaru
Takitimu
Commitment to a diverse workforce
At Bathurst, diversity takes many forms, and we continue to build
a workplace culture that recognises and welcomes diversity when
attracting and retaining our talent.
New Zealand is still facing a talent shortage of qualified
tradespeople and technical specialists, which has attributed to
stepping up our offshore recruitment strategy. A key highlight of
this strategy has been the partnership with external agencies to
develop a tailored recruitment programme to commence in FY24 to
source heavy diesel mechanics directly from the Philippines.
We are pleased to report that we have had a 29 percent increase in
our female workforce this past year, with a total of 18 percent females
represented across our workforce. Some of this can be attributed to
our leaders recognising the need for new ways of working including
flexibility in operational rosters, working from home and reduced
working days/hours to attract and retain female talent.
As part of our diversity strategy we are exploring ways to attract
more Māori and Pasifika talent into the business. We are excited
to be involved in an FY24 Waikato based trainee project for
encouraging unemployed youth into our sector. We will have more
to report on this programme in next year’s report.
20 Bathurst Resources Limited Annual Report 2023
Developing our people
Last year, we reported on the roll out of an employee development
programme called My Development. We have continued to hold
conversations with our people this year on how we can best
support them to focus on improving their skills and knowledge and
identify development pathways for them within our business.
A mine cannot operate without holders of statutory certificates of
compliance (COC). We target to have a pipeline of new candidates
completing COC study for their professional development and to
provide future opportunities for promotion. We currently have 18
people studying spread across all of our operations completing
eight different COC programmes.
Empowering our leaders
We have supported over 60 percent of our Senior People Leaders
through our Bathurst Transformational Leadership Programme,
ensuring our leaders have the tools and skills they require to
effectively lead their teams and ultimately drive a high-performing
and engaged workforce.
We also recognised the need for a more formalised training
programme for our first line supervisors and have developed the
Bathurst Developing Leaders Course which is due to be rolled out
at the beginning of FY24. This programme will cover the basics of
leadership, individual strengths and how to utilise these to get the
best out of people and inclusive leadership, ensuring that all our
people can feel supported to show up to work as themselves each
and every day.
Mentoring our young technical professionals in the importance of
sharing your experiences and knowledge from your site with the
rest of industry is part of our programme to develop future leaders.
Of our six speakers at a recent Australasian Institute of Mining
and Metallurgy conference in Christchurch three were young
professionals speaking on geological challenges and approaches
they are successfully applying at their sites.
We are pleased to report that we have had a
29 percent increase in our female workforce
this past year, with a total of 18 percent females
represented across our workforce
Values-led culture
To incorporate our values into the way we work every day, a Team
Charter Programme was developed, engaging individual teams in
discussion on how their team forms the foundations of how they
work together and emulate the behaviours they have committed to
demonstrate across the business.
This programme was kicked off with the Senior Leadership Team
and has been cascaded down to a number of our site-based
teams. One of the outcomes of these sessions was each team
agreeing their own Team Charter that identifies the expected
team behaviours, work rhythm and activities that result in high
performing teams.
This work highlighted the importance of a values-led culture to
ensure our people continue to be engaged and take ownership for
how we work together.
Employee referral programme scheme
Our Employee Referral Programme has seen 32 percent of all new
hires coming through referrals by our current employees. This
indicates that our people are positively engaged, as they promote
Bathurst to friends and whānau as a great place to work. It also
represents significant savings on external recruitment costs.
Section 1: Year in review 21
Sustainability
We have been working on the governance function of our approach to ESG -
environmental, social and corporate governance – to further strengthen our
commitment to sustainability.
Our role in the energy transition
We understand that the coal we produce contributes to the
infrastructure and items people use every day. However, we also
recognise that without good governance in sustainability we
cannot foster trusted partnerships with our people and our host
communities.
Steelmaking coal is critical to the global energy transition, as
it is required for the production of solar panels, wind turbines,
electric vehicles, electrical semiconductors, large-scale batteries
and other innovations that will form part of the shift to a lower-
carbon economy. We continue to partner with our domestic
customers to provide coal for industrial heat if they require it, to
value add to primary production products such as milk, cheese,
vegetables and meat.
Everyone at Bathurst is empowered to make decisions that support
our objectives and are in the best interests of stakeholders.
Management and employees are encouraged to be innovative and
strategic in making decisions that align with our risk appetite and
are undertaken in a manner consistent with corporate and social
licence expectations and standards.
Governance assurance activities
The resumption of travel post COVID pandemic has enabled a
large number of statutory (and other) audits of our management
of health and safety, environment and community (HSEC). The
findings show where we can improve on our delivery of the HSEC
part of the business. Outputs include the expected completion of
an integrated company environmental management system for
Bathurst in FY24.
One example of our auditing is our iwi and stakeholder
engagement across sites, to pool our expertise where this has
gone well, and to point to where we can do better, e.g., in refreshing
our stakeholder engagement plans and expanding engagement
training to greater numbers of our frontline team.
Cybersecurity and privacy management are linked workstreams
to protect our business, our employees and our stakeholders
from harm, especially where collection and storage of personal
information is involved. A third-party auditor reviewed our
management practices and strategies in these two areas, and
we now have a FY24 focus to implement their recommendations
for improvement.
Diversity and inclusion programmes
We are focussed on attracting and retaining the best talent and
providing a dynamic workplace that offers a range of experiences,
career development opportunities, and an inclusive environment
where all employees are treated with dignity and respect. We are
continuing to improve our systems around our people, with an
emphasis on diversity and inclusion as we recruit more people
from overseas with diverse backgrounds (see Our people, page
20). We have had a pleasing 29 percent increase in our female
workforce in the past year, with a total of 18 percent females
across the workforce.
In FY24, programmes in leader led inclusion and diversity
initiatives will continue, such as educating leaders on inclusive
behaviour and hiring practices; and formalising flexible working
arrangements to allow employees to work in ways that better suit
their lifestyle while maintaining access to development and career
progression opportunities.
Site rehabilitation
Ongoing work at the former Canterbury mine continues to
demonstrate how quickly it is possible to return mined land to its
former uses (e.g., farming and forestry), as well as restoring natural
ponds and riverbanks, including indigenous vegetation.
Our open day at the Takitimu mine in April 2023 showcased
to visitors the return to farmland and native vegetation and
wetlands of the previously mined areas (see Community Case
Study Takitimu Open Day on page 32 which is also an example of
successful community engagement).
While we continue to pursue our growth projects, we also transition
land into post-mining environments. We apply our environmental
standards throughout the mine life cycle, across operational
footprints from exploration drilling to post closure activities.
Extending mine life
Central to our commitment to sustainability is the safeguarding of
our economic future, for our people, the communities in which we
live and work, and the company. Our extension projects covered
under our financial and operational highlights help support that
aim across New Zealand.
22 Bathurst Resources Limited Annual Report 2023
Health and safety
During FY23, we developed and started rolling out our critical
risk management framework, including training for our people
who have site health and safety responsibilities (see Health and
Safety Case Study on Critical Risk Management on page 26).
This framework has a focus on the risks that occur rarely but
could cause the most harm to workers, to promote a safer work
environment for everyone. This will complement our existing
risk practices reinforcing accountability and ownership of risk
management.
Developing and maintaining a corporate culture committed to
ethical behaviour and compliance with the law is critical to good
governance and leads to success in obtaining social licence. As
part of improving our governance, we began a safety leadership
programme for senior leaders, to reinforce their role in creating
an equitable culture and supporting mental wellbeing in the
workplace. This leadership programme will continue in FY24.
This is also about ensuring a sustainable supply of coal to our
customers, for steelmaking, advanced carbon-based materials, and
for our process heat customers as they transition away from coal.
Refer to the diagram on how our customers use our coals on page
10 of this annual report.
Improving freshwater quality and ecosystems
We are forging ahead with new ways of measuring and
managing our impacts on the environment, including
environmental deoxyribonucleic acid (eDNA) monitoring
of waterways on the Stockton and Denniston plateaus (see
Environment Case Study West Coast eDNA on page 42). This
and other initiatives, including the ongoing development of water
treatment infrastructure at the Stockton mine, will help us better
manage acid drainages, in particular from historic underground
mining. We are also participating in the Treasury-led project for
the long-term management of acid mine drainage (AMD) on the
Stockton plateau.
Waste management
One aspect of our management of waste rock and earth at mine
sites is the sediment sludge that forms on the floor of our water
treatment facilities. At the Stockton mine, we have identified the
possibility of recycling some of this sludge, based on an initial
analysis of its rare earth elements content. In FY24, we will be
refining our knowledge in this area.
Section 1: Year in review 23
MATERIAL TOPIC
Health and safety
Promoting the health, safety and wellbeing of our people
is a core part of what we do at Bathurst.
A safe and healthy workforce goes hand-in-hand with production
that is economically, socially and environmentally sustainable.
We are working hard to embed a company-wide safety mindset
through supportive leadership, behaviours, culture and processes
in every area of our business.
Our workplace health and safety initiatives during FY23 were:
• Critical risk management framework – we showcase our efforts
on this important aspect of workers’ safety in our Health and
Safety Case Study on Critical Risk Management on page 26;
• Physical task demands review – working at our sites can be
physically demanding, causing stresses and strains on the
body, and we are working to identify and reduce the risks;
• Fatigue monitoring – the technology in this area of worker
health and safety continues to evolve, and we are drawing on
the advances to improve our fatigue management;
• Noise survey – every 5 years we survey our workplaces to
identify hazardous noise sources so we can better manage
this occupational risk through preventative and mitigating
measures;
• Safety Leadership training for senior leaders – the health and
safety culture in any organisation comes from the top, and we
are empowering our leaders to implement a step change across
our business;
• Health and safety audits – we carried out 22 audits in FY23,
covering the broad sweep of our workplace health and safety
management system; and
• Ongoing COVID management – 308 staff contracted COVID
and were required to isolate during the financial year, with a
much lower impact on the company than in FY22.
We recorded the following health and safety statistics in FY23:
• TRIFR (total recordable injury frequency rate) = 18.12 per
million hours worked (FY22: 8.6 per million)
• LTIFR (lost-time injury frequency rate) = 5.51 per million hours
worked (FY22: 1.7 per million)
We have reflected on this unfavourable overall company safety
performance this year (as compared to FY22), to provide us with
insight where we can identify opportunities for improvement,
which in turn will prevent serious incidents.
There have however been standout performances by some of our
sites with our Takitimu mine recording zero reportable injuries and
our Maramarua mine having only one reportable injury (alternative
duty injury).
Our FY24 health and safety strategy focusses on delivering
improvements in the areas of leading safety indicators, critical risk,
health and safety leadership, and injury management. We will also
continue to maintain our focus on supporting and enabling safe
behaviours through our existing programmes of field leadership,
operator competency and proficiency, worker engagement,
frontline supervisor capability, and learning from incident
investigations.
Critical risk management system (CRMS)
High consequence incidents that occur rarely but could have
serious consequences for our workers became a health and safety
focus for us during FY23. We have rolled out the first part of a new
programme of critical risk management awareness campaigns and
training. This builds on our existing standard and practices for
identifying, understanding, and managing critical risks.
This stage of the implementation of the Critical Risk Management
System is directed at Risk Owners (senior line managers) and
Critical Control Owners (line superintendents and technical
experts) who jointly hold ownership and accountability for the
management of our critical risks and controls. Risk Owners and
Critical Control Owners learn about critical control performance
requirements including monitoring the effectiveness of the critical
controls through verification activities, and actions to take when
critical controls are identified as underperforming. (Health and
Safety Case Study on Critical Risk Management on page 26).
Physical task demands review
With the majority of our Stockton workforce being over 45 years of
age, Stockton mine is the scene for trials to better understand the
drivers of muscular-skeletal injuries to workers. This injury type is
a major contributor to the company TRIFR statistics (18.12).
As part of our overall fitness-for-work programme, we are
investigating and documenting our known physical task demands
for relevant roles through the engagement of a physiotherapist
and an occupational medicine specialist. One aim is to review
existing set-up of work areas and work practices to reduce the
stresses, strains and injury risk to workers e.g., from heavy lifting,
or twisting and turning movements of the body. Planned solutions
also include proactive improvements to worker fitness including
machine specific customised stretching routines.
24 Bathurst Resources Limited Annual Report 2023
The programme also has the ability to help us inform treating
physicians on work or non-work related injuries, to assist a
determination of whether a worker recovering from injury is
fully fit to return to work. If their health condition mandates a
gradual return, the GP’s or occupational therapist’s return to work
programme considers the physical task demand information, to
minimise incidences of workers returning to work too early, and
thereby reduce the risk of reinjury.
We recognise that effective injury management that helps people
to stay at work or make an early and safe return after an injury, will
minimise the physical and financial impact of injury on them and
their families. We support injured workers by having a system of
workplace rehabilitation and by providing, where possible, suitable
duties for them while they are recovering. The mental health
benefits of being back in the workforce rather than being at home
are well documented in New Zealand.
Noise surveys
Five yearly noise surveys have been completed at all sites in FY23,
with the goal being to better target our management of noise in
the workplace and reduce the risk of noise induced hearing loss to
our people. Loud noise sources may seem largely obvious within
work areas; however, some sources can increase over time or
workers may normalise the presence of a noise hazard.
A noise survey by an independent occupational hygienist allows
for identification and location of noise sources to understand
where noise levels exceed regulatory requirements. The surveys
review the presence of noise hazards within specific work areas
and work tasks confirming the presence of any potential risk areas
for noise induced hearing loss.
A key output is noise contour maps for each site. The contours
show areas where uncontrolled noise could cause damage to
workers’ hearing if the average or peak noise levels are too high.
Results of the survey determined what controls and training are
needed for workers to manage effects of noise i.e., mandatory
hearing protection zones and required class of hearing protection.
The noise survey complements our annual occupational hygiene
noise monitoring of individual workers and our worker health
monitoring hearing tests.
Fatigue monitoring
We have expanded fatigue monitoring of equipment operators
following an initial trial of its effectiveness and useability at the
Canterbury mine. The initial roll out of fatigue monitoring involved
van drivers commuting to and from the Stockton mine, a 30-minute
trip in each direction, and at the Takitimu mine where travel
distances are up to 60 minutes. Other trials in progress include
fatigue monitoring of onsite truck drivers at the Rotowaro mine.
These systems consist of a camera inside each vehicle which
monitors the driver for blink frequency and diverting eyes from
the road. In the event of a driver falling asleep, the driver’s seat
vibrates vigorously, and an alarm sounds to wake the driver.
At the same time, the camera takes a photographic record and
electronically notifies their supervisor of the fatigue event to allow
for supervisor intervention with the worker.
MATERIAL TOPIC
In FY24, we intend to engage with an international fatigue expert
to assess our fatigue management processes at all our sites with
the goal of developing a more robust fatigue management system
for Bathurst.
Health and safety leadership training
We identified an opportunity to strengthen health and safety
leadership capability and capacity for our senior operational
leaders. The health and safety leadership training programme
focusses on improving practices. It covers a number of subjects
including, the importance of visible leadership, knowing your
statutory obligations, applying an equitable culture, being a
workplace health and safety coach, and how to set up a mentally
healthy workplace. The programme kicked off in May 2023 and
will continue into FY24, expanding later in the year to include
superintendents and supervisors.
Health and safety audits
In FY23, we conducted 22 audits on different aspects of workplace
health and safety management across the company. The purpose
was to support the company’s compliance with related legislation
and regulation, and company governance for health, safety and
training.
The audit’s findings are triggering awareness of where we can
improve, leading to initiatives planned and budgeted for FY24.
They include addressing the following: document control,
management structure for health and safety, geotechnical hazard
awareness, geotechnical design guidelines, mine planning and
related approval processes, and road construction standards.
Further audits are planned in FY24 including emergency
management and worker health.
COVID management
New Zealand’s ongoing 7-day isolation requirement for cases of
COVID has required us to continue to intensively manage cases of
the virus among our workers.
In FY23, we had close to 50 percent of our people away (308 of
625 people) from the workplace due to COVID. Of that number,
37 were able to work at home. During the period we experienced
a much lower level of impact on our people and the company
compared with FY22, an expected result as the severity of the
pandemic wanes.
On 15 August, the New Zealand Government removed the
requirement for mandatory COVID isolation. This change reflects
the country’s evolving response to the pandemic and highlights
the importance of individual responsibility. The New Zealand
Ministry of Health still recommends unwell people or those with
COVID to stay home for 5 days, but it is not mandated. The
significance of individuals’ staying home when unwell remains
crucial in our approach to maintaining a health-conscious
environment.
