Glencore's Collinsville Coal Mine will temporarily shut down for two weeks in September.
Glencore's Collinsville Coal Mine will temporarily shut down for two weeks in September.

SHUT DOWN: Two CQ mines to temporarily close

A MINING giant will temporarily halt work at two CQ sites as part of a company-wide push to wind back production as COVID-19 and Chinese government policies impact the overseas markets.

Glencore Coal began discussions with staff on Friday at its Newlands and Collinsville mines for a two-week shut down coinciding with the September school holidays.

Employees will be required to take annual leave during this time.

Newlands mine near Glenden, Bowen Basin, is owned by Glencore
Newlands mine near Glenden, Bowen Basin, is owned by Glencore

There will be no change at its other sites, which include Hail Creek, Oakey Creek, Clermont and Rolleston, for the moment.

However, Rolleston also had a temporary shut down during the July school holidays.

The company will rollout similar shutdown procedures at a number of its New South Wales sites in a bid to reduce total production by seven million tonnes.

 

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It will involve shutdowns of non-essential mining areas and in some instances, pieces of equipment.

The company says this response is similar to action taken in 2015 when there were similar pressures on the market.

A Glencore Coal spokesman said these steps would allow the company to minimise the impact on employees and have the flexibility to "ramp up" when the market improved.

"Everything is under review and will continue to be under review," the spokesman said, adding the company had so far been able to weather the COVID-19 storm until now.

"We'll manage it as best we can and minimise the impacts to our permanent positions.

 

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"These measures will enable us to align out production levels with market demand, while providing the flexibility to ramp back up as economies recover from the effects of COVID-19.

"Our focus is on taking necessary steps to continue operations, manage the current market volatility and limit the impact on our workforce.

"The changes are consistent with measure we have put in place in the past in response to challenging global market conditions."


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