The creditors made the decision on Friday, effectively starting the dismantling of the New South Wales underground coal contracting business.

GrantThornton said in a statement to the Australian Securities Exchange in June that Delta had a highly experienced and professional workforce who understood site expectations and requirements with Tier-1 and 2 mining clients.

“It is a reputable and well-recognised brand,” Jahani said.

“It has operations across New South Wales and in Mackay, Queensland.

“The business generated revenue of circa $70.4 million in FY16.” 

However, no suitable buyers of the business came forward before the deadline for non-binding offers.

In June, 200 Delta SBD employees who were working at South32’s troubled Appin coal mine in New South Wales before Delta went into voluntary administration returned to work under a deal worked out between Grant Thornton and South32.

Jahani said the agreement was the result of a collective effort from a range of key stakeholders.