The company, which has iron ore assets in the Pilbara region of Western Australia, has also confirmed that it has been purchasing coal mining tenements in Queensland’s Bowen Basin region around Dysart.

“Fortescue is far from the development stage in New Zealand,” a company spokesperson told ILN.

“The company is looking at a number of options and the mine could even be an open cut operation.”

Over the weekend, Prime Minister John Key said that underground coal mining in New Zealand would need to be looked at closely if more lives were at risk but this has not deterred FMG.

The company is proceeding with its appointment earlier this year of a senior coal geologist to be based in Wellington to further develop its coal mining interests in the country.

Closer to home, FMG has snapped up exploration permit coal tenures around the Queensland mining towns of Emerald, Nebo and Dysart.

At least five coal projects are listed in the documents, with three granted by Queensland Mines and Energy and two awaiting approval, according to The Australian.

FMG shares were down A12c to $6.53 in morning trade.