BMA shafts Peak Downs expansion

BMA has halted its planned expansion of the Peak Downs coal mine, however it will still go ahead with its Caval Ridge and Daunia mines.

The announcement comes as BHP, one of its joint venture owners, records a massive 34% drop in profits year on year, losing more than a billion dollars in its metallurgical coal division alone, and shelves its Olympic Dam expansion plans.

Earlier this week BHP Billiton CEO Marius Kloppers  stated there is also "broad industry movement" toward cutting jobs on Queensland coal developments.

He explained that there is a “ movement toward personnel reductions, contractor stand-downs and so on in that coal industry”. 

While the miner is currently reviewing the viability of its coal operations across the Bowen Basin, and has already closed its Norwich Park mine, CFMEU national president Tony Maher stated that the mining boom is still “in full swing,” according to the CQ News.

"Mining companies would like to have us believe they are under the pump and need to pay less tax, cut jobs and contribute less to local communities," Mr Maher said.

"Don't be fooled."

To date Rio, Xstrata, and BHP have all cut contractor and some full time positions across Queensland’s coalfields as the price of thermal coal drops dramatically.

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