Mine jobs near Telford safe as UK Coal in administration
The owner of a mine on the outskirts of Telford has gone into administration, it was revealed this afternoon.
But around 40 workers at the Huntington Lane surface mine, which operates in the shadow of the Wrekin, were today told their jobs are safe.
UK Coal today completed a restructuring plan that saw UK Coal Mine Holdings and UK Coal Operations Ltd appoint administrators at a cost of 350 jobs, mainly from its Daw Mill operation in Warwickshire.
But viable mining assets, including Huntington Lane, will see operations transferred to individual companies owned by a new business under new parent company UK Coal Production.
A devastating fire led to the closure of Daw Mill in March.
In total, 2,000 jobs will be transferred to the new company, including 120 from Daw Mill, with employees retaining terms and conditions.
UK Coal chief executive Kevin McCullough said: "Today is very much a day of mixed emotions, but this is the best outcome that it was possible to achieve.
"Entering administration and the subsequent restructuring was the only way we could preserve any of the business and while I'm delighted we've saved 2,000 jobs, we've also had to make some very difficult decisions."
The transfer of assets leaves plans intact to return the Telford site, at the foot of the Wrekin near Little Wenlock, to landscape at the conclusion of its functional working life, although finance had been ring-fenced to complete that work even if UK Coal had collapsed.
