Walter flags longwall op layoff spree

WALTER Energy has warned it might lay off a total of 370 workers from its Alabama-based No.7 longwall operation, the No. 5 preparation plant and an associated workshop.

Blair Price

The workers were told they could be dismissed in mid-July if metallurgical coal market conditions did not improve.

In a corporate filing last month, Walter flagged a possible bankruptcy as it said there was substantial doubt about the company’s ability to continue as a going concern.

The No. 7 mine produced about 1.1 million tonnes of met coal in the March quarter with the output accounting for about 44% of Walter’s total sales.