News has been welcomed that a shelved coal-mine plan for north Cumbria could potentially be back on the table following a rise in international prices.

Councillors representing Longtown say they are optimistic that a proposed coking coal mine, set to be built north of the town, could now go ahead.

The project was last year placed on hold by the company behind it – New Age Exploration (NAE) – because of a collapse in the price of coking coal, used to make steel.

It forced NAE to shelve the plans for the mine, which would have been built at Lochinvar coalfield, between Canonbie and Longtown.

But a sharp rise in prices in recent weeks means that the proposed mine for the Longtown area could be back on the cards.

It has been previously reported that the mine – and its wider supply chain – could create up to 1,000 jobs over the project’s lifespan.

Gordon Routledge, the vice chairman of Arthuret parish council, said: “Not everyone across the board really welcomes mining but from an employment point of view it must be a good thing their stance is being reviewed.

“[Job creation] is definitely needed, from an economic point of view this must be good.”

Mr Routledge told The Cumberland News there had been some “mixed feelings” about the project from the beginning.

But the job creation element was definitely a positive.

“As long as it isn’t going to make a scar on the countryside, from an employment perspective it’s a good thing,” he added.

His concerns about the environment were echoed by Ray Bloxham, who represents the town on Carlisle City Council.

He added: “They said they were not going to do anything that would destroy the peat moss and I hope they keep to that. It’s a haven for wildlife and we get some fabulous birds both in the summer and winter.”

He did agree that financially it could be beneficial for the Longtown area. “But I think we have to be very careful because in the past we haven’t minded too much about the environment,” he added.

“But if it’s going to create employment for local people providing it’s done sensitively then I would say OK.”


Gary Fietz Gary Fietz, the managing director of NAE, said: “Hard coking coal (HCC) prices have risen sharply recently to $158 a tonne and are now up more than 90 per cent since the start of the year.

“This spectacular increase in the HCC price has been driven by cutbacks on domestic coal production in China, combined with strong steel demand and some Australian supply issues.”

This is close to the long-term price of $166 a tonne – needed to make a coal mine sustainable – that the company assumed in a 2014 study.

“Should HCC prices be sustainable at around current high levels then NAE will reconsider its decision, made in 2015, to put activities at Lochinvar on hold,” Mr Fietz added.

A company report in 2014 stated that a mine could have a working life of 26 years and employ about 270 people at the peak of its operations, which would be in 2034.

At the time it also said the mine would cost $284m (more than £176m) to construct and could be expected to produce 1.4m tonnes of coal each year for 26 years.

As a result it would take just under five years for the company to pay back the construction costs.