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Steady she goes at UK Coal

UK Coal achieved steady production in the September quarter, with further output consistency expe...

Angie Tomlinson
Steady she goes at UK Coal

The company’s mines produced 1.8 million tonnes in the September quarter and 5.4Mt year-to-date.

Despite lower international coal prices, average sales prices were at a historically high level, albeit lower than last year.

Revenues for the quarter were £95 million and £255 million year-to-date.

Development programs at Daw Mill, Kellingley and Thoresby are on track as UK Coal looks to access substantial reserves at improved and more predictable production resulting in better economics.

Production on the final panel to be worked at Welbeck started in September 2009 and will be completed in the first quarter of 2010 when the mine is expected to close.

During the quarter UK Coal reported a fatality at Kellingley. Both company and Health and Safety Executive investigations are continuing into the accident.

The HSE recently said it intended to prosecute UK Coal for alleged health and safety breaches following four fatalities in separate incidents at Daw Mill in 2006 and 2007, and at Welbeck in 2007.

The company said summonses had been received.

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