Coalfield Resources sever mining 15 Jul 2013 12:37
COALFIELD Resources, the company that emerged from a restructured UK Coal last year, has severed all ties to the group's mining arm after it went into administration.
Administrators from PwC have been appointed to UK Coal Mine Holdings and UK Coal Operations as a result of the February fire at Daw Mill mine, Warwickshire, which threatened the ongoing viability of its remaining two deep mines and six surface mines.
The move has saved around 2,000 jobs but there will be 350 redundancies at Daw Mill.
Doncaster-based Coalfield Resources, whose largest shareholder is Manchester's Peel Group, said it would have no equity interest in, nor any responsibility for, on-going mining operations as a result of the administration. It previously held a minority interest and a governance role alongside the employee benefit trust that controlled the mining operation.