Mine general manager Peter Whittal said despite a tight domestic labour market it had been able to recruit a number of Kiwis into the mine with roughly one-third being local West Coasters.

“However, there are some specialist areas such as the electrical trades where we have advertised around the country for 12 positions, but only had two applications,” he said.

“As a result, we have had to look to recruit offshore with countries like South Africa and Australia proving to be a good source for skilled mining positions where there are local shortages.”

The Pike River underground mine, located 50km northeast of Greymouth on New Zealand’s South Island, will use a hydraulic mining method – which involves using high-pressure water from a hydraulic monitor (essentially water cannon) to cut and transport coal from either side of a pre-driven roadway.

First coal production is expected around August 31 and will produce 200,000 tonnes for the 2008/09 financial year.

Whittal said the mine had taken onboard six deputies, 13 experienced miners, six trainee miners and eight tradesmen since March. It has also employed three local apprentices to develop more skills in the local area.

The company will eventually employ 150 staff when full production starts in mid-2009, with estimated downstream employment for at least another 450 locals providing support services.

This will make Pike River the fifth largest employer on the West Coast, spending $NZ30 million annually on labour, transport, power and support services sourced locally.