Frontier-Kemper Constructors has been awarded a contract valued at approximately $63.7 million by Warrior Met Coal for the Blue Creek Energy Mine No. 1 project in Tuscaloosa County, Alabama, USA. The scope of work includes the excavation and construction of the mine shaft, mine slope, slope hoist and service hoist.
The single longwall mine is expected to produce an average of 4.3 million short tons per year of premium High-Vol A met coal over the first 10 years of production. Blue Creek is expected to have a mine life of approximately 50 years assuming a single longwall operation.
Warrior expects to invest approximately $550 million to $600 million over the next five years to develop Blue Creek with expected spending in 2020 of approximately $25 million to begin the project.
First development tons from continuous miner units is expected to occur in the third quarter of 2023 with the longwall scheduled to start up in the second quarter of 2025.