The state-owned company blamed low international coal prices for the need to lower production by 26% from 1.9 million tonnes per annum to 1.4Mtpa in the next financial year.

The move will also reduce the mine’s workforce by the same percentage with the headcount planned to fall from 521 to 386.

“The decision will mean redundancy for 135 employees – 33 management, technical, support services and administrative staff and 102 people employed under the collective agreement terms and conditions,” Solid said on Friday afternoon.

“The company will now undertake a process to select employees for the remaining mining jobs and in other areas where fewer people are required. The selection processes are similar to those used by the company in earlier restructurings. It is expected that this will be completed by the end of July.”

Solid CEO Dan Clifford said constructive feedback was received during the consultation period which “resulted in some changes to the final structure”.

Earlier this month Solid was planning to shed 137 jobs at Stockton – meaning that two positions have been saved.