Powering up for the Future
PROJECT DIRECTED BY
WRITTEN BY
Jamie Waite
Romana Moares
Westmoreland Mining
Powering up for the Future Founded nearly 170 years ago, Westmoreland, the oldest independent coal company in the United States, has long been a cornerstone of America’s energy generation sector. Today, facing a changing environment, the company is transforming into a business set to meet the energy needs of tomorrow..
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estmoreland boasts an impressive history stretching back to 1854. Over the years, the company has gone through various changes, meeting challenges and capitalising on opportunities, generating a solid footprint on the North American continent and becoming an indispensable part of the economy. With a track record of innovation and service, together with a zero-harm commitment to worker safety, the company has energised and supported communities and businesses for decades. The changing energy environment that profoundly affected the coal industry in the new millennium also hit Westmoreland, but in 2019 the company emerged from Chapter 11 Bankruptcy in a new shape and form, drawing on its legacy, but also set to transform to serve new needs, expanding its focus to include new lines of business.
Martin Purvis, CEO, Westmoreland Mining
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This was the time when Martin Purvis was brought in to try to rebuild the business and transition Westmoreland into something different, while making the most of its existing assets. The results of the last three years under his
Dump trucks ready to go at Westmoreland’s Rosebud mine
leadership as the company CEO speak for themselves. “We are a company now that is very focused on its future: transitioning, evolving into a different entity,” he says. Today, Westmoreland’s traditional operations include a variety of underground and surface, thermal coal mines in the western United States and Canada, a char production facility, and a 50% interest in an activated carbon plant. The company has 14 operations in total, including 12 mines stretching all the way from Canada through Montana, North Dakota and down to New Mexico, following the spine of the Rocky Mountains. It continues to be an essential partner to power generating stations, while supporting communities as before.
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Resources Feature Inspiring leadership Martin, a mining engineer by trade, has spent over 40 years working in the industry. After completing a BSc Honours Degree at Leeds University in the UK, he started his career with Anglo American Corporation in the deep-level gold mines in South Africa. Since then he has occupied a number of senior leadership roles in a broad range of operational and corporate positions, across a diversified portfolio of commodities, with international coal trade and developments being a key component of that journey. Martin says he was destined for a career in mining since his school days, when on a school trip he visited Grime’s Graves, the prehistoric flint mine in Norfolk, and was captivated. “My mother, who herself was passionate about her lifelong job as a nurse, used to say: find something that you love and enjoy, then you wouldn’t have to work a day in your life. I have found that in mining,” he says. “I’ve worked in all the major continents, excluding Antarctica (but you never know?) in many different types of mines from gold, coal and base metals to specialty minerals and diamonds, interacting with so many different people and cultures along the way. To say it has been an awesome adventure would be an understatement. I have been a very lucky person to join this incredible industry, I love every day, but never take the opportunity I’ve been given for granted.” He reflects that being surrounded by great people is the recipe for success, and the first one to receive a mention is his wife. “To have a great partner is key, and my fabulous wife Lesley has supported me in that journey every step of the way. So to be successful, at least in my view, you must enjoy what you do but also, and ultimately, it’s your colleagues, support group and work mates that make all the difference to your career, well-being and success.” Speaking about the transformation achieved in
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Westmoreland Mining the company over the last three years, he mentions how fortunate he has been to have a great team of vastly experienced individuals in his leadership team to rely upon. “As many people know, going through Chapter 11 is a gruelling experience and these individuals stuck around through thick and thin to build a much better, stronger platform for the future.
Pre-shift vehicle inspection at Westmoreland’s Rosebud mine
“Without their dedication and effort, we would be facing a very different and far less promising future than the one we look at today. We have also been lucky to have a nimble, knowledgeable, and supportive Board of Directors, with Paul Vining, something of an icon in our industry, mentoring and guiding our progress every step of the way.
Paul Vining, Chairman, Westmoreland Mining
“People in this company are passionate about the journey towards a paradigm for change. There is a strong belief and energy around what we want to be as we transition and grow around a new set of wants and needs in a business prepared for the future.” Martin notes that this agile approach has proved invaluable during the Covid pandemic that has been around for most of his tenure as CEO. “Throughout the company we adopted a ‘change before you have to’ mentality, and this made a big difference to mitigating the impacts on both the business and our people.”
