The company, which is trying to contain mining costs that have blown out by 35% over the last two years, sought orders from Fair Work Australia to stop workers from taking the industrial action earlier this month but housing remains a sticking point in negotiations.

An overtime ban and rolling stoppages will begin from next week until a negotiated solution is reached, Queensland Construction Forestry Mining and Energy Union district president Stephen Smyth reportedly told the ABC.

"These guys have delivered huge profits for Wesfarmers,” he said. They've delivered certainty over the last year through pretty traumatic times. So all we want is a fair deal, for them to sit down, listen to what our members want and bring this potential dispute to an end as well.

"These agreements come around every three or four years and our members get the opportunity ... to push for a replacement agreement which enables to set them up for the coming years."

Wesfarmers Resources managing director Stewart Butel reportedly told analysts the company’s negotiations with key mining unions centred on a few issues.

Butel said Curragh was having encouraging second half FY2012 progress in an ongoing challenging environment as it seeks to expand its annual production to 8.5 million tonnes per annum.

He said tight labour market conditions and broader industry cost pressures continued, with Australia hard coking coal free-on-board cash costs increasing by 70% since 2007. High cost inflation for contractors, parts, consumables and power and the carbon tax impost in FY2013 would also add to cost pressure.

Cost control measures would focus on improving mining and processing practices, equipment utilisation and productivities, and procurement optimisation on key input costs.

Contractor usage and roles would be examined and a best practice benchmarking study underway, Butel said.