Section 1: Year in review 25
CASE STUDY
Zeroing in on
our critical risks
A focus on the risks that occur rarely, but could cause the most harm to workers,
promotes a safer work environment for everyone. Last year we stepped up on
“critical risk management”.
Greater attention to reporting health and safety incidents at
Bathurst during FY23 saw an upward trend in our High Potential
Incidents (HPIs) as well as an increase trend in the rolling 12-month
average for total recordable injury frequency rate (TRIFR) and
lost-time injury frequency rate (LTIFR). This trend triggered us to
consider what we could do differently to ensure a healthy and safe
workplace for our workers.
A focus on critical risk has seen us go deeper into identifying the
work settings where critical risks could arise. We have studied
our high potential near miss incidents across all sites and all
operational areas (e.g., a truck reversed through a windrow on a tip
head, a dozer partially submerged when it drove into a drying cell,
a haul truck rollover on a haul road, or an axle stand failure whilst
supporting a fuel truck during a leaf spring replacement.
Our vision is to go beyond compliance with existing New Zealand
workplace health and safety legislation and regulation to one of
internationally accepted good practice. We have chosen as our
benchmark the International Council of Mining and Metals (ICMM),
Health and Safety Critical Control Management Good Practice
Guide which sets out a stepped process for identifying and
controlling critical risks.
Whilst we have a good understanding of what our Principal
Hazards are, we wanted to better understand how to identify and
manage the critical controls that can either prevent a serious
incident occurring in the first place or minimise the consequences
if a serious incident were to occur. We already know that many
of our critical risk management practices are working well. For
example, controls such as guarding or interlocks which sit high
on the hierarchy of control and are less reliant on human action.
Critical controls are those all-important few, that if they were
absent or failed, could increase the likelihood of an event occurring
and the consequences that would follow the event. We really
wanted to understand how those controls should be performing on
a daily basis.
This is a call for company-wide change.
A framework for change
In mid-2023, we presented Bathurst’s refreshed critical risk
management framework to around 70 staff with health and safety
responsibilities. We have now completed this first round of critical
risk awareness training to people in safety-critical roles, from
superintendents to senior-tier leaders.
This programme builds on our existing critical risk management
practices and will now extend into the completion of Bow Tie
Analysis (BTA) for all fatal risks (see diagram opposite). A BTA
starts with identifying “top events” (Critical Unwanted Events),
the threats that could cause such events and the potential
consequences. This flows into identifying the preventative controls
to avoid the top event occurring and the mitigating controls to
reduce any consequences that might follow.
CASE STUDY
Preventative Controls
Preventative Controls
Control Measures
Hazards
TOP
EVENT
Threat 1
Threat 2
T h r e a t 3
t n
a
e
T h r
n t r o l s
o
g C
e 1
e q u e n c
C o n s
M i g r a ti n
Recovery Measures
C o n s e q u e n c e 2
Consequence 3
Consequence n
Controlling the threats which
could release the hazard
Recovering from and/or minimising
the effects of the hazard
Practical tools for critical risk management
Comprehensive investigations of incidents with high potential for
serious injury or accident help identify where controls are absent
or failed. Corrective actions from investigations prevent the
same types of incidents reoccurring. By focusing on investigation
outcomes, we have been able to identify effective preventative and
mitigating controls, based on the “hierarchy of controls” (see the
case study on occupational hygiene in the FY21 annual report) and
implement our critical controls more confidently. We have provided
comprehensive staff training during FY23 which will continue,
along with high level approval processes for all investigations.
Next steps
The further development of our Critical Risk Management
Framework and the interrogation and identification of critical
controls, will help us to continuously improve how we manage
risk in our everyday tasks. By paying attention to what is
important, including identifying either preventative or mitigating
critical controls, we will ensure that our workers understand the
importance of effective critical control performance and are able to
go home healthy and safe after every shift.
This work commenced before the COVID pandemic with the
introduction of critical control verifications; integrated with Field
Leadership activities (refer to the Field Leadership Programme
Case Study in the FY22 annual report). This entails leaders having
conversations with their staff in the field on healthy and safe work
practices, to identify any at-risk conditions or behaviours with the
potential for serious injury or accident. Critical control verifications
require the verification of how critical controls are functioning in
practice. i.e., are they available, reliable and effective to prevent or
mitigate that top event?
An example of a critical control could be a geotechnical exclusion
zone at the toe of a highwall that we apply to protect a worker
from an unplanned catastrophic fall of ground. This critical control
is established by technical personnel who assess the geotechnical
hazards associated with the highwall. In the event of an unplanned
highwall failure event, when workers remain outside the exclusion
zone, harmful consequences of the event will be significantly
reduced as there will not be people in the fall zone. Scheduled
critical control verifications occur to check that the controls are
always in place, workers are aware of their requirements and the
control remains effective.
Another example we employ is the control of dropped objects. For
example, in a work area where a crane is conducting a heavy lift, the
set up will include ensuring that only inspected and certified lifting
equipment is used, and appropriate drop zones are established
prior to any lifting task. The responsible person is trained and has
a thorough understanding of the risk to themselves and other
workers in the event that the controls are not in place or are
ineffective. The verification programme ensures that for all lifting
tasks, specific critical controls are performing as intended.
Section 1: Year in review 27
MATERIAL TOPIC
Socio-economic
Economic performance
We aim to contribute to the prosperity of our
local communities across all stages of the mine asset
life cycle.
We aim to do this by creating direct employment opportunities,
as well as supporting local businesses through procurement of
goods and services, community investments and payments to
government, whilst minimising our negative effects.
Mining is New Zealand’s most productive industry in terms of
gross domestic product (GDP) per filled job. Based on data from
economic consulting and forecasting company Infometrics, the
mining industry in New Zealand delivered over $490,000 of
average GDP per filled job in the year to March 2023. For example,
in the West Coast region where Bathurst operates the Stockton
mine operation with 310 employees, the mining industry is the third
largest contributor to GDP.
Sustainable finance performance plays a key role in supporting the
transition to a low-carbon and more efficient resource economy.
The transition to a low-carbon economy will require an increase
in steel production to produce renewable energy products such
as wind turbines, electric cars and solar panels. Our target is
to maintain and grow our shareholder value by recognising the
important role that steel will play in the future, ensuring our
products are tailored to our steel producing customer’s needs. An
example of supporting our customers is how our unique Stockton
export coal is helping to reduce global CO2 emissions as compared
to other seaborne coking coals (see our Emissions Savings Case
Study on page 26 of FY22’s annual report).
We acknowledge New Zealand’s plan to move away from coal use
for process heat and we will continue to work with our domestic
industrial customers as they create and execute their emission
reduction strategies over the next decade.
Record increase in net profits
Our FY23 results show an increase in our consolidated net profit
by 197 percent on last year’s results. And whilst export market
trends have undoubtedly supported this outstanding financial
result, the company’s overall success continues to be supported by
strong operational performance, at times in extremely challenging
conditions, most notably the significant operational delays
caused by poor weather, increased costs, tight labour market and
workforce COVID absenteeism. We have carefully managed our
costs during an environment of increasing inflationary pressures.
The communities near the sites experience the most direct social,
environmental and economic impacts of the business and we
aim to hire local residents first to provide individual economic
livelihoods locally. By providing competitive wages and benefits,
completing local procurement where possible, contributing taxes
and royalties, and investing in community programmes and
infrastructure, we work hard to support our local communities. We
aim to deliver prosperity and benefits to the communities in which
we operate through investment, community development and
capacity building.
Reporting 100 percent of Bathurst and BT Mining, the economic
value generated and retained over the last four financial years were:
Economic value
Generated
Coal sales, realised hedging, and other revenue
Disbursed
Wages and salaries paid to employees
Taxes, royalties, and fees to government
Local procurement of goods and services
Capital purchases including leases
Support of local community initiatives
Other metrics
28 Bathurst Resources Limited Annual Report 2023
FY23
$m
557.4
77.7
67.4
216.0
25.7
0.6
170.4
FY22
$m
417.1
66.9
37.7
208.8
20.1
0.2
83.6
FY21
$m
287.5
63.5
12.3
153.5
0.5
0.5
44.8
FY20
$m
322.1
65.8
18.4
180.1
0.2
0.2
35.4
MATERIAL TOPIC
Local communities
This year we stepped up engagement with iwi and our
stakeholders by reviewing our planning and reporting on
this core part of our business.
Moving out of the COVID pandemic era, we conducted an internal
audit of stakeholder engagement plans and related activities
across sites, including our corporate office in Wellington. The
preliminary results show that overall, our people have good
relationships with iwi and local stakeholders. They include
regulators, landowners, and neighbours, and we keep them up to
date and involved as needed, especially on new projects.
The audit also found centres of excellence across sites on different
aspects of stakeholder and iwi engagement, an opportunity to
pool people’s expertise and raise our standards. The open day at
the Takitimu mine (refer to case study on page 32) is one example;
another is our developing relationships with Waikato iwi groups to
explore partnerships on iwi projects. In FY24, we intend to become
more proactive and relationship focussed in our engagement, to
further strengthen our licence to operate around the country. This
work dovetails with our growth projects in the Waikato, Buller, and
Southland regions.
Playing our part in communities
Bathurst have sponsored community events across a range of
activities including health, education, recreation, community
planting and arts/culture.
$450,000 was provided to the Buller Resilience Trust in FY23
to grow a strong, sustainable, and cohesive community within
the Buller district. One key project sponsored by the Buller
Resilience Trust was in relation to flood protection monitoring and
management system for the town of Westport.
We have continued our support to the local rescue helicopter
service. The Christchurch Westpac Rescue Helicopter and the ROA
Mining Rescue Helicopter based in Greymouth are on standby
24 hours a day, 365 days of the year. A third, backup helicopter is
also available in Christchurch. These two bases cover the region
from Kaikoura down to Waitaki and, from Karamea to Haast on the
West Coast and service an area of 600,000 people. The Rescue
Helicopter Crew (consisting of a pilot, a crewman, and intensive
care paramedic) is ready to deliver life-saving aid using the best
training and technology.
Other sponsorships include:
• Stockton mine has sponsored St John HeartStart batteries
and SMART pads and assisted with logistics for St John cadet
training;
• Life Education Trust, West Coast were provided annual
operational sponsorship and logistical support to run the Lego
Event-West Coast Brick Show;
• A range of sports have been sponsored in local communities
across our sites including rugby league, rugby union,
basketball, cricket, netball, squash, golf, and fishing. We
supported the inaugural Rāhui Pōkeka Māori golf open;
• Community indigenous planting events were supplied plants
from Bathurst nursery and Stockton mine staff assisted in
planting areas of the Te Huarahi Takutai o Kawatiri - Kawatiri
Coastal Trail;
• High visibility safety vests for the Takitimu primary school;
• The Creation Wearable Arts Show and the Buller Arts Weekend
was sponsored on the West Coast; and
• Historic excavator bucket and winch were donated from
Canterbury mine to the Glentunnel Museum.
Mine operations see resurgence of visitors
Post pandemic, we have seen a resurgence of interest in
visiting our operations, on the part of media, regulators, iwi
representatives, local residents, politicians, schools and the
general public. This provides a firsthand appreciation of mining,
alongside site rehabilitation and other environmental management,
the diversity of careers in our industry, as well as the benefits our
products provide to New Zealand and overseas.
We have continued to provide support for Westport based Outwest
Tours who provide mine tours of the Stockton mine. Visitors get
to see mining operations and equipment up close and take in our
environmental management programmes including areas of land
rehabilitation.
We hosted an open day at Takitimu mine during the year and
over 1,500 members of the community attended. We provided
mine tours and information on rehabilitation and mine operations.
We donated indigenous plants from our nursery as part of
the information sharing on our rehabilitation methods. (See A
community open day to remember Case Study on page 32).
Section 1: Year in review 29
Supporting the industry
We are members of a broad range of industry associations and
groups, allowing us to contribute in a coordinated way to the
development of effective policy frameworks, share best practice
and access information and insights on our sector’s challenges and
opportunities.
This year, we continued our support of the New Zealand mineral
industry. Events included the Minerals West Coast forum held in
Westport in May. As the chair of this charitable trust, our CEO
Richard Tacon has been taking an active interest in mineral-related
policy and other advocacy, as well as being a board member of
mining industry peak body, Straterra.
Our people are also represented on the:
• New Zealand Mines Rescue Service;
• MinEx (the national health and safety council for New Zealand’s
extractives sector);
• New Zealand Mining Board of Examiners;
• New Zealand Mining Panel of Examiners; and
• Hanga Aro Rau Workplace Development Council Extractives
National Industry Advisory Group.
We continue to be very much part of the extractives scene within
New Zealand.
30 Bathurst Resources Limited Annual Report 2023
Section 1: Year in review 31
CASE STUDY
A community open
day to remember
We opened our doors to the Takitimu mine, and 1,500 people came to learn about
our operations and view our site rehabilitation
There was face painting, a colouring-in competition, lolly
scrambles, mini-jeeps to drive, sumo suits for a wrestle, and two
bouncy castles. The Southland Otago Axemen exhibited wood
chopping, sponsored by Nightcaps Contracting. A local band
played all afternoon creating a relaxing atmosphere. St John
Ambulance demonstrated first aid and showed how a defibrillator
works. The rugby club ran a sausage sizzle to raise funds for the
Nightcaps Fire Brigade, Total Energies sponsored a coffee cart,
and Porter Group supplied Mr Whippy ice cream. A Southland icon,
‘Uncles’ food truck also joined in showcasing examples of tasty
Southland blue cod.
A coal-shovelling competition had male and female winners
shifting 60 litres of coal in just over a minute and taking home $150
petrol vouchers donated by McKeown for their efforts. Giveaways
and prizes throughout the day included company merchandise,
toolkits, a family pass to the Bill Richardson Museum and a
barbecue, all donated by Takitimu mine suppliers.
We installed temporary fences and barricades to channel the
public on foot and for car parking to create a safe environment for
crowds. On the day, the 50-strong Takitimu mine team pitched in
with enthusiasm to help. The community reaction spoke for itself,
with applause at the end of each mine tour and overwhelming
positive feedback received on the day and in the weeks following.
Thank you
To our sponsors: Hydraulink, JESCO, Komatsu, McKeown Group,
Nightcaps Contracting, Porter Group, Terra Cat, Total Energies,
TSL New Zealand, Western Electrical, AJ Autos, McGregor
Concrete, WesTrac, and TWL.
To the manager of Minerals West Coast, Patrick Phelps who did an
amazing job as MC, chief lolly scrambler and all-round entertainer
for the day. And special thanks to our Takitimu mine whānau -
everyone was on board, busy all day, creating a buzz all day long.
Scan the QR code to watch
a video from our community open day
or visit: rb.gy/2qg2d
Southlanders and people from further afield turned out in
great numbers to visit our mine operations and enjoy family
entertainment, held at the Ohai-Nightcaps Rugby grounds
adjoining the Takitimu mine.
Our goal was to host at least 1,000 visitors, and on the day that
started as wet and rainy many more came. Mine tours started with
three 18-seater buses and several vans, and we added an extra
23-seater bus on the day to meet demand. Our schedule expanded
from a planned 630 visitors to 850 throughout the day, a mark of
success in Bathurst earning and retaining social licence to operate
in the Nightcaps community.
Guides took people on a circuit through the mine, stopping at
points of interest. They included a view of the former Takitimu pit,
now returned into productive farmland; billboards showing before-
and-after photos told the story of landscape change. The tour took
in areas rehabilitated with indigenous vegetation, including two
naturally low-lying areas enhanced with wetland plantings. The
last stop overlooked the current mining area where a 200-tonne
excavator loaded 100-tonne dump trucks, with another billboard
providing specifications of the mine machinery on site.
The effort pays off
A lot of planning and work goes into running an event of this scale.
The intention was to create a family fun day out at a low cost for
attendees, advertised on radio, local newspapers, and with flyers
and posters throughout Southland.
We installed six information booths on the rugby field. The
mechanical workshop had a Komatsu HM400 engine on display;
the environmental team offered free native plants and discussed
our environment monitoring programmes; the health and
safety booth displayed Emergency Response Team equipment
and fitness for work programmes; and the geology and mine
engineering team showcased various rocks, mine planning
processes and mine survey equipment. The planning team talked
people through the importance of integrating mine closure as part
of existing mining operations. A further tent had company-wide
information and Bathurst give-aways, including bucket hats, caps
and potato peelers.
Our suppliers and sponsors also turned up in force. Komatsu made
two mini-diggers available for children to try out in a sand pit at
the rugby club, with material donated by McGregor Concrete.
