Glencore today announced it would suspend production at its Ravensworth Underground Mine from September “due to the increasingly difficult economic conditions the mine is experiencing”.
A Glencore spokesperson stated that “continued operations were no longer financially viable due to combination of lower prices, higher production costs at the mine, a strong Australian dollar and geological constraints in future mining areas”.
The job losses announced today follow other recent announcements of Hunter job losses including at Anglo American’s Drayton mine and Lake Coal’s Chain Valley mine.
The underground complex employs around 130 full time workers, and three contractors.
NSW Minerals Council CEO, Stephen Galilee said he was saddened and disappointed with the announcement.
“The job losses announced today will add to the 1500 direct mining job lost in Hunter over last 18 months, placing further strain on communities and businesses in the Hunter who rely on mining,”
“Job losses of this scale in other sectors would prompt urgent government attention and even an assistance package of measures, but it seems the Hunter’s miners have become the forgotten workers of NSW.”
“It is true that the global commodity prices and exchange rates are a continuing challenge for the NSW mining sector.”
“However, here in NSW the planning system is also broken, and ongoing regulatory uncertainty is making it more difficult for the industry to operate in the face these global challenges.”
“Ongoing growth in global demand for energy means the Hunter coal industry has a strong future, provided we get the policy setting right so current challenges can be overcome.”
“It’s time for urgent action from the NSW Government on planning and regulation so further job losses are avoided,” Mr Galilee said.
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