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August 2016 www.coalage.com 45 eastern europe continued a willingness to fund requalification pro- grams for the 13,000 miners whose jobs are now at risk. In general, the Czech gov- ernment is prepared for the possible clo- sure of coal mines, as its recent forecast indicated the reduction of coal's share in electricity generation from 52% today to 30.5% in 2030. OKD, however, mines 11 million mtpy of metallurgical coal, which is con- sumed by the country's steel industry. These mines have now reached a depth of 1,270 m (4,167 ft) with production costs running as high as $70/mt. These excessive production costs led to large losses for OKD. In 2014, it applied to re- structure debt with the gradual closing of the Paskov mine and the introduction of cost-reducing technologies at other mines. The insolvency petition will likely put an end to implementation of the debt restructuring program and the compa- ny's operation. Since the middle of May, the Czech government has refused to in- ject funds into the company's operations, despite the fact that the collapse of OKD could cost Czech Republic 0.4% of GDP and a loss of approximately $1.5 billion. Part of problems for OKD is associated with environmental policy. The government established environmental mining limits in 1991 which currently prevent access to over 1 billion mt of coal. The restrictions prevent the extension of existing mineable areas and preclude the opening of new mines to pro- tect villages and towns from being affected by mining activities. Lifting the restrictions could give the country's mining companies access to low-cost reserves. In October 2015, the Czech govern- ment agreed to expand the mining area for Bilina mine near Teplicku, which should significantly improve the situation for the Czech Republic's largest lignite produc- er, Severoceské doly. Together the Bilina mine, which is the largest open-cut mine in Central Europe, and the Tusimice mine currently produce 23 million mtpy of lig- nite, which is burned by power plants. Czech mining companies are explor- ing for new deposits, particularly along the Czech-Polish border where an agreement has been drawn up between the countries to allow for coal exploration. This is in an- ticipation of the lifting of the current min- ing restrictions in this area. The companies are also evaluating the possibility of re-opening closed mines through application of modern efficient mining methods. The existing mines have in recent years modernized operations by investing in conveyor systems and slurry management. Two new filter presses were recently installed for dewatering refuse. The decision by Czech authorities to lift limits has been welcomed by the lig- nite mining industry, which believes it will open access to 120 million mtpy of brown coal. Theoretically, Severoceské doly would be able to operate until 2055, producing 9.7 million mtpy of lignite from this region at one of the most competitive prices in Europe. A similar decision awaits the Czech Coal Group in regard to its two mines Litvinovska uhelna and Vrsanska uhelna. Litvinovska uhelna owns a license to mine one of the largest high-quality brown coal reserves in the Czech Republic. The re- serve boasts 24 million mt with an average calorific value of 17.5 MJ/kg. It is part of a much larger reserve, estimated at 750 mil- lion mt of lignite, but mining in this area is prohibited by environmental policy. ■ 6X more CM systems operating in U.S. coal mines than any other manufacturer ■ Precise location of workers maximizes safety and productivity ■ Dynamic SharpZone TM technology - maximizes mine productivity - minimizes nuisance / false alarms sales@matrixteam.com MineOwl Mobile Machinery Low-Light Camera System Camera Bright LED lights housed in rugged XP housing Hi-res LCD monitor in rugged XP housing Mining Technology S ept 26-28 B ooth 2829 S ee a D emo at