32 Bathurst Resources Limited Annual Report 2023
Section 1: Year in review 33
MATERIAL TOPIC
Environmental
Energy and emissions
We recognise that while our products are critical to a
low-carbon future and a just transition, how we operate
also has impact. We present our emissions data below.
Energy saving projects
We are continually searching to use energy more efficiently in our
operations and are improving our measurement and reporting of
energy efficiency. As with previous years, energy consumption
continues to be one of our largest operational inputs and is an area
in which we continue to actively seek reductions.
In FY23, we have successfully assisted a local calcium oxide (CaO)
supplier switch from using coal to using wood waste for producing
CaO. The plant is ramping up to supply 4,000 tonnes of CaO
which by using wood waste will reduce the CaO equivalent (CO2e)
emissions by approximately 2,500 tonnes of CO2e annually. CaO
is used to treat acid mine drainage at the Stockton mine water
treatment plants, resulting in improvements in downstream water
quality and sustaining aquatic ecology.
Continued use of Esso Diesel EfficientTM fuel, has resulted in
approximately 434,100 litres less diesel use, compared with
standard diesel for FY23, and a corresponding reduction of CO2e
emissions by 1,176 tonnes.
Fuel usage associated with the transfer of provenance seed and
cutting material from Stockton mine to a third-party nursery in
Christchurch, and the return journey of nursery seedlings back
across the Southern Alps will be cut back by 50 percent over
the next 2 years with the expansion of the local company Buller
nursery in Westport. This will result in the growing of 50 percent
of the Stockton seedling quantum locally. Fuel savings are set to
increase in the coming years as the proportion of locally grown
nursery seedlings is planned to increase further. Over 4 million
indigenous nursery plants are required for the Stockton mine
life-of-mine rehabilitation.
Energy use
Total energy use1 amounted to 766,692 gigajoules (GJ) at our
four operational sites, the Cascade mine rehabilitation project,
Escarpment mine maintenance project, and corporate offices. This is
an approximate 3 percent decrease on energy use reported in FY22.
1. Total energy use is reported in terms of energy consumed (fuel and electricity)
by employees and contractors
34 Bathurst Resources Limited Annual Report 2023
The decrease was primarily driven by a 5 percent reduction in
waste rock removal (overburden stripping) across all sites, which
dominates energy consumption. The primary driver was a reduced
overburden disturbance volume at the Rotowaro mine as it moves
into the mature end of its current operational pit. In total, 11.15
million banked cubic metres (M bcm) of waste rock were stripped
in FY23 compared with 11.73 M bcm in FY22.
Ninety three percent of the energy consumed includes fuel and
lubricants used for operations. The remaining 7 percent of energy
consumed was purchased electricity.
When comparing energy consumption by operation, there
are significant differences accounted for by the scale of each
operation and the mine life cycle stage. The Stockton mine was
the largest consumer of energy this year at 391,675 GJ, which is
consistent with producing and washing the most coal of the four
sites, and reflects the electricity used in the coal handling and
preparation plant, and the Ngakawau coal loadout facility. The
Rotowaro mine was the second largest energy consumer at 219,571
GJ, reflecting the movement of 3.78 M bcm of waste rock during
the year.
Comparison of energy consumption by operation FY23
The below graph excludes care and maintenance of Sullivan mine where consumption was zero.
FUEL
ELECTRICITY
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450,000
400,000
350,000
300,000
250,000
200,000
150,000
100,000
50,000
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MATERIAL TOPIC
With a strong demand for steelmaking coal and a transitional
demand for industrial-process coal in New Zealand, we highlight
the emission reduction benefits for our domestic customers
in buying local coal close to market. In FY23, we were granted
consents to mine approximately 1.3 million tonnes of coal from the
Waipuna West Extension pit at Rotowaro mine. We have estimated
that with the majority of this local coal replacing imported coal
from Indonesia (to be used in steelmaking), CO2e emissions would
reduce by over 40,000 tonnes over the life of the project.
Our emissions footprint comes from three components. We
currently rely on diesel fuel to extract and transport coal by road or
rail to customers. Electricity is required for coal processing, water
treatment plants and mine management systems. Additionally, our
coal seams produce small amounts of fugitive emissions (e.g., CO2)
which are released into the atmosphere during mining activities.
These are accounted for in the production tonnages under the
Scope 1 emissions category. We report our GHG emissions with
reference to their source as follows:
Greenhouse gas emissions
We are pursuing decarbonisation efforts aiming to optimise
existing energy use and finding new energy savings projects,
strengthening emission data collection, reporting, risk assessment
and future projections.
The majority of electricity consumed at our sites is generated
from renewable energy sources. New Zealand is fortunate to have
a low-emissions power system, with over 80 percent of electricity
coming from renewable sources. Whilst we target finding
electricity reductions, we see reducing fuel related emissions as
the biggest opportunity to reducing our energy consumption
related emissions. For example, planned expansions of three of
our existing operations have factored in minimising truck haul
distances into the mine plans wherever possible.
We also measure greenhouse gas (GHG) emissions and participate
in the New Zealand Emissions Trading Scheme (ETS) in which we
pass on carbon pricing to our customers. We are participating in
the Government’s 2023 review of the ETS which aims to provide
more robust support for emission reductions alongside enduring
support for emissions removal. Our position continues to request
a framework that provides a just transition absent of any sudden
market shocks. This is to enable our process heat customers to not
have any unplanned impacts to the sustainability of their business,
minimising negative monetary and societal effects on their raw
producers, employees, and host communities.
Site
Stockton
Rotowaro
Maramarua
Canterbury
Takitimu
Escarpment/Cascade
Corporate
Total
FY23 Scope 1
emissions (t/CO2e)
FY22 Scope 1
emissions (t/CO2e)
FY23 Scope 2
emissions (t/CO2e)
FY22 Scope 2
emissions (t/CO2e)
48,734
22,634
9,943
10
9,829
32
15
47,843
26,777
10,136
1,136
10,042
29
15
703
300
133
0
24
0
6
1,127
1,065
50
0
22
0
8
91,197
95,978
1,166
2,272
The above table excludes care and maintenance of Sullivan mine where consumption was zero.
Scope 1 includes emissions from fuel, and fugitive emissions from coal; Scope 2 are emissions related to national grid electricity usage. The emissions are calculated following the procedures in Ministry for the
Environment (July 2023) report titled “Measuring emissions: A guide for organisations”.
Section 1: Year in review 35
MATERIAL TOPIC
Our reporting of Scope 1 and 2 emissions is consistent with Global
Reporting Initiative (GRI) guidelines. In accordance with GRI, we
have reported carbon dioxide in our GHG emissions calculations as
CO2e. We accounted for gas emissions from electrical transformers
and use of explosives. Our improved mine planning has minimised
the amount of overburden requiring blasting and optimised the
amount of ammonium nitrate used to minimise GHG emissions.
Total Scope 1 and 2 emissions for FY23 were 92,363 tonnes of
CO2e, of which:
• 43.7 percent related to fugitive emissions from coal production;
• 2 percent related to electricity use; and
• 54.3 percent related to fuel consumption and blast emissions.
The above reflects approximately 6 percent less emissions than
that for FY22. This is due to 5 percent less waste rock removal, and
decreased CO2e from fugitive emissions as 11.4 percent less coal
was produced.
In FY23, the highest GHG emissions intensity was at the Rotowaro
mine, with 0.06 CO2e per tonne of coal produced. This is due to the
coal production being 25 percent lower at Rotowaro mine in FY23
than FY22 due to large weather events.
Overall, total GHG emissions intensity across all operations was
6 percent greater than the prior year, at 0.05 tonnes CO2e per
tonne of coal produced. As remaining coal becomes more difficult
to access with higher overburden stripping ratios at our mature
mines, minimising diesel emission rates where practicable is a key
driver for the mine planning teams.
CHG emissions intensity
Note that the Canterbury mine is not displayed above as it was in closure phase in FY23 and FY22
FY23
FY22
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0.07
0.06
0.05
0.04
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36 Bathurst Resources Limited Annual Report 2023
Overburden management
A key focus when developing mine plans to is to create
stable rehabilitated landforms. This includes focus on
implementing controls such as characterising mineral
wastes, and managing technical placement to limit
environmental effects and minimise closure costs.
In FY23, the only mine site that disturbed potentially acid forming
(PAF) waste rock was Stockton. PAF waste rock disturbances
increased by 24.3 percent compared with FY23, due to increased
stripping volumes at the Stockton mine due to higher overburden
to coal ratios. Total waste rock disturbance across all sites was
0.58 M bcm less than the previous year.
The total amount of waste rock per tonne of saleable coal across
all sites was 6.1 bcm per tonne, similar to FY22, which is a credit
to optimal mine planning and coal winning in mature mines where
remaining coal is harder to extract and has higher stripping ratios.
Waste rock (bcm) disturbed in FY23
*PAF = Potential Acid Forming waste rock; NAF = Non-Acid Forming waste rock
PAF
NAF
6m
4m
2m
0m
)
m
c
b
(
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t
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s
a
W
Stockton
Rotowaro
Maramarua
Takitimu
4,883,468
0
0
0
112,620
3,776,708
1,359,088
1,019,959
At the Stockton mine, improved acid mine drainage management
practices saw the amount of calcium oxide used to neutralise acid
mine drainage decrease by 10 percent from FY22. This includes
changes to waste rock placement methods and compaction
techniques to reduce water and oxygen ingress into waste rock
and lime addition to reduce acid production. Our two active dosing
plants at Stockton successfully treated more than 6,500 tonnes of
acid during the year in the Mangatini and St Patrick catchments.
Acid contributions come from existing open mining operations
and from historic areas mined by the Crown, (the latter which we
partner with Te Tai Ōhanga New Zealand Treasury to treat on
behalf of the Crown).
The engineered mussel shell reactors at Stockton, Escarpment
and Canterbury continue to treat acid mine drainage effectively in
remote stream sites and ensure downstream water quality sustains
and supports ecological life.
MATERIAL TOPIC
Land use and biodiversity
We implement considered management strategies and
actions when identifying and managing any potential
biodiversity impacts that our operations may have on
sensitive species, habitats and ecosystems. We actively
manage our land holdings over the life of our operations
to control invasive flora and fauna species, restoring
degraded ecosystems, translocating endangered plants
and supporting the breeding requirements of vulnerable
animals.
Our objective is to rehabilitate mine sites to ensure self-sustaining
indigenous ecoystems are established or re-established. In
situations where the landowner’s post-mining land use preference
is pasture, we focus on enhancing the chemical, physical and
biological aspects of the soil before carefully selecting climate-
adapted pasture species. Rehabilitated pasture is monitored
to evaluate livestock grazing at a reasonable and commercial
stocking rate with regular reviews of soil changes and pasture
species mixes.
In FY23, we planted over 126,000 indigenous plants at Stockton
and Cascade, which were propogated from seeds and cuttings
collected at our sites. At the Stockton mine, we plant at a density
of 9,000 plants per hectare. The conservation of biodiversity is
embedded at Stockton, with environmental management plans and
search and relocation protocols for kiwi, lizards and carnivorous
snail species.
At the Maramarua mine in FY23, we cleared the weed Pampas
grass (Cortaderia selloana) from a 1,200 metre drainage
channel that enters the Mangatangi River and riparian planted
approximately 3,000 native plants and fenced the area from
livestock. Over 50 percent of the plants are Kãnuka and Mãnuka
plants and these will aid the water quality discharge to the
Mangatangi River as these plants will assist in reducing the runoff
of nitrate and pathogens such as E. coli.
We have also identified three natural wetlands in farmland at
the M1 area of the Maramarua mine and have fenced off these
wetlands from stock to protect the water quality and ecology
including tuna (freshwater eels).
At the Stockton mine, we have successfully used a drone
(unmanned aerial vehicle) to hydroseed an indigenous seed,
compost and fertiliser mix on over a hectare of Cypress pit
highwall. Using a drone allows us to rehabilitate difficult to reach
disturbed ground and target areas for rehabilitation and minimises
the safety risk of rehabilitation staff working at height.
Below: Hydroseed drone being carried at the Cypress pit
Section 1: Year in review 37
Red tussock being relocated back to Cypress mine by vegetation direct transfer
We have been attempting to re-establish tarns similar to natural
tarns that exist on the Stockton plateau. Tarns are small mountain
ponds that are rainfall fed with no tributaries. We have initiated
research trials to examine the water quality and flora and fauna
in the artificially constructed tarns. These include artificially
constructed tarns at SN05, Sandstone Pavement Trial, NASA and
SN08 ponds.
Total net land disturbance over all sites decreased by 8 hectares
(ha). The Stockton mine accounts for 56 percent of the total
company-wide disturbed area of 1,531 ha. A disused historic
mine site called Smiths open cast that Bathurst inherited on the
Rotowaro coal mining licence was successfully rehabilitated in
FY23 with 1.4 hectares being planted with 4,200 indigenous plants
and drainage control completed.
In FY23, 5,500 m2 worth of stored vegetation direct transfer (VDT)
has been returned to Strip 0 at the Cypress mining area, as part
of final landform. The vegetation transferred was from the red
tussock wetland ecological community. VDT is a rehabilitation
technique which involves transferring intact vegetation and sub
soil to another site, resulting in immediate cover. This VDT was
recovered from the footprint of the Cypress pit’s engineered
landform expansion area and is the first VDT to be transferred
back to Cypress final landform as part of our consent obligations.
There is immediate success in returning intact vegetation to
the mined area. Over 10 hectares of stored red tussock will be
transferred as part of the Cypress mine area rehabilitation plan.
Our Buller nursery this year has successfully grown over 30,000
plants for use in rehabilitation at our Cascade, Stockton, and
Canterbury sites. We were also delighted to supply 20,000 plants
and our nursery personnel to assist with the planting of native
trails in the Buller Region including Te Huarahi Takutai o Kawatiri -
Kawatiri Coastal Trail (a 42 km family-friendly cycling and walking
heritage trail). The Buller nursery also provided 1,000 plants
for the April Takitimu Open Day which were given away to local
community attendees.
Site
Stockton
Rotowaro
Maramarua
Canterbury
Takitimu
Escarpment/Cascade
Huntly West*
Total
Rehabilitation budget FY24 (ha)
22
27
5
0
20
1
8
83
*Huntly West is a historic mine area that is connected to Rotowaro mine and used as a coal load out.
38 Bathurst Resources Limited Annual Report 2023
MATERIAL TOPIC
Land disturbed and rehabilitated
Note no rehabilitation was undertaken at the Escarpment or Sullivan mines as they are in care-and-maintenance.
Disturbed land remaining to be rehabilitated
Land rehabilitated in FY23
)
s
e
r
a
t
c
e
h
(
s
u
t
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s
d
n
a
L
900
800
700
600
500
400
300
200
100
0
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We purchased the government-owned Solid Energy mine sites of
Stockton, Rotowaro and Maramarua in 2017. There were significant
large areas of disturbed land to rehabilitate. We have Crown
indemnities to cover the cost of rehabilitation that relates to land
disturbed pre-acquisition. We acknowledge that this rehabilitation
needs to be progressive and integrated with our current operations
to provide a cost-effective programme. In FY23, 23 hectares
were rehabilitated across ex-government mined areas, and the
46 hectares of rehabilitation across all sites reduced the overall
disturbed footprint to 1,531 hectares. Next year, over 80 hectares
are targeted for rehabilitation and the average annual rehabilitation
will increase to over 150 hectares a year in the next 5 years as
larger areas are available to commence closure.
Section 1: Year in review 39
MATERIAL TOPIC
Water management
We are committed to contribute to initiatives promoting
better water use during our mining and extraction
processes and by our site-based people. Our water
balance models use site-specific water inputs and
outputs to inform our management of water-related
risks, seeking to minimise the impact to other water
users and the environment.
All our mine site discharges have specific conditions under
discharge consents to protect onsite and offsite aquatic ecology.
No downstream water sources have been adversely impacted by
water use at our sites in FY23.
Overall water use was 1,036 million litres (ML). This is a decrease of
13 percent in water use compared with the prior year. A significant
proportion of this decrease stems from a 10 percent reduction
in coal washing through the Stockton and Rotowaro mine coal
washery plants. In addition, FY23 was a wetter year than FY22 at
the Waikato based operations and hence less dust suppression
water was used.
Water use intensity
Based on estimates of consumption, water use intensity (measured
as litres of water used per tonne of coal (l/t) produced) is shown
below. Sites that were actively winning coal in FY23 used between
175 to 751 litres of water to produce a tonne of saleable coal.
Average water usage across all sites to produce a tonne of coal
decreased by approximately 2 percent, from 574 l/t in FY22 to
565 l/t in FY23. As outlined above in the water management
section, this lower water intensity primarily reflects reduced water
usage at the Stockton and Rotowaro coal washeries, and less dust
suppression via water carts and sprinklers during a wetter year.
