Yancoal are shedding jobs in the Gloucester Basin with Duralie and Stratford mines set to lose 60 employees.
In a statement sent to Australian Mining the company said low commodity prices had led to the decision to cut production at the two mines.
Two contractors operate the mines, while Stratford Coal is in charge of the coal handling and processing facilities for both mines. Ditchfield Contracting operates Stratford and Leighton operates Duralie.
It is not yet clear the exact number of workers each mine is set to lose but as part of the changes, Stratford Coal will close its current Roseville Pit operations and Duralie Coal will move to a six day a week roster.While the coal handling facilities and preparation plant will move to a five day a week roster.
The mines general manager, Doug Gordon, said the decision the reduce capacity was made to minimise loss.
“This decision was not made lightly, however in the current economic environment of high operating costs and low commodity prices this action is necessary,” Gordon said.
“We will continue to monitor the performance of the operations in a prudent manner and take appropriate action if required.”
“More cost reductions are planned for 2013 with another 11 per cent expected, taking the total cost cuts from first half 2012 to about 15 per cent for the company,” it said.
While it was reserved in its outlook Yancoal said it expected coal prices to gradually increase as the global economy “gathers momentum”.
Yancoal own six coal mines in NSW and three in Queensland, with a combined workforce of 350.