US coal mining giant Peabody Energy will cut almost half of their staff as they reduce production at a Queensland mine.
Peabody Energy has announced that it will be reducing metallurgical coal production by about 1.5 million tons per year from its North Goonyella Mine.
A statement released by the company said their “modified production plan” was designed to lower costs, improve cash flows and increase productivity.
“Over the next month, the mine is expected to transition to one production shift per day, with associated employee and contractor reductions of 35 to 40 percent,” the statement said.
“Peabody expects production at the mine to decline to approximately 2.3 million tons this year from originally projected 2015 production levels of 3.0 million tons.”
The Courier Mail reported a spokesperson said between 35 and 40 per cent of the 525 jobs at the mine would be axed as the company transition to one production shift per day.