The company, which is keen to maintain production levels as it seeks to capitalise on record prices for coal and global shortages caused by the floods in Queensland during December and January, has reportedly broken a deadlock over salary increases.

"The workers have decided to accept the last offer and the agreement is being drafted and could be signed on Tuesday," Dow Jones quoted president of Sintracarbon union Igor Díaz as saying.

Workers had insisted on a 7% increase while the company reportedly hiked its offer to 6.5% during a last-minute meeting on Friday.

Colombia exported 76 million tonnes of coal in 2010 and is expected to ship up to 90Mt this year.

Cerrejon produced 90,000t of coal per day in January and is expected to produce 32Mt in 2011.

In the wake of two fatal mine accidents in Colombia over the last two weeks, the minister of mines and energy has projected that production from the world’s fifth-largest coal exporter will rise this year.

According to Bloomberg, Carlos Rodado Noriega told La Republica that 2010 production actually came in 6% below the government’s estimates due to heavy rains affecting production.

The report came after 26 workers were killed in two mine explosions at Colombian coal operations.

The first occurred January 26 at the La Preciosa underground pit mine in the Norte de Santander Province. Investigators and officials are linking the blast to methane.

Colombian President Juan Manuel Santos has called for a review of mine safety.