Stockton has the highest intensity of water use (751 l/t coal),
reflecting the intensive use of the coal washery washing low
coal volumes and the use of water at the water treatment plants,
accounting for 88 percent of the site’s water usage. It is noted
that we treat the coal washery water for acid and sediment load to
consent conditions, and then return it to the Mangatini Stream.
A review of aquatic ecology monitoring and eDNA data (see eDNA
Case Study on page 42) has noted that Rapid Stream on the
Denniston plateau is naturally recovering from impacts of historic
acid mine drainage from Sullivan underground mine which closed in
1993. The stream has recovered to sustain native fish life including
kōura (freshwater crayfish) and tuna (freshwater eels).
Operational Site
FY23
Consumptive
water use (ML/yr)
FY22
Consumptive
Water use (ML/yr)
Water use intensity by mine site
FY23
FY22
Stockton
Rotowaro
Maramarua
Canterbury
Takitimu
Escarpment/Cascade
Sullivan
Corporate
Total
782
162
36
7
47
0
0
2
871
235
39
7
37
0
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40 Bathurst Resources Limited Annual Report 2023
Section 1: Year in review 41
CASE STUDY
eDNA results show healthy
streams, West Coast
How good is the ecological health of streams draining the Stockton and
Dennison plateaus? This year, we brought in environmental DNA monitoring (eDNA)
to find the answer.
From April to June 2023, we sampled DNA in water from 18
streams and rivers flowing into the Ngakawau and Waimangaroa
Rivers and sent them to Wilderlab NZ Ltd for analysis. The
Wellington-based testing laboratory created lists of the species
present upstream of where we took water samples. For each site,
a “wheel of life” (see opposite) scored each waterway for
in-stream health.
The results are astonishing: eDNA reveals a diversity of life in and
around the Stockton and Denniston mine sites that we have not
fully appreciated to date. These include kōura /freshwater crayfish,
brown mudfish, kōaro, inanga, banded kōkopu and longfinned eel/
tuna amongst others.
The species assemblages tell a story of improving freshwater
quality in areas of historic acid mine drainage (AMD) and highlight
Top: Banded kōkopu. Bottom: Climbing galaxias (kōaro).
42 Bathurst Resources Limited Annual Report 2023
variations from site to site. Results show the spectacular recovery
of Rapid Creek where it crosses State Highway 67 in farmland. This
site contains historic mine-impacted discharges from the Sullivan
underground mine on the Denniston plateau, and shows the
presence of three key whitebait species and the longfin eel (tuna),
(which occurs only in New Zealand and is classified as ‘at risk –
declining’). This was an unexpected, nonetheless, encouraging
surprise.
eDNA monitoring works by syringing 20 water samples of 50
millilitres each from one site and passing them through a DNA
filter. The samples are then couriered to the testing laboratory for
analysis. The relative abundance of different classes of biota such
as fish, insects, snails, worms, algae and diatoms create a ‘wheel of
life’ visual display for each stream sampled. In addition, the lab can
generate a Taxon Independent Community Index, or TICI number
for each site.
At this stage, the TICI index is an experimental tool, on which
Wilderlab presented to the Australasian eDNA conference in
Hobart, Tasmania, in February 2023. To date, eDNA is showing
promise for representing the ecological health of waterways, and
several councils around New Zealand have started using it and
making this data publicly available on the Wilderlab website, which
now has recorded 1,878 eDNA samples.
An added benefit is the ability to record the in-stream health at
upstream, mountainous sites that are otherwise inaccessible. That
is because sampling flowing water includes upstream DNA in its
capture.
Inspiring the Stockton and Dennison study was preliminary
eDNA work for streams close to the Canterbury mine. This was
to determine the preferred habitat for the critically endangered
kōwaro/Canterbury mudfish, the subject of a case study in our
FY20 annual report.
Wilderlab has provided us with the confidence to continue using
eDNA monitoring. An immediate application is to aid ecological
baseline studies for resource consenting of a proposed new
sump at the Stockton mine’s Millerton pit. We will measure the
effectiveness of this sump to capture and treat historic and recent
AMD by monitoring the return of stream health.
Wheel of life
Species diversity at Rapid Creek (source: Wilderlab NZ Ltd)
Sampling using eDNA in conjunction with current ecological and
water quality monitoring practices will further add to the story of
ongoing improvements to the Ngakawau River which started over
a decade ago. For the local community, any additional data sources
to confirm the continued return of whitebait is a much-desired
outcome.
As another example, Cypress mine is progressively moving from
north to south, straddling catchments. Currently, all mine-impacted
water is directed northwards into the St Patrick catchment where
a new calcium oxide dosing plant and associated infrastructure
treats it. No mine affected water is to enter the Waimangaroa
catchment; thus, understanding the baseline freshwater
environment will inform appropriate water management controls
and their effectiveness.
eDNA monitoring is shaping up to be a tool of choice for measuring,
understanding and reporting annually on freshwater management.
eDNA sampling at S14b (Mangatini Stream) within the Stockton mine site
Section 1: Year in review 43
•
CASE STUDY
Mangakotukutuku Stream
diversion project
In September 2023 we celebrated the completion and opening of the
Mangakotukutuku Stream diversion project at the Rotowaro mine. This has been
major project which started in 2020 and involved relocating the stream as part of
the Waipuna West pit development and to enable the completion of planned mining
in the Waipuna West pit. The relocated stream is 1,400m in length and sits on a fill
embankment that has a maximum height of 40m.
Ecological and environmental matters
With any project of this nature careful considerations are given
to the environmental effects. Prior to the commencement of
construction, ecological and hydrological assessments of the
existing stream were undertaken with the assessments used to
design the project which included an ecological management plan
and a fish management plan.
The fish management plan included isolating the existing 1,525m
stream reach that was planned to be disturbed and undertaking
six days of fish netting, trapping and relocation, and releasing
them to an areas of the Mangakotukutuku stream that will remain
undisturbed. Indigenous species including banded kōkopu, giant
kōkopu, Cran’s bully, common bully and longfin and shortfin
eels (tuna) were rescued and translocated to safe reaches.
Non-indigenous pest species including mosquito fish and carp
that were captured were humanely euthanised. Further fishing was
completed once the new relocated stream was opened, and the
water level started decreasing in the existing stream bed.
Local community engagement
Critical to the success of the project was our longstanding
relationships and continued engagement and consultation with
local Iwi (Waikato-Tainui), the Waahi Whaanui Trust and the
Waikato Regional Council.
Both the ecological management plan and the fish management
plan were completed with the guidance and input from Waahi
Whaanui Trust and approved by council prior to construction.
As the project neared completion, active and constructive
communication with Waikato Regional Council representatives
enabled a smooth and streamlined process which allowed the
required final construction sign off approvals to be received in
timely manner.
An official opening ceremony was held on 27 September and we
were most appreciative to have mana whenua Waahi Whaanui
Trust representatives in attendance. A karakia (prayer) was
performed by Waahi Whaanui kaitiaki Sam Toka prior to the
stream opening and first flow of water down the relocated stream.
We would like to thank Waahi Whaanui Trust for their ongoing
kaitiakitanga (guardianship).
Project construction
Construction of the project consisted of two main elements – the
bulk earthworks of the embankment and the civils works on the
stream channels, stopbanks, culverts and eco-hydraulic features.
The embankment sits on coal floor and the bulk earthworks
involved extensive preparation of the coal floor for geotechnical
reasons, including removal of any existing unsuitable material,
44 Bathurst Resources Limited Annual Report 2023
•
benching (where floor was steeply dipping), and installation of a
network of subsoil drains.
The fill for the embankment was constructed from stripped
overburden and included competent fireclay material which was
specifically used is it is relatively free of carbonaceous material.
The construction of the embankment was highly integrated with
the Waipuna West mining planning and operations.
The civil works formed the main stream channel, a low flow
channel including a highly compacted clay liner and rock
for erosion protection, highly compacted stopbanks and a light
vehicle track. Special ecological considerations were made for
the inclusion of several different log features, pools and rock
weirs, and riffles for fish habitat and hydraulic reasons. Two main
culvert crossings were included to enable safe access for mining
equipment across the diversion. The inlets, outlets and slope
above the culverts are protected from erosion by rip rap rock.
The civil works also included soil placement, grassing
(hydroseeding), and plantings. Much of the diversion has coconut
matting placed over the hydroseeded soil for erosion protection to
enable grass strike following the opening of the relocated stream.
Monitoring and maintenance will continue and will include further
scheduled plantings.
The planting plan and species has been prepared after discussion
with Waahi Whaanui Trust and involves planting approximately
27,360 indigenous plants from 23 species over an area of 3.1
hectares along the stream bank, over a width of 20-30m.
Section 1: Year in review 45
MATERIAL TOPIC
Governance material topics
Compliance
Legal compliance informs the way we work in the mining
sector. We are continually focused on achieving positive
and compliant performance outcomes.
Compliance and governance links
We are proud to report no material compliance events relating to
environment, community or health and safety during the year.
Good governance is the collective responsibility of the Board
and all levels of management. Our Board is responsible for the
oversight of all sustainability matters, receiving regular updates
through board committees and during mine visits. Sustainability
material matters are operationally managed by our CEO, with
support of the Senior Leadership Team.
Our Senior Leadership Team monitors our HSEC performance
in line with the Company’s policies, standards and regulatory
requirements relating to health, safety, environment and community.
This forms the absolute minimum standard to which we operate.
Regulatory compliance supports a social licence
Regulatory compliance is essential to supporting our licence
to operate. We comply with relevant laws, regulations, and
authorisations as required during the various stages of project
development and operations. Permits, approvals and licence
compliance supports minimum requirements to ensure the
health and safety of our workforce and our communities, and the
protection of the environment.
A common framework applies across our operations aligned to
ISO 45001 and ISO 14001 to manage material risks, to support
compliance with external commitments, and deliver and maintain
competitive advantage.
In FY23, key aspects of our compliance management programme
to deliver on our social licence obligations included:
• Ensuring compliance with statutory guidelines;
• Completing a Privacy Act and Health Information Privacy
Code strategic review leading to an updated policy, plans and
training tools;
• Third-party audit of cybersecurity management practices
to complement already existing compulsory cybersecurity
awareness training;
• Provision of workforce training to increase or improve their
skills to mitigate risk and increase their understanding of their
individual compliance responsibilities;
• Refreshing our HSEC audit programme with independent
assessments of audit protocols;
• Auditing iwi and stakeholder engagement plans for seeking
progressive improvements.
Next year, on reflection of our FY23 stakeholder engagement audit,
we will continue to focus on improving our engagement practices.
Development of an incorporated HSEC framework is also planned
as well as other HSEC systems updates and reviews.
There were two reportable environment incidents this year.
One event was self-reported by Takitimu mine which pertained
to a small grass fire at the coal processing area created by
spontaneous combustion of coal. The second event occurred at
Cypress mine with a minor exceedance of dust during a very low
rainfall period/high wind event. Cypress has implemented real-time
surveillance and monitoring of the operation to ensure adequate
dust suppression during afternoon periods of anabatic winds.
Vigilance on material legislation changes
During FY23, there has been an array of proposed legislation
that has gone out for consultation or has been enacted. We keep
vigilant over such changes in legislation to understand which
pieces may affect our business and where new compliance
obligations may materialise. See below three example topics
where we have been completing compliance due diligence
activities this year.
• Proactive reporting and managing of hazards and incidents;
New and revised environment national policy statements
• Field leadership activities and updating the critical control
verification programme;
• Progressive rehabilitation of previously mined areas including
managing historical Crown-mined areas on behalf of the Crown;
Focusing on continuous improvement in management of water
quality and water efficiency;
This year, we again saw material changes made to the existing
National Policy Statement for Freshwater Management that affect
our sector. We are actively reviewing our site water management
activities and water requirements for planned extension projects in
light of these changes. An early FY24 release of a National Policy
Statement for Indigenous Biodiversity is planned. We will continue
to action and plan our activities for onsite and offsite biodiversity
gains such as our pest and predator control projects. Our offset
46 Bathurst Resources Limited Annual Report 2023
predator programme at the Oparara Bird Sanctuary (see
Environment Case Study 2019 Annual Report – Protecting Our
Native Birds), continues to provide opportunities for forest birds,
including kiwi, to thrive.
Getting ready for introduction of modern slavery legislation
Following on from public consultation during FY23, the New
Zealand Government is currently preparing modern slavery
legislation. Our company will be captured for mandatory reporting
within New Zealand as it is proposed that companies earning
more than $20 million a year in revenue will need to report how
they are tackling exploitation risks in their operations and supply
chains (Australia only requires mandatory reporting for companies
earning more than $100 million). In addition to already having
developed a modern slavery government policy, in FY24, we will
be delving into what further actions we need to complete to
assess and address modern slavery risks prior to new legislation
being enacted.
New dam safety regulations released
New Zealand was one of the few countries in the OECD that did
not have an operative dam safety framework. The Government
has introduced new regulations during FY23 that will be enacted
within 2024 with a further two-year transition period. In the
absence of NZ legislation up until now, we have already been
applying international good practice to our large dams. We
have commenced compliance preparations by engaging an
independent dam assurance consultant to review our current
water management structures to determine which structures may
fall under the new regulations.
Effective complaint handling
Community consultation is an important component of a mining
operation with community consultation required at the application
phase and throughout the life of a mineral permit. Effective
community consultation and cooperation is important to facilitate
knowledge about the mining operation within the local community.
With transparent knowledge, ongoing support for the mine from
local stakeholders may follow.
An integral part of being responsible operators is listening to our
stakeholders when we don’t get things quite right. Taking external
feedback seriously, and ensuring it is escalated to and managed
at the right levels, is critical if we want to maintain the support of
those around us.
Internal and external complaints on HSEC issues are recorded
via complaints registers maintained at all sites. All community
inquiries and community complaints are taken seriously and
investigated via our internal incident investigation system and are
only closed off by senior management when resolved. Audit close
outs undergo monthly internal corporate auditing.
MATERIAL TOPIC
During FY23, two community complaints were received. A dust
complaint was reported at our Takitimu mine from an individual
from the nearby Nightcaps village regarding settled dust on a
vehicle. The second complaint, at our Rotowaro mine, was blast
related by a neighbour located outside of a blast exclusion zone
who reported shaking of hanging objects at their house. No
permanent damage to people or infrastructure occurred from the
reasons behind these complaints.
We proactively manage risks that could create a community
complaint with identification and implementation of preventative
controls. We are aiming to extend critical control verification
processes from health and safety practice to include championing
effective environmental critical controls
Mine closure planning
At the end of life-of-mine, we manage the transition to
a former land use, or to a new or enhanced use, as per
resource consent conditions, and in consideration of the
local economic and social transition.
We apply a consistent approach to closure and progressive
rehabilitation planning across our New Zealand operations, with
coal geology and mining methods influencing our outcomes
in addition to post closure land use goals. Our internal
Decommissioning and Mine Closure Management Standard
has been used for the first time in the closure and post-closure
management of the Canterbury mine (see below).
We plan for closure during the life cycle of a mine, ensuring
allocation of adequate resources for closure activities to be
properly implemented, managed and monitored throughout the
active-closure and post-closure phases. The implementation of our
standard includes stakeholder engagement, minimising any legacy
impacts of mine closure, and workforce transition strategies. We
require our operating mines to hold conceptual mine closure plans
linked to the life-of-mine plan. We annually build allowances into
our closure plans where there is scope to progressively rehabilitate
areas no longer required for operational purposes, as well as
undertaking trials and closure studies.
Progress reports on implementation and compliance with ongoing
rehabilitation commitments are submitted to regulatory authorities
annually. Every year, we engage an internationally recognised mine
bond assessor to prepare bond reviews for our operating and care-
and-maintenance sites. These reviews detail activities and costs to
rehabilitate sites in the event of sudden closure, and are subject to
regulatory review and approval.
Our three BT Mining joint venture mines have an historical Crown
liability associated with them, managed with the New Zealand
Treasury - Te Tai Ōhanga.
Section 1: Year in review 47
Canterbury mine rehabilitation.
Within our Bathurst standard, closure plans move from conceptual
to pre-feasibility level once a mine has 5 years’ life-of-mine
remaining. Closure pre-feasibility level studies will commence
in FY24 for the Rotowaro mine which, when complete, will allow
an evaluation of all credible closure scenarios to select the best
option(s), in consultation with the landowners, the community
and other external stakeholders. These studies will bring us
more definitive information to support closure planning and cost
estimation, as well as informing community and government
stakeholder discussions.
