Mining operations are performed by Tarrawonga Coal Pty Ltd.

Production at Tarrawonga commenced in June 2006 with the mine currently producing a mix of low ash, low sulphur, low phosphorus, medium to high volatile PCI/semi-soft coking coal and export thermal coal (long-term average coal mix expected to be approximately 80% PCI/semi-soft coking coal). Resources currently support a mine life of 20 years at a ROM production rate of 3Mtpa. The approvals process has commenced to extend mining consents out to this defined Resources limit.

In May 2011, Whitehaven entered into a Heads of Agreement with Idemitsu in relation to the extension of the Tarrawonga Joint Venture. The expansion arrangements were formalised between the parties in August 2011 and include:

• the development of a rail spur and a CHPP (Boggabri CHPP) to service the coal processing and transport needs of both joint venture participants, including tolling arrangements for both parties;
• a restructuring of the tenement ownership within the expanded joint venture area to ensure Whitehaven and Idemitsu continue to have a 70% and 30% interest respectively in each tenement within the project area; and
• Idemitsu sourcing port capacity for its 30% share of tonnage from the Tarrawonga mine which will free up port capacity of up to 0.8Mtpa for Whitehaven in future periods.
  

It is expected that Whitehaven and Idemitsu will receive improved economic benefits from the better utilisation of the proposed Boggabri CHPP and rail loading facilities. In addition, the arrangements will free-up existing Gunnedah CHPP and rail loading capacity for use by other Whitehaven mines, including the proposed Vickery Project.