Mining giants BHP Billiton, Anglo American and Xstrata announced a $1.3 billion investment Thursday to boost production at Colombia’s Carbons of Cerrejon coal mine.
The expansion project, named P40, will allow for production to be increased to 40 million tons annually, reported news agency AFP. Cerrejon is an integrated mining and transport complex in La Guajira, the northern most department in Colombia. Each company is to invest $437 million in the project and will own one third of the coal mine.
President of BHP Billiton Energy Coal Jimmy Wilson said, “this announcement underlines our commitment to investment in the cycle of growth and to continue producing to the maximum in order to take advantage of the strong demand for carbon energy.”
Wilson said construction will begin this year and it is hoped to be completed by 2013. The goal of expanding capacity to 40 million tons a year is expected to be reached by 2015.
The project will include new loading facilities at the Puerto Bolivar docks as well as mining infrastructure and railways.