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To dream the impossible seam
After a series of thwarted attempts over almost 30 years, the Rio Tinto team who finally brought Hail Creek into production had good reason to celebrate. By Tony Urquhart.

Back in 1989, Dr Mal Lees, a metallurgist with what was then Rio Tinto's Pacific Coal subsidiary (now Rio Tinto Coal Australia), was asked to develop a new coal business. He was given two options. Much to the surprise of many colleagues in the industry, he chose Hail Creek, a coking coal deposit 130km west of Mackay in central Queensland.

"More than one person told me that I was wasting my time," Mal recalls.

That scepticism was well founded. Since its discovery in 1968, Hail Creek's history had been one of disappointments. Several promising attempts to develop the mine had been scuttled by a coincidence of factors that included periodic recessions in the global steel market, a federal government tax impost and hikes in labour costs.

So the gala event held last November to celebrate the completion of the two years and US$255m spent constructing Hail Creek was also a private "I told you so" moment for the small team who had kick started the mine five years earlier. Hail Creek had been brought into production within budget and a month ahead of schedule.

Guests at the opening included Japan's ambassador to Australia and its consul in Queensland, the Queensland premier and ministers, local government and indigenous leaders and close to 30 representatives from major steel producers in Japan, China, Korea and India.



To dream the impossible seam After a series of thwarted attempts over almost 30 years, the Rio Tinto team who finally brought Hail Creek into production had good reason to celebrate. By Tony Urquhart. Back in 1989, Dr Mal Lees, a metallurgist with what was then Rio Tinto's Pacific Coal subsidiary (now Rio Tinto Coal Australia), was asked to develop a new coal business. He was given two options. Much to the surprise of many colleagues in the industry, he chose Hail Creek, a coking coal deposit 130km west of Mackay in central Queensland. "More than one person told me that I was wasting my time," Mal recalls. That scepticism was well founded. Since its discovery in 1968, Hail Creek's history had been one of disappointments. Several promising attempts to develop the mine had been scuttled by a coincidence of factors that included periodic recessions in the global steel market, a federal government tax impost and hikes in labour costs. So the gala event held last November to celebrate the completion of the two years and US$255m spent constructing Hail Creek was also a private "I told you so" moment for the small team who had kick started the mine five years earlier. Hail Creek had been brought into production within budget and a month ahead of schedule. Guests at the opening included Japan's ambassador to Australia and its consul in Queensland, the Queensland premier and ministers, local government and indigenous leaders and close to 30 representatives from major steel producers in Japan, China, Korea and India.
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