Imperial Oil Proudly supplying Westmoreland “Imperial has had a long and valued relationship with Westmoreland, and is proud to supply their mines across western Canada with high quality fuels and lubricants. In recent months, Imperial has had the opportunity to work with Westmoreland to conduct a field demonstration of its advanced, fully formulated Esso Diesel Efficient on the mine’s equipment. The trial is in its final stages of analysis, but Imperial fully expects that Westmoreland will see the benefits associated with using Esso Diesel Efficient. Westmoreland is a progressive partner and Imperial looks forward to supporting their continued success.”
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Contact your Imperial representative to learn more about the benefits of Esso Diesel Efficient™ fuel for your business. *Applies to Diesel Efficient-branded fuel compared to diesel fuel without detergent additive. Actual benefits and fuel economy will vary depending on factors such as vehicle/engine type, engine conditions, driving style and diesel fuel previously used. Imperial and Esso are trademarks of Imperial Oil Limited. Imperial Oil licensee. Diesel Efficient is a trademark or registered trademark of Exxon Mobil Corporation or one of its subsidiaries. Imperial Oil, licensee.
Westmoreland Mining
Resources Feature
In a modern form In today’s world, energy is something most people take for granted. Energy security is one of the basic human needs, a critical aspect that generates warmth, food, jobs. Westmoreland produces around 25 million tonnes of coal a year, providing power to roughly 4 million homes, as well as to factories, schools, and hospitals.
“However, we do realise that things are going to change. The good news here is that thanks to our history and the valuable footprint on which it was made, we’ve already identified opportunities to develop some very exciting new initiatives. We operate in prime locations in proximity to people and communities with fabulous skills, in areas with existing infrastructure, right on top of key interconnectors to the grid. We plan to use these assets to explore and build advanced solar plants, carbon capture facilities and even agricultural products like organic fertilisers.”
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Coal mining will go on for many years to come, but we are going to expand other business lines.
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A new enterprise that will be the home for innovative ideas and initiatives that provide solutions and products for the world we live in today and for the future.
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“We can’t just switch off our mines, we still have the legacy and the responsibility to meet the demands of those people who don’t have any alternatives. To do this we operate 365-days a year, round the clock and in every type of weather, from bitter, freezing cold to over a 100 degrees at some of our mines. Everyone in our company is well aware of the responsibility we carry,” Martin affirms.
- WestMET
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These environmentally friendly initiatives, as well as others in the pipeline, will run in parallel with coal mining in a new vehicle called WestMET, which stands for Westmoreland Minerals, Energy and Technology. “Coal mining will go on for many years to come, but we are going to expand other business lines to form a unique business enterprise for our shareholders and employees,” Martin says.
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Jeffrey Kukura, SVP of Technical Services and Organizational Transformation
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Resources Feature
Westmoreland Mining
Delivering on the promise Now more than ever, technology is playing a vital role in the resource industry. With the rise of GPS drones, advanced software programs and intelligent mining equipment, the coal mining industry is keeping pace with other mining sectors. Utilising the latest technology allows Westmoreland to make the most of its resources, enhance operational efficiency, reduce costs and most important, to further enhance operational safety. “Mining will continue to be a vital but often overlooked contributor to the lives of people on this planet. For me, the difference between cave dwellers and space travellers is mining. No other endeavour, going back to the difference that those flint tools and flint buildings made to pre-historic man, has delivered the quantum of change in humanity that mining has. It is just as critical today – probably more so with close to 8 billion “tech-hungry” inhabitants – as it has always been.” Martin reiterates that Westmoreland has clear objectives going forward, to deliver on long-standing contractual requirements with impeccable reliability and, just as importantly, to transition and prepare the company for a new and multi-faceted energy environment. As proof of concept and to prove a point, Martin reflects on the past three years. “We’ve gained more and more momentum and confidence in our model since emergence back in March 2019, delivering several major milestones on the way. Together, this Westmoreland team has generated over US$250 million of free cash flow and paid off our entire First Lien debt, more than six months ahead of schedule. At the same time we have lifted our ambitions from the current to the future and all going well, established the foundations for the next few chapters of this amazing company.” www.westmoreland.com Surface work at San Juan
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Westmoreland Mining www.westmoreland.com
info@busenq.com www.busenq.com