Over 400 jobs to go at Goonyella Riverside coal mine
DOWNER EDI Limited was informed last night that its overburden removal contract at the Goonyella Riverside mine in had been terminated by BHP Billiton Mitsubishi Alliance (BMA) with effect from September 9.
Downer currently employs 427 people dedicated to the operation of four pre-strip fleets at Goonyella Riverside.
Downer estimates that the early termination of the contract, which was due to be completed in June 2016, will have an impact on work-in-hand of approximately $360 million, $160 million in the 2015 financial year and $200 million in the 2016 financial year.
Under the terms of the contract, Downer will be entitled to compensation for early termination.
The Chief Executive Officer of Downer, Grant Fenn, said Downer would work closely with BMA through the transitioning process.
Downer itself cut 185 jobs at the site this time last year.