South32's Illawarra Metallurgical Coal division recently made changes to contractor arrangements.
The company cut 250 contractor jobs over the last two months.
IMC also spends around $160 million annually with about 400 local suppliers.
The software will be rolled out at 19 South32 locations.
Development is progressing in the main gate of Longwall 17.
Production and sales volumes from Australian operations largely unaffected to date by COVID-19.
WaterNSW is concerned the company is underestimating the full extent of surface water losses.
Illawarra Metallurgical Coal saleable production increased 12,000 tonnes to 5.1Mt.
If revised downwards by 10% yearly spend would need to come to $166.5 million.
IMC implemented and enhanced the leading-edge control and automation operation of a longwall miner.
Big miners show interest in K2fly's software.
Of the 720 submissions, 583 indicated they would support an expansion of the Dendrobium mine.