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Bogdanka applies for licence for coal extraction from “Ostrów” deposit

LW BOGDANKA S.A., the most modern and effective hard coal mine in Poland, a member of the Enea Group, one of the leaders in Poland’s power market, has filed with the Minister of the Environment an application for a mining licence for extraction of hard coal from the “Ostrów” deposit in the “Ludwin” mining area.

To ensure new exploitable resources and to double the total exploitable resources within the framework of the current strategic perspective until 2025 are among Bogdanka’s top priorities. After obtaining access to the “Ostrów” deposit, the Company’s resources will increase by approx. 186 million tonnes. In addition, the Company wants to expand the resources of the “Bogdanka” field by about 33 million tonnes. In total, the Company will increase its resources from approx. 227 million tonnes at present to about 446 million tonnes. Assuming the annual production at the level of approx. 9 million tonnes,  the mine will be able to continue its operations for about 50 years (as compared to the expected life span of about 25 years at present), i.e. by 2067.  

LW Bogdanka expects that it will receive the mining licence for the “Ostrów” deposit in 2017. Simultaneously, the Company is continuing to analyse the K-6, K-7 and “Orzechów” deposits as prospective areas for future mining operations.

The extraction of the “Ostrów” deposit may be started with the use of the existing infrastructure, without the capital intensive construction of new shafts. The plans assume that after the year 2025 vertical deposits will be prepared for mining and the necessary facilities and technical infrastructure will be built on the “Ludwin” field. Preliminary estimates show that the total capital expenditures required to build such infrastructure will amount to PLN 1.2 - 1.3 billion (in real terms).

Before the application for the mining licence was filed, various hydrogeological, geological & engineering and other research works were performed under the prospecting licence granted to the Company in June 2014. LW Bogdanka has also prepared an environmental impact report and obtained a decision of the Regional Environment Protection Directorate in Lublin on the environmental conditions of the “Ostrów” project within the boundaries of the planned “Ludwin” mining area and zone. The process of preparation of the licence application lasted several years and involved tens of employees of Bogdanka.


“The hard coal mining sector requires far-sighted management and planning many years in advance. Therefore, already today we’re submitting our application for a mining licence for coal extraction from the “Ostrów” deposit – as assumed in our strategy announced in the beginning of this year we are planning to double our exploitable resources in the Lublin Coal Basin. Assuming the annual production at the level of about 9 million tonnes, the mine will be able to continue its operations for about 50 years. We want to increase our exploitable resources to ensure the development of the mine and a stable source of fuel for the Enea Group. And this in turn should ensure stable employment for future generations of miners as well as Bogdanka’s support for the development of local communities and the entire Lublin region for several decades,” – said Krzysztof Szlaga, President of the Management Board of LW Bogdanka S.A.