Owned by Cumnock Coal, 84% owned by Enex Resources, the mine currently produces 2-3 million tonnes per annum. According to Minister for Mineral Resources, Eddie Obeid, Enex plans to invest more than $37 million developing the extension to the mine, enabling the mine to lift production to 4.5Mtpa.
Obeid said the new lease directly benefits the Hunter community as the mine injects up to $44 million a year into the local economy.
“This extension gives Cumnock's 193 mine workers and their families greater security,” Obeid said.
“And it's continuing good news for the Hunter coal industry which has seen a 4% increase in jobs and a 2 million tonne per annum increase in production in the past financial year.”
The new lease builds on a number of recent expansions in the Hunter Coal industry. New developments include the recent expansion of the Dartbrook Colliery and the development of the Mount Arthur North Project.
Obeid said the NSW Government approved the extension to the Cumnock mine last November with a number of strict conditions to protect the environment and surrounding properties.
The company will use existing underground infrastructure and coal will be loaded at the adjacent Ravensworth Coal Terminal and railed to the port at Newcastle.
"I'm advised Enex is now a very significant player in the Hunter with managed saleable production of 27.5 million tonnes in 2001," Obeid said.
