“Collinsville mine has begun a 12-month journey to full coal production, with Glencore restarting the open cut operation this week as an owner-operator business,” a Glencore spokesman told ILN in a statement.
“Glencore met with key community representatives and business owners last week, providing details on the mine’s restart, plans to return to full production by the end of 2014 and the opportunities available to local communities as activity on the site ramps up.”
Among the changes to reverse two years of financial losses, Glencore not only took over operatorship of the mine but has introduced larger capacity equipment, overhauled mine plans, addressed restrictions at the coal preparation plant and launched new workplace agreements.
“Glencore has already commenced an initial start-up workforce of around 20 employees,” the company said.
“This will grow in stages to approximately 250 by year’s end, including a component of labour hire workers and other contractors.
“Local businesses are also being given assistance with registrations that will enable them to provide services to the mine, including but not limited to earthmoving, quarry supplies, trade maintenance and small equipment hire.”
The company emphasised that some ex-workers of the mine had been rehired.
“We have consistently stated that we intend to utilise skills available locally and we are doing this: the majority of the start-up workforce directly employed by Glencore are either ex-Thiess employees or are from the local communities,” the Glencore spokesman said.
He said Glencore received overwhelmingly positive feedback from all of last week’s update briefings.
“Coupled with the 2300 applications we received for positions at the mine, it demonstrates strong support for our vision of a mining operation that can continue to provide long-term benefits for Collinsville,” he said.
Last year the Construction, Forestry, Mining and Energy Union viewed Glencore’s Collinsville strategy as an attempt to de-unionise the Collinsville town and to start re-employing miners on less conditions and job entitlements.
It previously discussed legal options to contest Glencore’s plans, especially under the transfer of business provisions of the Fair Work Act.
The mine’s production capacity was 4.5 million tonnes per annum of thermal and coking coal in 2012 – back when there were nearly 500 people in its workforce.