Canterbury mine transitioning to post closure phase
During the year, final rehabilitation of the mine progressed with
equipment operators completing rehabilitation earthworks in
January 2023. Post completion of all rehabilitation earthworks,
identification of, and planning for required maintenance obligations
and ongoing monitoring activities have been occurring. Continuing
discussions around clarification of mine closure conditions and
parameters, reduced our plantings to approximately only 800
eco-sourced seedlings from our Westport based nursery during
the year. In preparation for anticipated scaling up of closure
planting and wetland restoration in the upcoming year, we have
over 30,000 seedlings currently growing in our nursery, and
have also committed to providing more than 8,000 seedlings to
neighbouring landowners during this period.
48 Bathurst Resources Limited Annual Report 2023
Emergency preparedness management
Bathurst’s operational sites systematically plan and
prepare for all foreseeable emergency events.
Potential emergency events are identified through our risk
management processes in consultation with relevant stakeholders
such as our workers, site emergency response teams, NZ Mines
Rescue and external emergency services. This information is used
in the development of site specific emergency response plans.
In addition, to ensure effective emergency response capability,
assessments are made to identify the appropriate equipment,
vehicles and facilities, and the skills required for our emergency
responders for each identified emergency event. This work
is relevant to our knowledge of our critical risk management
framework (see Critical Risk Management Case Study on page 26).
Our trained emergency response teams provide on-scene support
in the event of an emergency, containing the event to prevent
escalation and providing first response care. Each operational site
has multiple personnel trained to be Incident Management Team
members who take responsibility for the immediate response and
support the site recovery.
We test our emergency response capability through a series
of emergency exercises, including an all of site, emergency
exercise, at a minimum of once per year. These yearly exercises
are conducted in conjunction with NZ Mines Rescue and external
emergency services.
We are proud of our continued assistance and emergency
response support to local and central government emergency
response agencies such as West Coast Civil Defence Emergency
Management Group (See Community Case Study, 2022 Annual
Report – Westport Flooding Event).
Our people
1.
3.
5.
7.
Board members
1. Peter Westerhuis
Non-Executive Chairman
2. Richard Tacon
Executive Director & Chief
Executive Officer
3. Russell Middleton
Executive Director & Chief
Financial Officer
4. Francois Tumahai
Non-Executive Director
2.
4.
Senior leadership
5. Fiona Bartier
General Manager, Health, Safety,
Environment and Community
6.
6. Carmen Dunick
Group Manager, People and Culture
7. Ian Harvey
General Manager, Export Operations
8. Sam Johnstone
General Manager, Marketing
and Logistics
8.
9. Craig Pilcher
General Manager, Domestic Operations
10. Terry Moynihan
General Manager, Resource Development
9.
10.
More information
For more information about our
people visit: www.bathurst.co.nz/
our-company/our-people/
Section 1: Year in review 49
Governance
Our corporate governance statement issued in line with the ASX Corporate
Governance Council’s Corporate Governance Principles and Recommendations
(4th Edition) provides an in-depth overview of our corporate governance
framework and is available on our website at www.bathurst.co.nz/our-company/
corporate-governance/
Environmental regulation
Our exploration and mining activities are subject to a range
of environmental controls which govern how we carry out our
business. These are set out below.
Mine development/mining activities
Exploration activities
To carry out exploration, we need to hold:
• a relevant exploration permit (where the coal is Crown owned)
or consent from the mineral owner where the coal is privately
owned;
Mining activities are regulated by the following:
•
relevant resource consents to permit exploration; and
• Resource consents granted by the relevant district and
• access arrangements with the relevant landowner and occupier
and where wildlife is impacted, a wildlife authority.
To the best of the directors’ knowledge, all exploration activities
have been undertaken in compliance with the requirements of
the Resource Management Act 1991, Crown Minerals Act 1991,
Conservation Act 1987 and Wildlife Act 1953.
Hazardous substances
Mining activities involve the storage and use of hazardous
substances, including fuel. We must comply with the Hazardous
Substances and New Organisms Act 1996 and Health and Safety
at Work (Hazardous Substances) Regulations 2017 when handling
hazardous materials.
To the best of the directors’ knowledge, no instances of non-
compliance have been noted.
Emissions Trading Scheme
The New Zealand Emissions Trading Scheme came into effect
from 1 July 2010, which essentially makes us liable for greenhouse
gas emissions associated with the coal we mine and sell in New
Zealand and for the fugitive emissions of methane associated with
that mined coal. Liability is based on the type and quantity of coal
tonnes sold, with the cost of such being passed on to customers.
Our Emissions Trading Policy can be found on our website.
regional territorial authorities, after following the processes set
out in the Resource Management Act 1991.
• Mining licences granted originally under the Coal Mines Act
1979 and now regulated under the Crown Minerals Act 1991.
• Mining permits issued under the Crown Minerals Act 1991 by
the Minister of Energy and Resources, required to mine Crown
coal.
• Access arrangements or profit à prendre granted by owners of
private (i.e., non-Crown owned) coal.
• Access arrangements granted by relevant landowners and
occupiers granted under the Crown Minerals Act 1991.
For Crown-owned land managed by the Department of
Conservation, these access arrangements are granted either by
the Minister of Conservation or, for significant projects, jointly
by the Minister of Conservation and the Minister of Energy and
Resources.
• Concession agreements under the Conservation Act 1987
for land outside a permit area but owned by the Crown and
managed by the Department of Conservation.
• Wildlife authorities issued under the Wildlife Act 1953 granted
by the Minister of Conservation.
Controls around water and air discharges that result from mining
operations are governed by the conditions of the resource
consents that the particular mining operation is operating under.
Our mining operations are inspected on a regular basis.
To the best of the directors’ knowledge, all mining activities
have been undertaken in compliance with the requirements of
the Resource Management Act 1991, Crown Minerals Act 1991,
Conservation Act 1987 and Wildlife Act 1953.
50 Bathurst Resources Limited Annual Report 2023
Environmental and social risks
We recognise the importance of identifying and managing material
exposure to environmental and social risks to ensure the long-term
sustainability of our business.
As part of our commitment to transparency on these issues we
have selected 10 material topics that we believe represent the
greatest areas of environmental and social risk to us, as included in
the sustainability section of this annual report. These disclosures
are made on a voluntary basis, and primarily reflect the unique
complexities that arise from being a mining company. The topics
revolve around the importance of maintaining our licence to
operate, and fall into four key areas:
• Health and Safety: ensuring our people are safe.
• Socio-economic: ensuring we operate responsibly when it
comes to our shareholders, people, and the local communities
we operate in.
• Governance: ensuring we comply with regulations and achieve
best practice mine rehabilitation standards and emergency
preparedness plans.
• Environment: ensuring we are aware of our environmental
impacts and reduce these as much as possible.
The other material risk to the long-term outlook of our business
is the global move towards a low carbon emissions future. We
acknowledge that the production and consumption of coal
contributes to greenhouse gas emissions. We also understand
the conflict between emission reduction aspirations, and the
requirement for steel and energy to achieve global economic and
social development ambitions, and provide the infrastructure
needed for a lower carbon economy.
The greatest risk to the longevity of our current business model
sits within our domestic segment, which provides coal domestically
in New Zealand for steelmaking, electricity generation, and energy
processing heat purposes. New Zealand has a net zero emissions
by 2050 goal enshrined in law, and pressure is building to move to
a fully renewable source energy generation model. To mitigate our
risk of over-capitalisation in redundant assets that hold coal not
destined for steelmaking, we only commit to entering new mine
areas with binding commercial partnerships in place.
We view the risk of significant regulatory change and a decrease
in demand with regards to coal for steelmaking as less likely in the
medium term. We are increasingly focused on being a resource
company specialising in coal primarily for steelmaking, and other
resource commodities crucial to the global economy.
To the best of the directors’ knowledge, no instances of major
environment and community non-compliance have been noted.
Please see our sustainability section of this report for further
information on our environmental management and community
engagement practices.
Donations
Bathurst made donations totalling $29,045 to several local groups
during the year including scholarships. Further information of
recipients as well as total donations made, including those made
by joint venture BT Mining Limited, can be found within the socio-
economic part of the sustainability section of this annual report.
Directors’ and officers’ liability insurance
In accordance with section 162 of the Companies Act 1993 and
the constitution of Bathurst, Bathurst has provided insurance for,
and indemnities to, directors and officers of the Group and its
subsidiaries for losses from actions undertaken in the course of
their legitimate duties. The insurance includes indemnity costs and
expenses incurred to defend an action.
Directors
The following persons were directors of Bathurst as at 30 June
2023:
Peter Westerhuis
Non-Executive Chairman
Francois Tumahai
Non-Executive Director
Richard Tacon
Executive Director
Russell Middleton
Executive Director
Directors’ securities interests
Director
Ordinary shares
Performance rights
Peter Westerhuis
351,863
Francois Tumahai
-
Richard Tacon
1,600,302
Russell Middleton
1,252,830
77,905
-
882,753
665,248
Details of changes in performance rights refer to Note 18 of the Financial Statements.
Other current directorships of listed companies
Richard Tacon was appointed as a non-executive director of New
Tailsman Gold Mines Limited in September 2023.
No other directors hold current directorships in other listed
companies or have done so in the last 3 years.
Other entries in the interests register
During the year, other changes to the interest register were the
issue of performance rights to Peter Westerhuis, Richard Tacon
and Russell Middleton.
Audit fees
Other than as disclosed in Note 5, fees payable to Bathurst’s
independent external auditors for agreed upon procedures
services required under a Deed of Royalty total $4.5k plus
disbursements.
Section 1: Year in review 51
52 Bathurst Resources Limited Annual Report 2023
Remuneration report
Executive director and employee remuneration
The remuneration framework provides for a mix of fixed and
variable (short- and long-term) incentives. This gives the ability to
recognise individual achievements and results, attract and retain
high calibre people, and with the focus on the long-term, align with
shareholder’s interest of sustainable growth.
The framework has three components:
• Fixed remuneration, including the KiwiSaver superannuation
scheme.
• Short-term incentives.
• Long-term incentives.
Fixed remuneration
Bathurst offers competitive fixed remuneration that is based
on the responsibilities of the role, individual performance and
experience, and current market data.
External consultants are engaged to ensure the fixed remuneration
component for executive directors and SLT is set within market
benchmarks for a comparable role. The R&N committee reviews
executive director and SLT fixed remuneration periodically.
External benchmarking reports and labour market conditions are
used as a guide when setting salaries for all other employees. Fixed
remuneration on an individual basis is reviewed periodically, and
on promotion. Fixed remuneration on a collective basis is reviewed
annually by People and Culture, with increases in the consumer
price index used as a benchmark, with any recommended changes
submitted to the R&N committee for approval.
There are no guaranteed increases to fixed remuneration. Salaried
and waged staff were provided an increase to their base salaries
during the year as part of the annual remuneration review and
collective negotiations.
Role of the Remuneration and Nomination
Committee
The Remuneration and Nomination committee (R&N committee)
is a subcommittee of the Bathurst Board of Directors (Board). The
R&N committee is responsible for making recommendations to the
Board on remuneration matters such as non-executive director
(NED) fees, remuneration for executive directors and the senior
leadership team (SLT), and the over-arching remuneration policy.
All its members are NEDs.
The objective of the R&N committee is to ensure that Bathurst’s
remuneration policies are fair and competitive, and aligned with
the long-term interests of Bathurst and its shareholders. The R&N
committee draws on its own experience in remuneration matters
and seeks advice from independent remuneration consultants
where appropriate.
The corporate governance section of our website provides further
information on the role of the R&N committee.
There have been no material changes to the remuneration
framework during the year.
Remuneration philosophy
The objective of our remuneration framework is to ensure reward
for performance is competitive, appropriate, promotes retention
of employees, and aligns with Bathurst’s strategic objectives and
shareholder interests.
Non-executive director fees
Remuneration is paid to NEDs in the form of directors’ fees,
which cover the demands made on their time in their capacity
as director as well as member of any committees. Bathurst also
meets reasonable travel and other costs associated with NEDs
performing their role.
NED fees are reviewed periodically. Independent remuneration
consultants are used in this process to ensure impartiality in
setting NED fees, and to ensure fees are in line with market
expectations for an Australian Stock Exchange listed company of
a similar size and complexity.
A NED remuneration review was undertaken by an independent
remuneration consultant during the year. This resulted in a
recommendation to the Board to increase NED fees, which the
Board approved. The review included the assessment of NED fees
against external benchmarking data and aimed to set NED fees at
a competitive level, acknowledging a competitive labour market
particularly when recruiting and retaining in the mining industry.
Section 1: Year in review 53
Short-term incentives
A number of awards may be made under the plan, consisting of:
Short-term incentives (STI) are an at-risk component of
remuneration.
STIs are a contractual component of executive director and SLT
pay packages and can be up to a maximum of between 25 percent
to 50 percent of fixed remuneration. These are payable in cash on
achievement of key performance targets that align with Bathurst’s
strategic pillars, with performance measures in areas of:
• environment, social and governance (24 percent weighting);
• people including their health and safety (26 percent weighting);
• markets (10 percent weighting);
• financial performance (20 percent weighting); and
•
sustainable development (20 percent weighting).
The R&N Committee is responsible for reviewing and approving
any STI payments to executive directors and SLT.
Discretionary one-off payments may also be made for other select
employees up to 10 percent of their fixed annual remuneration.
The Chief Executive Officer (CEO) in conjunction with People and
Culture recommend discretionary one-off payments to the Board
for approval. These are dependent on the financial performance of
Bathurst.
• Performance rights: these are rights to acquire shares in
Bathurst, subject to satisfying performance and service
conditions. The rights are issued for a nil exercise price.
• Options: options are a right to acquire shares in Bathurst for
the payment of an exercise price determined at the grant date
and subject to performance and service conditions.
• Service rights: these rights to acquire shares in Bathurst are
subject to satisfying service conditions only. The rights are
issued for a nil exercise price.
• Deferred share awards: these are shares in Bathurst granted
in lieu of remuneration or incentives and may be subject to
performance and/or service conditions.
• Cash rights: these are rights to receive a cash payment on
achievement of performance and/or service conditions.
• Stock appreciation rights: these are rights to receive shares
in Bathurst to the value of any share price appreciation from
the grant date to the vesting date, subject to satisfying
performance and/or service conditions.
One issue of performance rights to the Chairman and non-
executive directors occurred during FY23. Further information can
be found in Note 18 of the Financial Statements.
Long-term incentives
Bathurst’s long-term incentive plan (LTIP) was updated and
approved by shareholders at the 2018 AGM, the details of which
can be found on our website in the governance section.
The purpose of the plan is to encourage senior executives
and executive directors to share in the ownership of Bathurst,
promoting its long-term success and alignment with shareholder
interests.
Health and other insurance
Bathurst provides health insurance to all permanent employees.
Insurance is currently supplied by UniMed.
Superannuation
All employees are eligible to participate in the KiwiSaver
superannuation scheme. The company contributes 3 percent of
each employee’s paid remuneration.
54 Bathurst Resources Limited Annual Report 2023
Directors’ remuneration
The total remuneration and other benefits to directors for services in all capacities during the year ended 30 June 2023 were:
Director
Director
fees
Fixed
remuneration
STI
payment
Litigation
success payment
LTI performance
rights
Total FY23
Peter Westerhuis
183,873
Francois Tumahai
110,000
-
-
-
-
151,335
8,802
344,010
65,110
-
175,110
Richard Tacon
Russell Middleton
-
-
826,543
111,632
428,387
184,573
1,551,135
661,041
111,632
428,387
143,032
1,344,092
Total
293,873
1,487,584
223,264
1,073,219
336,407
3,414,347
Fixed remuneration and STI for both Richard Tacon and Russell
Middleton are in their capacity as Chief Executive Officer (CEO)
and Chief Financial Officer (CFO) respectively.
LTI performance rights is the share-based payment expense of the
performance rights.
A discretionary payment to Directors was made in recognition
of their vital contributions towards the successful defence of a
substantial legal claim that was ruled in Bathurst’s favour in March
2023 (refer Note 23 of the Financial Statements for
further information).
Employee remuneration
During the year ended 30 June 2023, 29 Bathurst (and its
subsidiaries) employees, excluding the CEO and CFO, received
individual remuneration over $100,000.
