Southland Colliery Emergency
29 December 2003
- The "heating" problem at the Southland Colliery announced on 24 December 2003 became an emergency and escalated into a fire on 25 December 2003.
- The fire has been suppressed by ventilation changes and further contained by circulation of inert gases which are now choking oxygen supply.
- Gympie Gold's wholly-owned subsidiary Southland Coal is considering its operational options at Southland Colliery with Joint Venturer and Alliance Partner Thiess.
- An expert working group is evaluating the status of the combustion and damage to mine workings and equipment.
- The mine is in the process of being sealed in a manner to allow re-entry or possibly closure if safety or economic considerations dictate.
- It may remain unsafe to re-enter the mine for a protracted period and the situation could have serious implications for the future of Southland Coal.
- The financial impact is currently unquantifiable.
- The Board of Gympie Gold is considering options for the protection of all stakeholders' interests.
- At the request of Directors, the ASX has suspended trading in the Company's securities. The Company is seeking a parallel a suspension of trading on AIM.
Download the full announcement (135kb) [ pdf ]