Illawarra Coal and Delta Mining have forged an agreement that will extend production at the Elouera coal mine in the Illawarra by 15 months.
Illawarra Coal ceased production at Elouera in June in line with the opening of Dendrobium mine.
As a result of the arrangement, Picton-based Delta Mining is now the full operator of the site and stockpile facilities.
Delta Mining will provide all management and operational personnel, including up to 80 mine workers, and will assume responsibility for community consultation for the underground mine’s operation.
Illawarra Coal retains ownership of the mine lease and at the end of the contract will reassume control.
Delta Mining is a privately owned labour hire company created seven years ago; it currently employs 180 people working in all roles within Illawarra Coal operations.
Delta Mining director Glyn Dawkins tells Australian Mining the company is hoping to rename the mine Delta #1 Colliery, subject to that name’s availability.
Dawkins says the company progressively filled new job vacancies at the mine in October. He says the development of the first longwall panel is on schedule to start in mid November.
“The existing equipment at the site is sufficient to carry out the development and longwall operations, and equipment will only be brought on site for longwall relocations,” Dawkins says.
The company has moved to immediately eliminate some inefficiencies.
“The mine currently has the bathhouse and demountable buildings as office accommodation at the bottom the escarpment (bottom level) with the material storage, workshop, control room, unused office accommodation and mine entrance about 1.2km up the escarpment (top level), which leads to inefficiencies.
“We will relocated the offices to the top level of the mine from day one. Management and deputies will use existing bathhouse facilities at the top level.”
Dawkins says construction of a new bathhouse for all employees within the existing workshop structure began in October, along with parking at top level, and will be complete in December.
New roster arrangements will let employees change at the face. These changes will improve mine communication and surface control, as well as simplify transport needs and reduce travel time to the face.
“Further improvements will come from Delta working with the mine management team and employees to develop and implement the best operating systems for the mine,” he says.