Range
# of employees
100,001 – 110,000
9
120,001 – 130,000
3
130,001 – 140,000
2
140,001 – 150,000
2
150,001 – 160,000
2
160,001 – 170,000
1
170,001 – 180,000
180,001 – 190,000
1
3
220,001 – 230,000
1
250,001 – 260,000
1
300,001 – 310,000
1
320,001 – 330,000
1
390,001 – 400,000
1
440,001 – 450,000
1
Section 1: Year in review 55
56 Bathurst Resources Limited Annual Report 2023
02
Financial statements
In this section
Income statement
Statement of comprehensive income
Statement of financial position
Statement of changes in equity
Statement of cash flows
Notes to the financial statements
Additional information
Independent auditor’s report
Section 2: Financial statements 57
Contents
Income statement . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .59
Statement of comprehensive income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .59
Statement of financial position . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .60
Statement of changes in equity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 61
Statement of cash flows . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .62
Notes to the financial statements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .63
Independent auditor’s report . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .94
58 Bathurst Resources Limited Annual Report 2023
Income statement
For the year ended 30 June 2023
Statement of comprehensive income
For the year ended 30 June 2023
Section 2: Financial statements 59
Statement of financial position
For the year ended 30 June 2023
60 Bathurst Resources Limited Annual Report 2023
Statement of changes in equity
For the year ended 30 June 2023
Section 2: Financial statements 61
Statement of cash flows
For the year ended 30 June 2023
62 Bathurst Resources Limited Annual Report 2023
Notes to the financial statements
For the year ended 30 June 2023
•
•
•
Section 2: Financial statements 63
Notes to the financial statements
For the year ended 30 June 2023
•
•
•
•
•
•
•
•
•
•
•
•
•
•
64 Bathurst Resources Limited Annual Report 2023
Notes to the financial statements
For the year ended 30 June 2023
Section 2: Financial statements 65
Notes to the financial statements
For the year ended 30 June 2023
66 Bathurst Resources Limited Annual Report 2023
Notes to the financial statements
For the year ended 30 June 2023
Section 2: Financial statements 67
Notes to the financial statements
For the year ended 30 June 2023
•
•
68 Bathurst Resources Limited Annual Report 2023
Notes to the financial statements
For the year ended 30 June 2023
•
•
•
•
•
•
•
•
Section 2: Financial statements 69
Notes to the financial statements
For the year ended 30 June 2023
70 Bathurst Resources Limited Annual Report 2023
Notes to the financial statements
For the year ended 30 June 2023
•
•
•
•
•
Section 2: Financial statements 71
Notes to the financial statements
For the year ended 30 June 2023
72 Bathurst Resources Limited Annual Report 2023
Notes to the financial statements
For the year ended 30 June 2023
Section 2: Financial statements 73
Notes to the financial statements
For the year ended 30 June 2023
74 Bathurst Resources Limited Annual Report 2023
Notes to the financial statements
For the year ended 30 June 2023
•
•
•
•
•
•
•
•
•
•
Section 2: Financial statements 75
Notes to the financial statements
For the year ended 30 June 2023
76 Bathurst Resources Limited Annual Report 2023
Notes to the financial statements
For the year ended 30 June 2023
Section 2: Financial statements 77
Notes to the financial statements
For the year ended 30 June 2023
78 Bathurst Resources Limited Annual Report 2023
Notes to the financial statements
For the year ended 30 June 2023
Section 2: Financial statements 79
Notes to the financial statements
For the year ended 30 June 2023
80 Bathurst Resources Limited Annual Report 2023
Notes to the financial statements
For the year ended 30 June 2023
Section 2: Financial statements 81
Notes to the financial statements
For the year ended 30 June 2023
82 Bathurst Resources Limited Annual Report 2023
Notes to the financial statements
For the year ended 30 June 2023
Section 2: Financial statements 83
Notes to the financial statements
For the year ended 30 June 2023
84 Bathurst Resources Limited Annual Report 2023
Notes to the financial statements
For the year ended 30 June 2023
Section 2: Financial statements 85
Notes to the financial statements
For the year ended 30 June 2023
•
•
•
•
86 Bathurst Resources Limited Annual Report 2023
Notes to the financial statements
For the year ended 30 June 2023
Section 2: Financial statements 87
Notes to the financial statements
For the year ended 30 June 2023
88 Bathurst Resources Limited Annual Report 2023
Notes to the financial statements
For the year ended 30 June 2023
Section 2: Financial statements 89
Notes to the financial statements
For the year ended 30 June 2023
90 Bathurst Resources Limited Annual Report 2023
Notes to the financial statements
For the year ended 30 June 2023
Section 2: Financial statements 91
Notes to the financial statements
For the year ended 30 June 2023
92 Bathurst Resources Limited Annual Report 2023
Notes to the financial statements
For the year ended 30 June 2023
Section 2: Financial statements 93
Independent auditor’s report
To the shareholders of Bathurst Resources Limited
RReeppoorrtt oonn tthhee aauuddiitt ooff tthhee ccoonnssoolliiddaatteedd ffiinnaanncciiaall ssttaatteemmeennttss
OOppiinniioonn
In our opinion, the consolidated financial statements of
Bathurst Resources Limited (the ’company’) and its
subsidiaries (the 'group') on pages 59 to 90 present fairly,
in all material respects:
i. the Group’s financial position as at 30 June 2023 and
its financial performance and cash flows for the year
ended on that date;
in accordance with New Zealand Equivalents to
International Financial Reporting Standards and
International Financial Reporting Standards issued by the
New Zealand Accounting Standards Board.
We have audited the accompanying consolidated
financial statements which comprise:
— the consolidated statement of financial position as
at 30 June 2023;
— the consolidated statements of comprehensive
income, changes in equity and cash flows for the
year then ended; and
— notes, including a summary of significant accounting
policies.
BBaassiiss ffoorr ooppiinniioonn
We conducted our audit in accordance with International Standards on Auditing (New Zealand) (‘ISAs (NZ)’). We believe that
the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
We are independent of the group in accordance with Professional and Ethical Standard 1 International Code of Ethics for
Assurance Practitioners (Including International Independence Standards) (New Zealand) issued by the New Zealand Auditing
and Assurance Standards Board and the International Ethics Standards Board for Accountants’ International Code of Ethics
for Professional Accountants (including International Independence Standards) (‘IESBA Code’), and we have fulfilled our other
ethical responsibilities in accordance with these requirements and the IESBA Code.
Our responsibilities under ISAs (NZ) are further described in the Auditor’s responsibilities for the audit of the consolidated
financial statements section of our report.
Our firm has also provided other services to the group in relation to agreed upon procedure services required under a Deed
of Royalty. Subject to certain restrictions, partners and employees of our firm may also deal with the group on normal terms
within the ordinary course of trading activities of the business of the group. These matters have not impaired our
independence as auditor of the group. The firm has no other relationship with, or interest in, the group.
MMaatteerriiaalliittyy
The scope of our audit was influenced by our application of materiality. Materiality helped us to determine the nature,
timing and extent of our audit procedures and to evaluate the effect of misstatements, both individually and on the
consolidated financial statements as a whole. The materiality for the consolidated financial statements as a whole was set at
$1,730,000 determined with reference to a benchmark of group total assets. We chose the benchmark because, in our view,
this is a key metric within the financial statements given the nature of accounting for mining activity with capitalised costs
for future extraction.
94 Bathurst Resources Limited Annual Report 2023
BBaatthhuurrsstt RReessoouurrcceess LLiimmiitteedd || Financial statements
44
Independent auditor’s report
KKeeyy auuddiitt maatttteerrss
Key audit matters are those matters that, in our professional judgement, were of most significance in our audit of the
consolidated financial statements in the current period. We summarise below those matters and our key audit procedures
to address those matters in order that the shareholders as a body may better understand the process by which we arrived at
our audit opinion. Our procedures were undertaken in the context of and solely for the purpose of our statutory audit
opinion on the consolidated financial statements as a whole and we do not express discrete opinions on separate elements
of the consolidated financial statements.
TThhee keeyy auuddiitt maatttteerr
HHooww thhee maatttteerr waass addddrreesssseedd inn ouurr auuddiitt
AAsssseessssmmeenntt off reeccoovveerraabbiilliittyy off miinniinngg asssseettss
Refer to note 8 and note 11 to the financial
statements.
The recoverability of mining assets is a key audit
matter due to the judgement involved in assessing
the recoverable value.
Key judgements include:
— future coal prices;
— available coal reserves supporting future
production levels;
— mining permit and resource consent conditions;
— future operating and capital costs; and
— discount rate.
Government policies have led to increased
uncertainty for the industry, and key judgements are
inherently subjective and inherently more uncertain
during times of economic uncertainty.
As a present impairment indicator, the Group’s net
assets as at 30 June 2023 of NZ$281 million
compared to the Group’s market capitalisation of
NZ$205 million based on the share price at 30 June
2023, implies a shortfall of NZ$76 million.
Our audit procedures included:
— verifying mining permit and resource consent conditions;
— comparing future coal price assumptions with third party
contracts and publicly available forward price curves;
— comparing the forecasted production profiles to the JORC
reserve reports prepared by management experts;
— challenging the discount rate used by performing sensitivity
analysis to consider the impact on the recoverable value
assessments;
— verifying the accuracy and completeness of the assets to be
written-off where impairments were identified; and
— assessing the disclosures in the consolidated financial
statements using our understanding of the issue obtained from
our testing and against the requirements of the accounting
standards.
BBaatthhuurrsstt Reessoouurrcceess Liimmiitteedd | Financial statements
Section 2: Financial statements 95
45
Independent auditor’s report
TThhee keeyy auuddiitt maattteerr
HHooww thhee maatttteerr waass addddrreesssseedd inn ouurr auuddiitt
RRehhaabbiilliittaattiioonn prroovviissiioonn
Refer to Note 16 to the financial statements.
Our audit procedures included:
Judgement is required in the determination of the
rehabilitation provision, including:
— obtaining an understanding of the key controls management
has in place to estimate the rehabilitation provision;
— assumptions relating to the manner in which
rehabilitation will be undertaken; and
— agreeing rehabilitation cost estimates to underlying support,
including where applicable reports from external experts;
— scope and quantum of costs, and timing of the
— assessing the independence, competence and objectivity of
rehabilitation activities.
experts used by management;
— confirming the closure and related rehabilitation dates are
consistent with the latest estimates of life of mines;
— comparing the inflation and discount rates to available market
information; and
— testing the mathematical accuracy of the rehabilitation
provision.
We also assessed the appropriateness of the disclosures included in
Note 16 to the financial statements.
OOtthheerr innffoorrmmaattiioonn
The Directors, on behalf of the group, are responsible for the other information included in the entity’s annual Report. Other
information includes the Chairman and CEO report, and the operational and financial review. Our opinion on the
consolidated financial statements does not cover any other information and we do not express any form of assurance
conclusion thereon.
In connection with our audit of the consolidated financial statements our responsibility is to read the other information and,
in doing so, consider whether the other information is materially inconsistent with the consolidated financial statements or
our knowledge obtained in the audit or otherwise appears materially misstated. If, based on the work we have performed, we
conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing
to report in this regard.
UUssee off thhiiss innddeeppeennddeenntt auuddiittoorr’’ss reeppoorrtt
This independent auditor’s report is made solely to the shareholders as a body. Our audit work has been undertaken so that
we might state to the shareholders those matters we are required to state to them in the independent auditor’s report and
for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other
than the shareholders as a body for our audit work, this independent auditor’s report, or any of the opinions we have
formed.
96 Bathurst Resources Limited Annual Report 2023
BBaatthhuurrsstt Reessoouurrcceess Liimmiitteedd | Financial statements
4(cid:1010)
Independent auditor’s report
RReessppoonnssiibbiilliittiieess off thhee Diirreeccttoorrss foorr thhee coonnssoolliiddaatteedd fiinnaanncciiaall sttaatteemmeennttss
The Directors, on behalf of the company, are responsible for:
— the preparation and fair presentation of the consolidated financial statements in accordance with generally accepted
accounting practice in New Zealand (being New Zealand Equivalents to International Financial Reporting Standards) and
International Financial Reporting Standards issued by the New Zealand Accounting Standards Board;
— implementing necessary internal control to enable the preparation of a consolidated set of financial statements that is
free from material misstatement, whether due to fraud or error; and
— assessing the ability to continue as a going concern. This includes disclosing, as applicable, matters related to going
concern and using the going concern basis of accounting unless they either intend to liquidate or to cease operations or
have no realistic alternative but to do so.
AAuuddiittoorr’’ss reessppoonnssiibbiilliittiieess foorr thhee auuddiitt off thhee coonnssoolliiddaatteedd fiinnaanncciiaall sttaatteemmeennttss
Our objective is:
— to obtain reasonable assurance about whether the financial statements as a whole are free from material
misstatement, whether due to fraud or error; and
— to issue an independent auditor’s report that includes our opinion.
Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs NZ
will always detect a material misstatement when it exists.
Misstatements can arise from fraud or error. They are considered material if, individually or in the aggregate, they could
reasonably be expected to influence the economic decisions of users taken on the basis of these consolidated financial
statements.
A further description of our responsibilities for the audit of these consolidated financial statements is located at the External
Reporting Board (XRB) website at:
http://www.xrb.govt.nz/standards-for-assurance-practitioners/auditors-responsibilities/audit-report-1/
This description forms part of our independent auditor’s report.
The engagement partner on the audit resulting in this independent auditor's report is [Partner Name]
For and on behalf of
KPMG
Christchurch
28 August 2023
BBaatthhuurrsstt Reessoouurrcceess Liimmiitteedd | Financial statements
Section 2: Financial statements 97
4(cid:1011)
98 Bathurst Resources Limited Annual Report 2023
Shareholder information03
Section 3: Shareholder information 99
Shareholder information
Reported as at 29 September 2023 unless otherwise noted.
Stock exchange quotation
Shares are quoted on the Australian Stock Exchange under the code “BRL”.
Classes of securities
The following equity securities are on issue:
Quoted
Ordinary fully paid shares
Unquoted
Financial statement
note reference
Number on issue
Number of holder
191,359,780
2,087
Executive director performance rights 18
SLT director performance rights 18
1,625,906
771,512
3
5
Voting rights
Only holders of ordinary shares have voting rights. These are set out in Clause 21.5 of the Company’s constitution and are summarised as
follows:
• Where voting is by show of hands or by voice, every shareholder present in person or by representative has one vote.
• On a poll every shareholder present in person or by representative has, in respect of each fully paid share held by that shareholder,
one vote.
Holders of performance rights have no voting rights until the instruments are converted/exercised into ordinary shares.
Restricted securities
There are no restricted securities or securities subject to voluntary escrow.
Share buy-backs
There were no share buy-backs during the year and there is no current on-market buy-back.
Dividends
There were no dividends paid or declared relating to the year ended 30 June 2023.
Distribution of quoted equity securities
Holding range
1 - 1,000
1,001 - 5,000
5,001 - 10,000
10,001 - 100,000
100,001 and over
Total
Number
shareholders
Number
ordinary shares
Percentage of
ordinary shares
761
758
231
268
69
450,043
1,934,709
1,854,834
8,298,240
178,821,954
2,087
191,359,780
0.24%
1.01%
0.97%
4.34%
93.44%
100%
There were 262 shareholders holding less than a marketable parcel of ordinary shares as determined by the ASX (parcels valued at less
than AUD $500) based on the closing price of AU $1.00 per share.
Corporate governance statement
The corporate governance statement is available at www.bathurst.co.nz/our-company/corporate-governance/
100 Bathurst Resources Limited Annual Report 2023
Shareholder information
Substantial holders
BRL’s record of substantial shareholdings (5 percent or more) based on notices from shareholders either directly or via a third party who
collect this information on our behalf as at 25 September 2023:
Republic Investment Management Pte Limited (“RIM”)
Talley’s Group Limited
Crocodile Capital Partners GmbH
Chng Seng Chye
Number of
shares held
Percentage of
issued shares
39,873,155
20,659,306
14,451,452
11,628,872
20.8
10.8
7.6
6.1
Approval was given by shareholders at the November 2018 AGM with specific respect to the Takeovers Code (New Zealand) for RIM to hold
more than 20 percent of BRL’s shares, as a result of an on-market share buy-back and the conversion of convertible notes held by RIM.
