A downturn in the commodities market has led to a shortfall of over $200m in the 2012 financial year forcing the miner to undertake a review of its businesses and subsequent cost cutting.
The company will reduce its corporate, support services and development headcount by 50% while placing its Spring Creek mine near Greymouth on care and maintenance.
Output and staff numbers would also be reduced at its Huntly East mine in the Waikato.
According to a company statement there will be a net lay off of 25% in its workforce.
Solid Energy chairperson Mark Ford was quoted by miningweekly.com as saying, "In recent years, the mine has performed below expectations as a result of more complex geology being encountered, higher costs and slower development progress. The mine has also struggled to meet the company’s and wider public expectations about operating safety."
