BHP Billiton expects its Queensland coking coal production capacity to grow by 50 per cent by the end of 2014.

The global miner said production capacity in Queensland would reach 66 million tonnes a year, up from 44 million tonnes in fiscal 2012 when strike action took a toll.

“By the end of 2014 the capacity of Queensland coal will be 50 per cent higher than the production rate in full year 2012,” BHP’s head of ferrous and coal Marcus Randolph said in slides prepared for an investor presentation on Tuesday.

The world’s biggest miner said it had experienced a strong recovery in the September 2012 quarter as production from its BHP Billiton Mitsubishi Alliance (BMA) joint venture in Queensland increased to more than 80 per cent of supply chain capacity.

Its Hay Point capacity would increase from 44 million tonnes to 55 million tonnes by the end of 2014.

BHP added that its West Australian iron ore projects were on schedule and on budget.

It said opportunities to improve congestion at its WA iron ore operations had the potential to release “significant capacity, well beyond 220 million tonnes”.

The commissioning of its Port Hedland inner harbour expansion were on schedule for the second half of this year.

BHP’s shares were 16 cents higher at $33.99 at 1340 AEST.