Top 20 shareholders - Based on the shareholder register
#
Holding Range
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
BNP PARIBAS NOMS PTY LTD
CITICORP NOMINEES PTY LIMITED
HSBC CUSTODY NOMINEES (AUSTRALIA) LIMITED
BNP PARIBAS NOMINEES PTY LTD
CHNG SENG CHYE
MR SAN TIONG NG
AFE INVESTMENTS PTY LIMITED
ANG POON LIAT
TH INVESTMENTS PTE LIMITED
JOHN MCCALLUM
RICHARD TACON
NATIONAL NOMINEES LIMITED
BNP PARIBAS NOMS(NZ) LTD
HSBC CUSTODY NOMINEES (AUSTRALIA) LIMITED
BNP PARIBAS NOMS PTY LTD
TAN PEI SAN
CHOW SHOOK LIN
TREADSTONE RESOUCE PARTNERS PTY LTD
INVIA CUSTODIAN PTY LIMITED
RUSSELL LEE SCOTT MIDDLETON + SUSANNE MICHELLE MIDDLETON
Total top 20 shareholders
Total remaining shareholders
Number of
shares held
61,385,373
45,406,068
14,861,866
11,098,213
9,596,041
2,897,383
2,788,877
2,710,476
2,392,392
2,127,144
1,469,302
1,325,775
1,179,899
1,168,700
1,002,500
964,749
909,090
727,272
704,545
662,645
165,378,310
25,981,470
Percentage of
issued shares
32.08
23.73
7.77
5.80
5.01
1.51
1.46
1.42
1.25
1.11
0.77
0.69
0.62
0.61
0.52
0.50
0.48
0.38
0.37
0.35
86.42
13.58
Section 3: Shareholder information
101
102 Bathurst Resources Limited Annual Report 2023
Resources and reserves04
In this section
Tenement schedule
Coal resources and reserves
Section 4: Resources and reserves
103
Tenement schedule
At 30 June 2023
Permit ID
Location (region)
Minerals
Permit type
Permit operator
Bathurst interest
60790
60642
60522
60521
60520
60422
Waikato
Southland
West Coast
West Coast
West Coast
Waikato
60400
Southland
60321
56233
56220
53614
52937
51279
41821
41810
41515
41456
41455
41372
41332
41274
West Coast
West Coast
Waikato
Southland
West Coast
West Coast
Waikato
West Coast
West Coast
West Coast
West Coast
Canterbury
West Coast
West Coast
40698
Waikato
40628
West Coast
40591
37161
West Coast
West Coast
3716101
West Coast
3716102
West Coast
3716103
West Coast
3716104
West Coast
37155
Waikato
3715501
Waikato
37153
Waikato
3715301
Waikato
37150
West Coast
3715002
West Coast
3715003
West Coast
65%
100%
100%
100%
100%
65%
Aggregate
Exploration Permit
BT Mining Limited
Exploration Permit
Bathurst Coal Limited
Exploration Permit
Buller Coal Limited
Exploration Permit
Buller Coal Limited
Exploration Permit
Buller Coal Limited
Coal
Coal
Coal
Coal
Coal
Coal
Mining Permit
Mining Permit
BT Mining Limited
New Brighton Collieries Limited
100%
Minerals
Exploration Permit
Bathurst Coal Limited
Coal
Coal
Coal
Coal
Coal
Coal
Coal
Coal
Coal
Coal
Coal
Coal
Coal
Coal
Coal
Coal
Coal
Coal
Coal
Coal
Coal
Coal
Coal
Coal
Coal
Coal
Coal
Coal
Mining Permit
Buller Coal Limited
Exploration Permit
BT Mining Limited
Mining Permit
Mining Permit
Mining Permit
Mining Permit
Mining Permit
Mining Permit
Mining Permit
Mining Permit
Mining Permit
Mining Permit
Mining Permit
Bathurst Coal Limited
BT Mining Limited
Buller Coal Limited
BT Mining Limited
BT Mining Limited
BT Mining Limited
Buller Coal Limited
Bathurst Coal Limited
Bathurst Coal Limited
Buller Coal Limited
Buller Coal Limited
Exploration Permit
BT Mining Limited
Exploration Permit
Buller Coal Limited
Exploration Permit
Bathurst Coal Limited
Coal Mining Licence
Bathurst Coal Limited
Ancillary Coal Mining Licence
Bathurst Coal Limited
Ancillary Coal Mining Licence
Bathurst Coal Limited
Ancillary Coal Mining Licence
Bathurst Coal Limited
Ancillary Coal Mining Licence
Bathurst Coal Limited
Coal Mining Licence
BT Mining Limited
Ancillary Coal Mining Licence
BT Mining Limited
Coal Mining Licence
BT Mining Limited
Ancillary Coal Mining Licence
BT Mining Limited
Coal Mining Licence
BT Mining Limited
Ancillary Coal Mining Licence
BT Mining Limited
Ancillary Coal Mining Licence
BT Mining Limited
100%
100%
65%
100%
65%
100%
65%
65%
65%
100%
100%
100%
100%
100%
65%
100%
100%
100%
100%
100%
100%
100%
65%
65%
65%
65%
65%
65%
65%
104 Bathurst Resources Limited Annual Report 2023
Tenement schedule
Resource permitting changes 1 July 2022 to 30 June 2023.
Permit applications in past 12 months
None.
Permit applications granted in past 12 months
Permit ID
Permit type
Operator
Location (region)
Granted date
Operation name
Bathurst interest
53614
56220
Mining
Bathurst Coal Limited
Southland
29/3/2023
Coaldale
Exploration
BT Mining Limited
Waikato
13/1/2023
Awaroa West
100%
65%
Permit applications granted in past 12 months
Permit ID
Permit type
Operator
Location (region)
Expiry date
Operation name
Bathurst interest
60790
Exploration Permit
BT Mining Limited
Waikato
15/12/2027
Maramarua
60642
Exploration Permit
Bathurst Coal Limited
Southland
15/4/2028
Ohai
Exploration Permit
Buller Coal Limited
West Coast
8/9/2027
Blackburn
65%
100%
100%
Exploration Permit
Buller Coal Limited
West Coast
8/9/2027
Millerton-Fly Creek
100%
60522
60521
60520
Exploration Permit
Buller Coal Limited
West Coast
8/9/2027
Denniston
60400
Mining Permit
New Brighton Collieries
Limited
Southland
20/6/2035
New Brighton
100%
100%
Full surrender
None
Expired
Permit ID
Permit type
Operator
Location (region)
Minerals
Operation name
Bathurst interest
40625
Exploration Permit
New Brighton Collieries
Limited
Southland
Coals
New Brighton
100%
Section 4: Resources and reserves
105
Coal resources
Table 1 – Resource tonnes (rounded to the nearest million tonnes)
e
c
r
u
o
s
e
r
d
e
r
u
s
a
e
M
3
2
0
2
1.9
0.5
6.2
0.0
6.2
1.9
i
p
h
s
r
e
n
w
o
t
s
r
u
h
t
a
B
100%
100%
100%
100%
100%
100%
e
c
r
u
o
s
e
r
d
e
r
u
s
a
e
M
2
2
0
2
1.9
0.5
6.2
0.0
6.2
1.9
e
g
n
a
h
C
0.0
0.0
0.0
0.0
0.0
0.0
e
c
r
u
o
s
e
r
d
e
t
a
c
i
d
n
I
3
2
0
2
e
c
r
u
o
s
e
r
d
e
t
a
c
i
d
n
I
2
2
0
2
1.2
1.2
0.6
0.6
3.1
1.7
3.1
1.7
7.8
7.8
3.0
3.0
e
g
n
a
h
C
0.0
0.0
0.0
0.0
0.0
0.0
e
c
r
u
o
s
e
r
d
e
r
r
e
f
n
I
3
2
0
2
e
c
r
u
o
s
e
r
d
e
r
r
e
f
n
I
2
2
0
2
0.7
0.7
0.3
0.3
1.6
3.1
1.6
3.1
2.7
2.7
3.3
3.3
e
c
r
u
o
s
e
r
l
a
t
o
T
3
2
0
2
e
c
r
u
o
s
e
r
l
a
t
o
T
2
2
0
2
3.8
3.8
1.4
1.4
10.9
10.9
4.8
4.8
16.7
16.7
8.2
8.2
e
g
n
a
h
C
0.0
0.0
0.0
0.0
0.0
0.0
e
g
n
a
h
C
0.0
0.0
0.0
0.0
0.0
0.0
Area
Escarpment (7)
Cascade (7)
Deep Creek (2)
Coalbrookdale (7)
Whareatea West (7)
Sullivan (7)
South Buller totals
100%
16.7
16.7
0.0
17.4
17.4
0.0
11.7
11.7
0.0
45.8
45.8
0.0
Stockton (1, 5, 6 & 7)
Upper Waimangaroa (Met) (1, 5, 6 & 7)
65%
65%
Upper Waimangaroa (Thermal) (1 & 7)
65%
Stockton totals
Millerton North (2)
North Buller (2)
Blackburn (2)
65%
100%
100%
100%
2.5
0.4
0.0
2.9
0.0
2.4
0.0
2.6
(0.1)
6.6
7.3
(0.7)
5.6
5.8
(0.2)
14.7
15.7
(1.0)
0.6
(0.2)
13.2
13.2
0.0
0.0
0.6
0.6
0.0
0.0
32.0
32.4
(0.4)
45.6
46.2
(0.6)
0.9
0.9
0.0
1.5
1.5
0.0
3.2
(0.3)
20.4
21.1
(0.7)
38.5
39.1
(0.6)
61.8
63.4
(1.6)
0.0
2.4
0.0
0.0
0.0
0.0
1.8
7.2
5.8
1.8
7.2
5.8
0.0
0.0
0.0
3.5
3.5
10.6
10.6
14.1
14.1
0.0
0.0
0.0
5.3
5.3
20.2
20.2
0.0
0.0
19.9
19.9
000
North Buller totals
100%
2.4
2.4
0.0
14.8
14.8
0.0
28.2
28.2
0.0
45.4
45.4
0.0
Buller Coal Project totals
100% 22.0
22.3
(0.3)
52.6
53.3
(0.7)
78.4
79.0
(0.6)
153.0
154.6
(1.6)
Takitimu (4, 5, 6 & 7)
New Brighton (4, 6 & 7)
Canterbury Coal (9)
Southland/Canterbury totals
Rotowaro (1, 5, 6 & 7)
Rotowaro North (1, 4 & 8)
Maramarua (1, 3, 4 & 5)
North Island totals
100%
100%
100%
100%
65%
65%
65%
65%
0.1
0.1
0.0
0.2
0.4
0.3
1.6
2.3
0.1
0.1
0.0
0.0
0.9
(0.9)
1.1
(0.9)
0.6
(0.2)
0.0
0.3
1.8
(0.2)
2.4
(0.1)
1.1
0.2
0.0
1.3
0.7
0.9
0.3
1.9
1.4
(0.3)
0.2
0.0
1.3
(1.3)
2.9
(1.6)
1.4
(0.7)
0.0
0.3
1.7
0.9
0.0
0.2
0.0
0.2
0.0
0.2
1.0
2.2
0.0
3.2
0.0
0.2
0.0
0.0
0.9
(0.9)
1.1
(0.9)
0.4
0.6
3.7
(1.5)
0.0
0.0
4.1
(0.9)
1.2
0.5
0.0
1.7
2.1
3.4
1.9
7.4
1.5
(0.3)
0.5
0.0
3.1
(3.1)
5.1
(3.4)
2.4
(0.3)
3.7
(0.3)
2.1
(0.2)
8.2
(0.8)
Total
Note
24.5
25.8
(1.3)
55.8
57.9
(2.1)
81.8
84.2
(2.4)
162.1
167.9
(5.8)
All resources and reserves quoted in this release are reported in terms as defined in the 2004 and 2012 Editions of the ‘Australasian Code
for Reporting of Exploration Results, Mineral Resources and Ore Reserves’ as published by the Joint Ore Reserves Committee of the
Australasian Institute of Mining and Metallurgy, Australian Institute of Geoscientists and Minerals Council of Australia (JORC).
The measured and indicated mineral resources are inclusive of those mineral reserves modified to produce the ore reserves. Rounding of
tonnes as required by reporting guidelines may result in summation differences between tonnes and coal quality. All resources quoted are
reported as of 30 June 2023.
106 Bathurst Resources Limited Annual Report 2023
Coal resources
Table 1 – Resource tonnes (rounded to the nearest million tonnes) continued
1. Stockton, Upper Waimangaroa, Rotowaro, Ruawaro and Maramarua are owned by BT Mining Limited (65% Bathurst Resources
Limited / 35% Talley’s Energy Limited).
2. No additional work has been undertaken on the coal resources for Deep Creek, Millerton North and Blackburn since originally reported.
This information was prepared and first disclosed under the JORC Code 2004. It has not been updated since to comply with the JORC
Code 2012 on the basis that the information has not materially changed since it was last reported.
3. Resources were depleted by mining.
4. Resource tonnages have been calculated using a density value calculated using approximated in-ground moisture values (Preston and
Sanders method).
5. Mining depletion offset by update to geological model.
6. Update to geological model combined with a review of potential economic recovery.
7. Stockton, Upper Waimangaroa, Escarpment, Cascade, Coalbrookdale, Sullivan, Rotowaro, Takitimu and New Brighton density values are
based on air-dried ash density regressions.
