Business
Harworth Colliery update
Harworth Colliery update.
About this update from Harworth Group Plc
[{"type":"text","content":"\n UK Coal PLC\n12 June 2006\n\n\n\n UK COAL PLC\n\n12 June, 2006\n\n\n HARWORTH COLLIERY MOTHBALLING CONFIRMED\n\n\nUK COAL today confirms that it is to proceed with the mothballing of Harworth\nColliery as previously announced.\n\nThe decision is a result of being unable to secure a sales contract to justify\nthe investment request to access further coal reserves at the Colliery.\n\nA statutory notice advising of redundancies following a 90-day consultation\nperiod is being issued. UK COAL will, however, continue to work towards a\ncommercial solution within this period.\n\n\nAt the time of the initial mothballing decision, the Group reported it had\nretained fixed assets at the colliery with a value of £12 million. Since then a\nfurther £3 million has been invested to develop access to further reserves.\nThese asset values will be reviewed for impairment and dependent upon\nthe expected value of the remaining underground reserves, there may be a future\nnon cash write off.\n\n\nUK COAL Chief Executive Gerry Spindler said: 'Everyone has worked tirelessly to\nfind a solution. The performance and dedication of the workforce at Harworth has\nbeen exemplary. We have all worked extremely hard to save the colliery at a time\nof increasing demand for coal, and will continue to do so.'\n\n\nMEDIA CONTACTS:\n\n\nFinancial\n\nGavin Anderson & Company 020 7554 1400\n\nKen Cronin\nMichael Turner\n\nOperational\n\nStuart Oliver 01525 381759\n\n 07774 231178\n\n\n This information is provided by RNS\n The company news service from the London Stock Exchange\n \n ","length":1807,"tagName":"div"}]