Standard content for Members only
To continue reading this article, please login to your Utility Week account, Start 14 day trial or Become a member.
If your organisation already has a corporate membership and you haven’t activated it simply follow the register link below. Check here.
The UK's largest coal mining company is set to bailed out by the UK government, according to reports.
An article in the Sunday Times stated at the weekend that UK Coal Mining Holdings will go through a “pre-pack” administration deal – set to save up to 2,000 jobs – over the next two weeks when PricewaterhouseCoopers (PwC) due to shepherd through the process.
UK Coal was forced to shut down its Daw Mill mine in Warwickshire in May after a fire underground leading to questions over the company’s viability.
The report suggested that UK Coal will be broken up with mines at Kellingley in Yorkshire and Thoresby in Nottinghamshire, along with six surface mines, expected to be picked up by the Pension Protection Fund (PPF). Daw Mill colliery is expected to be handed to the Coal Authority.
The PPF is expected to buy the workable assets from administrators in return for shouldering UK Coal’s £543 million pension liability. The pension fund for UK Coal is understood to include 10,000 members.
Please login or Register to leave a comment.