8. Resource classification upgraded following model update.
9. Canterbury Coal mineral access agreements not renewed. Reasonable prospects not met.
10. Coal resource variation due to a change in resource classification.
Table 2 – Average coal quality - measured
)
t
M
(
e
c
r
u
o
s
e
r
d
e
r
u
s
a
e
M
1.9
0.5
6.2
0.0
6.2
1.9
2.5
0.4
0.0
0.0
2.4
0.0
0.1
0.1
0.4
0.3
1.6
i
p
h
s
r
e
n
w
o
t
s
r
u
h
t
a
B
100%
100%
100%
100%
100%
100%
65%
65%
65%
100%
100%
100%
100%
100%
65%
65%
65%
)
D
A
(
%
r
u
h
p
u
S
l
0.7
1.7
2.5
-
0.8
1.1
1.9
0.8
-
-
4.7
-
0.4
0.4
0.3
0.3
0.2
)
D
A
(
%
h
s
A
14.1
15.5
11.0
-
20.8
4.0
24.9
3.5
-
-
8.6
-
16.8
10.7
6.6
7.0
5.1
)
D
A
(
%
r
e
t
t
a
m
e
l
i
t
a
o
V
l
33.9
39.3
32.9
-
25.1
31.7
26.8
37.9
-
-
)
D
A
(
%
n
o
b
r
a
c
d
e
x
F
i
51.1
42.6
53.9
-
53.5
59.2
46.7
54.1
-
-
43.1
45.4
-
35.4
32.6
37.8
35.7
36.6
-
33.2
39.7
43.5
42.2
38.3
e
r
u
t
s
i
o
m
t
n
e
r
e
h
n
I
0.9
2.6
2.2
-
0.6
1.0
1.6
4.4
-
-
2.9
-
14.7
17.0
12.7
15.0
19.9
e
r
u
t
s
i
o
m
u
t
i
s
n
I
5.7
7.6
5.2
-
6.5
6.6
-
-
-
-
11.4
-
24.5
23.0
17.3
22.0
23.9
N
S
C
7.5
4.5
-
-
8.0
8.5
7.5
4.5
-
-
4.5
-
N/A
N/A
N/A
N/A
N/A
Area
Escarpment
Cascade
Deep Creek
Coalbrookdale
Whareatea West
Sullivan
Stockton
Upper Waimangaroa (Met)
Upper Waimangaroa (Thermal)
Millerton North
North Buller
Blackburn
Takitimu
New Brighton
Rotowaro
Rotowaro North
Maramarua
l
)
D
A
(
e
u
a
v
c
fi
i
r
o
a
C
l
29.6
30.8
29.7
-
28.2
34.3
27.3
31.6
-
-
29.7
-
19.7
21.7
24.2
23.6
22.3
Section 4: Resources and reserves
107
l
)
D
A
(
e
u
a
v
c
fi
i
r
o
a
C
l
30.0
29.3
30.3
29.7
27.1
33.9
33.2
30.5
27.7
31.1
30.0
30.4
21.6
21.1
24.0
23.8
22.0
Coal resources
Table 3 – Average coal quality - indicated
)
t
M
(
e
c
r
u
o
s
e
r
d
e
t
a
c
i
d
n
I
1.2
0.6
3.1
1.7
7.8
3.0
6.6
13.2
0.6
1.8
7.2
5.8
1.1
0.2
0.7
0.9
0.3
i
p
h
s
r
e
n
w
o
t
s
r
u
h
t
a
B
100%
100%
100%
100%
100%
100%
65%
65%
65%
100%
100%
100%
100%
100%
65%
65%
65%
)
D
A
(
%
r
e
t
t
a
m
e
l
i
t
a
o
V
l
35.0
38.3
34.7
35.6
23.5
30.0
35.9
38.9
37.3
36.9
42.6
42.1
35.3
32.1
37.1
35.9
36.3
)
D
A
(
%
n
o
b
r
a
c
d
e
x
F
i
51.2
44.5
53.6
50.1
52.3
59.4
56.7
53.6
52.1
52.4
46.3
51.8
38.2
41.7
43.8
42.4
37.9
e
r
u
t
s
i
o
m
t
n
e
r
e
h
n
I
1.2
2.4
2.0
1.7
0.7
1.0
1.3
3.5
4.1
1.0
2.3
2.2
17.4
15.7
13.3
14.7
20.1
e
r
u
t
s
i
o
m
u
t
i
s
n
I
5.3
8.0
4.8
5.3
6.6
6.6
-
-
-
6.1
9.4
10.1
25.5
22.2
17.9
21.6
24.1
N
S
C
7.5
4.0
-
5.0
7.5
8.5
7.0
5.1
0.0
10.0
5.0
6.0
N/A
N/A
N/A
N/A
N/A
)
D
A
(
%
r
u
h
p
u
S
l
1.2
1.8
2.7
1.6
1.2
1.3
3.4
2.0
3.9
4.9
5.1
4.3
0.3
0.4
0.3
0.3
0.2
)
D
A
(
%
h
s
A
12.6
14.8
9.7
12.7
23.6
5.1
6.1
4.6
6.5
9.7
8.8
3.9
9.1
10.4
5.8
7.0
5.6
Area
Escarpment
Cascade
Deep Creek
Coalbrookdale
Whareatea West
Sullivan
Stockton
Upper Waimangaroa (Met)
Upper Waimangaroa (Thermal)
Millerton North
North Buller
Blackburn
Takitimu
New Brighton
Rotowaro
Rotowaro North
Maramarua
108 Bathurst Resources Limited Annual Report 2023
Coal resources
Table 4 – Average coal quality - inferred
i
p
h
s
r
e
n
w
o
t
s
r
u
h
t
a
B
100%
100%
100%
100%
100%
100%
65%
65%
65%
100%
100%
100%
100%
100%
65%
65%
65%
)
t
M
(
e
c
r
u
o
s
e
r
d
e
r
r
e
f
n
0.7
0.3
1.6
3.1
2.7
3.3
5.6
32.0
0.9
3.5
10.6
14.1
0.0
0.2
1.0
2.2
0.0
)
D
A
(
%
r
u
h
p
u
S
l
1.5
2.2
2.4
1.8
1.1
1.3
3.3
2.1
1.6
5.5
5.1
4.8
0.4
0.4
0.3
0.3
0.2
)
D
A
(
%
h
s
A
12.5
16.5
10.1
12.8
24.1
5.6
5.9
5.9
4.1
12.0
9.9
6.4
14.2
11.0
7.0
6.9
11.4
)
D
A
(
%
r
e
t
t
a
m
e
l
i
t
a
o
V
l
35.4
36.7
29.7
35.6
23.0
30.6
34.7
38.7
34.7
35.3
45.6
41.8
37.4
33.6
36.8
35.9
36.8
)
D
A
(
%
n
o
b
r
a
c
d
e
x
F
i
50.8
44.7
57.8
49.9
52.2
59.4
58.1
52.4
54.7
51.6
42.3
49.5
33.5
39.6
43.3
42.6
35.2
e
r
u
t
s
i
o
m
t
n
e
r
e
h
n
I
1.3
2.1
2.4
1.7
0.7
1.0
1.2
3.6
6.6
1.1
2.2
2.3
14.9
15.9
13.0
14.7
16.5
e
r
u
t
s
i
o
m
u
t
i
s
n
I
5.1
6.7
7.1
5.5
6.6
6.5
-
-
-
7.2
9.6
11.2
23.6
22.2
17.6
21.6
20.7
N
S
C
7.0
4.0
-
5.0
7.0
8.5
8.0
4.7
2.3
9.0
5.0
6.0
N/A
N/A
N/A
N/A
N/A
Area
Escarpment
Cascade
Deep Creek
Coalbrookdale
Whareatea West
Sullivan
Stockton
Upper Waimangaroa (Met)
Upper Waimangaroa (Thermal)
Millerton North
North Buller
Blackburn
Takitimu
New Brighton
Rotowaro
Rotowaro North
Maramarua
l
)
D
A
(
e
u
a
v
c
fi
i
r
o
a
C
l
29.8
27.6
29.7
29.5
26.8
33.7
33.2
30.3
27.8
30.2
29.5
30.1
20.8
22.0
23.7
23.8
21.3
Section 4: Resources and reserves
109
Coal reserves
Table 5 – Coal reserves (ROM) tonnes
ROM coal area
Whareatea West (D)
Stockton (A, B, E, F & H)
Upper Waimangaroa (Met) (A, B, E & F)
Takitimu (C, E & G)
Rotowaro (A, C, D, E, F & I)
Maramarua (A, C, D, E & F)
Total
Bathurst
owner-
ship
100%
65%
65%
100%
65%
65%
Proved (Mt)
Probable (Mt)
Total (Mt)
2023
2022
Change
2023
2022
Change
2023
2022
Change
0.0
0.2
0.4
0.0
0.4
1.1
2.1
0.0
0.0
0.3
0.6
(0.1)
(0.2)
0.0
0.0
(0.2)
(0.1)
0.6
1.2
2.7
4.7
3.4
1.6
0.7
0.7
0.1
4.7
6.0
1.6
1.0
1.4
0.0
(2.6)
0.0
(0.3)
(0.7)
0.2
(0.1)
4.7
3.6
2.0
0.7
1.1
1.2
4.7
6.3
2.2
1.0
2.0
1.4
0.0
(2.7)
(0.2)
(0.3)
(0.9)
(0.2)
(0.6)
11.2
14.9
(3.7)
13.3
17.6
(4.3)
Table 6 – Marketable coal reserves tonnes
Proved (Mt)
Probable (Mt)
Total (Mt)
Product coal area
Bathurst
owner-
ship
2023
2022
Change
2023
2022
Change
2023
2022
Change
Whareatea West (D)
100%
0.0
0.0
0.0
Stockton (A, B, E, F & H)
Upper Waimangaroa (Met) (A, B, E & F)
65%
65%
0.2
0.4
0.2
0.5
0.0
(0.1)
Takitimu (C, E & G)
100%
0.0
0.0
0.0
Rotowaro (A, C, D, E, F & I)
Maramarua (A, C, D, E & F)
Total
65%
65%
0.4
1.1
2.1
0.5
1.2
2.4
(0.1)
(0.1)
(0.3)
3.0
2.8
1.4
0.7
0.6
0.1
8.6
3.0
4.3
1.4
0.9
1.2
0.2
0.0
(1.5)
0.0
(0.2)
(0.6)
(0.1)
3.0
3.0
1.8
0.7
1.0
1.2
3.0
4.5
1.9
0.9
1.7
1.4
0.0
(1.5)
(0.1)
(0.2)
(0.7)
(0.2)
11.0
(2.4)
10.7
13.4
(2.7)
Table 7 – Marketable coal reserves – proved and probable average coal quality
Proved marketable
Probable marketable
i
p
h
s
r
e
n
w
o
t
s
r
u
h
t
a
B
100%
65%
65%
100%
65%
65%
Area
Whareatea West (D)
Stockton (A, B, E, F & H)
Upper Waimangaroa (Met) (A, B, E & F)
Takitimu (C, E & G)
Rotowaro (A, C, D, E, F & I)
Maramarua (A, C, D, E & F)
%
r
u
h
p
u
S
l
-
2.7
0.7
0.2
0.3
0.2
)
g
K
/
J
M
(
V
C
-
33.2
31.8
%
M
V
-
32.8
37.6
N
S
C
-
6.5
4.5
35.2
N/A
21.0
37.8
N/A
24.2
37.5
N/A
22.6
%
h
s
A
10.9
4.3
2.9
8.1
5.8
5.8
t
M
3.0
2.8
1.4
0.7
0.6
0.1
%
r
u
h
p
u
S
l
0.7
2.9
1.3
0.2
0.3
0.2
)
g
K
/
J
M
(
V
C
27.5
33.8
31.8
21.2
%
M
V
27.8
34.1
37.7
N
S
C
9.5
8.0
4.0
34.9
N/A
37.1
37.1
N/A
24.0
N/A
22.3
%
h
s
A
-
6.8
2.8
9.2
6.6
5.3
t
M
-
0.2
0.4
0.0
0.4
1.1
110 Bathurst Resources Limited Annual Report 2023
Coal reserves
Table 8 – Marketable coal reserves – total average quality
i
p
h
s
r
e
n
w
o
t
s
r
u
h
t
a
B
100%
65%
65%
e
p
y
t
l
a
o
C
Met
Met
Met
Area
Whareatea West (D)
Stockton (A, B, E, F & H)
Upper Waimangaroa (Met) (A, B, E & F)
d
o
h
t
e
m
g
n
n
M
i
i
Open Pit
Open Pit
Open Pit
Takitimu (C, E & G)
100%
Thermal
Open Pit
Rotowaro (A, C, D, E, F & I)
Maramarua (A, C, D, E & F)
65%
65%
Thermal
Open Pit
Thermal
Open Pit
Note
t
M
3.0
3.0
1.8
0.7
0.9
1.3
%
h
s
A
10.9
4.4
2.9
8.1
6.1
5.3
%
r
u
h
p
u
S
l
0.7
2.9
1.2
0.2
0.3
0.2
%
M
V
27.8
34.1
37.7
34.9
37.4
37.4
N
S
C
9.5
8.0
4.0
N/A
N/A
N/A
)
g
K
/
J
M
(
V
C
27.5
33.7
31.8
21.2
24.1
22.6
All reserves quoted in this release are reported in terms as defined in the 2012 Edition of the ‘Australasian Code for Reporting of
Exploration Results, Mineral Resources and Ore Reserves’ as published by the Joint Ore Reserves Committee of the Australasian Institute
of Mining and Metallurgy, Australian Institute of Geoscientists and Minerals Council of Australia (JORC).
The measured and indicated mineral resources are inclusive of ore reserves. Coal reserve (Run of Mine (ROM) tonnes) include
consideration of standard mining factors. Rounding of tonnes as required by reporting guidelines may result in summation differences
between tonnes and coal quality. All ore reserves quoted are reported as of 30 June 2023.
A. Stockton, Upper Waimangaroa, Rotowaro and Maramarua are owned by BT Mining Limited in which Bathurst has a 65% equity share.
B. Stockton and Upper Waimangaroa density values are based on air-dried ash density regressions.
C.
In-ground total moisture is based on long term average coal production data.
D. Reserve tonnages have been calculated using a density value calculated using approximated in-ground moisture values (Preston and
Sanders method) and as such reserve tonnages quoted in this report are wet tonnes.
E. Decrease in Coal Reserves due to mining depletion.
F. Variation due to model update.
G. Variation due to updated modifying factors.
H. Coal Reserves depleted by removal of A18 Coal Fines Reserve post completion of Feasibility Study.
I. Coal Reserves reduced due to a change in resource classification.
Resource quality
Bathurst is not aware of any information to indicate that the quality of the identified resources will fall outside the range of specifications for
reserves as indicated in the above table. Further resource and reserve information can be found on Bathurst’s website at www.bathurst.co.nz.
Mineral resource and ore reserves governance and estimation process
Resources and reserves are estimated by internal and external personnel, suitably qualified as Competent Persons under the Australasian
Institute of Mining and Metallurgy, reporting in accordance with the requirements of the JORC code, industry standards and internal
guidelines.
All resource estimates and supporting documentation are reviewed by a Competent Person either employed directly by Bathurst or
employed as an external consultant. If there is a material change in an estimate of a resource, or if the estimate is an inaugural resource,
the estimate and all relevant supporting documentation is further reviewed by an external suitably qualified Competent Person.
All reserve estimates are prepared in conjunction with pre-feasibility, feasibility and life of mine studies which consider all material factors.
All resource and reserve estimates are then further reviewed by suitably qualified internal management.
The resources and reserves statements included in Bathurst’s 2023 annual report have been reviewed by qualified internal and external
Competent Persons, and internal management, prior to their inclusion.
Section 4: Resources and reserves
111
Competent person statements
The information on this report that relates to mineral resources for Deep Creek and mineral reserves for Whareatea West, Takitimu,
Rotowaro and Maramarua is based on information compiled by Sue Bonham-Carter, who is a full time employee of BCP Associates (New
Zealand) Limited and is a Chartered Professional and member of the Australasian Institute of Mining and Metallurgy and member of
Professional Engineers and Geoscientists of British Columbia, Canada. Ms Bonham-Carter has a BSc Engineering (Mining) (Hons) from
the Queen’s University, Canada. Ms Bonham-Carter has sufficient experience which is relevant to the style of mineralisation and type of
deposit under consideration and to the activity which she is undertaking to qualify as a Competent Person as defined in the 2004 Edition
and 2012 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Ms Bonham-Carter
consents to the inclusion in this report of the matters based on her information in the form and context in which it appears above.
The information in this report that relates to exploration results and mineral resources for Takitimu, New Brighton, Rotowaro, Rotowaro
North and Maramarua is based on information compiled by Eden Sinclair as a Competent Person who is a full- time employee of Bathurst
Resources Limited and is a Chartered Professional and member of the Australasian Institute of Mining and Metallurgy. Mr Sinclair has a
BSc in geology from the University of Canterbury. Mr Sinclair has sufficient experience which is relevant to the style of mineralisation and
type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2012
Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Mr Sinclair consents to the
inclusion in this report of the matters based on his information in the form and context in which it appears above.
The information in this report that relates to exploration results and mineral resources for Stockton, Upper Waimangaroa, Escarpment,
Sullivan, Cascade, Coalbrookdale, Whareatea West, Millerton North, North Buller and Blackburn is based on information compiled by Mark
Lionnet as a Competent Person who is a full time employee of BT Mining Limited and is a member of the Australasian Institute of Mining
and Metallurgy. Mr Lionnet has a BSc (Hons) majoring in geology from the University of Witwatersrand, South Africa. Mr Lionnet has
sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he
is undertaking to qualify as a Competent Person as defined in the 2004 Edition and 2012 Edition of the ‘Australasian Code for Reporting of
Exploration Results, Mineral Resources and Ore Reserves’. Mr Lionnet consents to the inclusion in this report of the matters based on his
information in the form and context in which it appears above.
The information on this report that relates to mineral reserves for Stockton and Upper Waimangaroa is based on information compiled
by Ian Harvey who is a full time employee of Bathurst Resources Limited and is a member of the Australasian Institute of Mining and
Metallurgy. Mr Harvey has a Bachelors in Mining Engineering from the University of Otago. Mr Harvey has sufficient experience which is
relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a
Competent Person as defined in the 2012 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and
Ore Reserves’. Mr Harvey consents to the inclusion in this report of the matters based on his information in the form and context in which
it appears above.
112 Bathurst Resources Limited Annual Report 2023
Section 4: Resources and reserves
113
Corporate directory
Directors
Peter Westerhuis
Non-Executive Chairman
Francois Tumahai
Non-Executive director
Richard Tacon
Executive Director and Chief Executive Officer
Russell Middleton
Executive Director and Chief Financial Officer
Company secretary
Larissa Brown
New Zealand company number
4382538
New Zealand business number
9429030288560
Australian registered business number
164 306 905
Registered office
Level 12, 1 Willeston Street
Wellington 6011
New Zealand
Phone: +64 4 499 6830
Australian registered office
Suite 706
109 Pitt Street
Sydney 2000
Australia
Phone: +61 4 1849 7678
Share registry
Computershare Investor Services Pty Limited
GPO Box 2975
Melbourne Vic 3001
Australia
Phone: +61 3 9415 4000
Email: Web.Queries@computershare.com.au
Auditor
KPMG
79 Cashel Street
PO Box 1739
Christchurch 8140
New Zealand
Solicitor
Lane Neave
141 Cambridge Terrace
Christchurch 8013
New Zealand
Banker
ANZ Bank New Zealand Limited
Stock exchange listing
Bathurst Resources Limited shares are listed on the Australian
Securities Exchange under code BRL.
Website address
www.bathurst.co.nz
114 Bathurst Resources Limited Annual Report 2023
Disclaimer
This report has been prepared by Bathurst Resources Limited. Information contained in this report is current as at 30 June 2023 or
as otherwise noted in the report. This report is provided for information purposes only and has been prepared without taking account
of any particular reader's financial situation or objectives. Nothing contained in this report constitutes investment, tax, legal or other
advice. Accordingly, readers should, before acting on any information in this report, consider its appropriateness, having regard to
their objectives, financial situation and needs, and seek the assurance of their financial advisor or other licensed professional before
making any investment decision. This report does not constitute an offer, invitation, solicitation or recommendation with respect to
the subscription for purchase or sale of any security, nor does it form the basis of any contract or commitment.
Bathurst Resources Limited
Level 12, 1 Willeston Street
Wellington 6011
New Zealand
+64 4 499 6830
www.bathurst.co.nz