The announcement is a huge shock for the Illawarra and Southern Coal regions, with Wollongong Coal also announcing 152 redundancies at its Wongawilli and Russell Vale operations.

Employees and staff at Tahmoor were informed that one of the mine’s development crews would be made redundant from July 1, 2014.

The changes, affecting approximately 40 full-time employees and contractors, are part of an ongoing review of the Tahmoor coal operations, according to the company.

“We appreciate that this may be a difficult time for some of our employees and their families,” the company said in a statement.

“Support services are being put in place for Tahmoor employees affected by the changes and redeployment options across Glencore’s Australian operations are being investigated.”

Tahmoor operates in the Bulli coal seam, with the majority of its product being hard coking coal while also producing small amounts of steaming blend coal.

It employs approximately 400 employees and contractors.

Glencore’s Tahmoor South project proposes to continue the Tahmoor mine for an additional 18 years of operation, to approximately 2040, with the extension of underground operations south, within the Bargo area and towards the east under Pheasants Nest.