Bounty Mining receivers to decide company future

Bounty Mining could head into recapitalisation and/or company sale, with receivers Pricewaterhouse Coopers seeking expressions of interest.

The potential recapitalisation and sale will include Bounty Mining’s projects, assets and subsidiaries.

Bounty has a portfolio of coking and thermal coal production, development and exploration assets in and around the Bowen and Laura Basins in Queensland.

The New South Wales-headquartered company has stated it was “exploring all options”, including selling and/or restructuring the business when it entered into voluntary administration last month.

Bounty has experienced a period of depressed coking coal prices, with production taking a hit after a roof fell at the Cook Colliery near Blackwater in mid-October.

It lost 23,000 tonnes of run-of-mine (ROM) production during that month and let go 21 workers a month later.

Bounty estimated additional indirect losses of 150,000 tonnes ROM and around 135,000 tonnes of reserves following the roof fall.

The company acquired Cook Colliery from Caledon Coal in December 2017 after the mine had sustained flood damage earlier in the year.

Bounty had originally aimed to ramp up production at Cook Colliery to a rate of 2.2 million tonnes ROM a year.

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