Gujarat still waiting for longwall approval BEVAN SHIELDS 17 Mar, 2012 04:00 AM Another week has passed without Gujarat NRE Coking Coal securing the approval needed to begin longwall mining at Russell Vale. The company had told investors the new equipment, valued at $90 million, could be operating by March 13, if a Subsidence Management Plan (SMP) was approved.
However, as of late yesterday, the Department of Primary Industries had not signed off on the application.
During a ceremony to ‘‘bless’’ the equipment on Tuesday, executive chairman Arun Jagatramka expressed hope that approval might have been obtained that day, or possibly Wednesday.
A statement lodged with the Australian Stock Exchange later that day claimed approval was ‘‘imminent’’.
Gujarat did not respond to requests for comment yesterday.
In an interview with ABC Illawarra on Thursday, Mr Jagatramka conceded the company had fallen behind on its bills and was losing money every day approval was not received.
‘‘Yes, you could say so ... that almost 200 people working underground on the longwall machinery could be more fruitfully employed once we start cutting coal,’’ he said.
He said overdue bills should be settled by the end of March.
A spokeswoman for the Department of Primary Industries has said a decision on the SMP will be made ‘‘in the near future’’.
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