Peabody is focused on expanding its global platform in the highest-growth markets and is set to triple its presence in Australia by 2010 when its operations on the continent are operating at full capacity. Peabody Australia has substantial market diversity, domestic and seaborne customers and the capacity to access multiple coal ports and railroads. Peabody currently operates 11 surface and underground mines producing thermal and metallurgical coal in Queensland and New South Wales and has a major longwall mine. The operations together produced 21 million tons in 2007, up from 11 million the prior year.

 

Major organic growth projects in Australia include ramping up the Wilpinjong surface mine and the Millennium surface mine and preparation facility. The company also plans to begin shipments at the North Wambo longwall operation this year. Together, these operations will produce nearly 15 million tons of thermal and metallurgical coal in 2008.

 

At a time when the world faces a blend of urgent energy needs and environmental goals, Peabody's Australian operations are proving that coal is an increasingly clean, versatile and sustainable solution. Nearly one-third of the world's coal exports come from Australia, and the U.S. Energy Information Administration forecasts that demand for Australian metallurgical and thermal coal products will grow another 55 percent by 2030.

 

Peabody is helping to meet demand, while demonstrating excellence in environmental stewardship. The company has a long history of working with local communities to return mined lands for beneficial use as high-yield farming and grazing lands, forests, wetlands, wildlife habitat and recreation areas. The company has also committed to minimizing emissions and maximizing energy efficiency as a member of the Greenhouse Challenge Plus, the Australian government's comprehensive Climate Change Strategy. Peabody also participates in COAL21, a fund initiated by the Australian Coal Industry to fully realize the potential of advanced technologies to reduce or eliminate greenhouse gas emissions associated with the use of coal.