One hundred new jobs are expected to be created as one of Queensland’s oldest mines re-opens.
Junior miner TerraCom has announced it has purchased the Blair Athol coal mine, through its wholly owned subsidary Orion Mining, for just $1.
The deal includes the mining lease, licences, land, contracts and equipment, as well as $80m from the previous owner to rehabilitate the mine when it closes, which will be held by the Department of Natural Resources and Mines.
The mine was closed by Rio Tinto in 2012 after three decades of operation due to low coal prices.
Clermont Region general manager operations Dawid Pretorius said at the time the mine’s coal seams were “largely mined out and the time has come to finish production”.
TerraCom said it has plans to hire a local workforce of 100 for the mine.
The mine is expected to produce two million tonnes per annum of coal with operations recommencing by the end of the year.
At its peak, Blair Athol Mine was Australia’s largest exporter of thermal coal.