Chinese-owned Yancoal will close its Ashton underground coking coal mine in early 2028 due to geotechnical issues, operational risks, and market pressures. The phased shutdown process will impact approximately 280 workers.
The closure of the Ashton coking coal mine will impact coal supply and lead to job losses in Australia's mining sector.
Chinese-owned Australian producer Yancoal announced on June 30 that it will close its Ashton underground coking coal mine in early 2028. The company cited significant technical challenges, operational risks, and evolving market conditions as reasons for the phased shutdown.
A spokesperson for Yancoal stated that increasing input and regulatory costs are also undermining the mine's viability as a sustainable operation. The mine is located in the Hunter Valley region of New South Wales.
The closure process will involve an 18-month phased shutdown, beginning with a reduction in planning and development activities. Development mining is expected to conclude in early 2027, with longwall mining ceasing in early 2028.
In 2025, the Ashton mine produced 1.1 million tonnes of run-of-mine (ROM) coal, while Yancoal produced a total of 6.1 million tonnes of coking coal in Australia. The Mining and Energy Union (MEU) reported that approximately 280 workers will lose their jobs as a result of the mine's closure.
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