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Production targets put in doubt at UK Coal following death
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Sunday, 01 Nov 2009
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It is reported that UK Coal has suspended production at one of its sites following the recent death of a mineworker.

UK Coal said that the incident at its Kellingley colliery in Yorkshire last week, which resulted in the death of 46 year old Mr Ian Cameron, would see the site closed for up to another fortnight.

UK Coal said that the closure would affect its total production for the year, reducing its estimated deep mines output to 6.2 million tonnes, from a range of 6.4 million tonnes to 6.6 million tonnes.

In a trading update, the firm said that production across its mining operations in the year to September was broadly in line with the equivalent period last year, at 5.4 million tonnes as compared to 5.5 million tonnes in 2008.

But it said that "The recent tragedy at Kellingley has, however, introduced an increased degree of uncertainty regarding the output from Kellingley for the year."

Mr Chris Millington of Numis Securities said that the temporary closure of the Kellingley site as well as a slightly lower than expected coal price meant he expects full year losses to widen from an initial forecast of GBP 79.2 million to GBP 91.2 million.

(Sourced from www.dailymail.co.uk)

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