Yancoal (ASX:YAL) has announced it will start standing down employees from its Austar operation as the company awaits the outcome of legal proceedings regarding two prohibition notices issued by the Industrial Relations Commission in relation to the underground coking mine.
The company says, where possible it will redeploy the majority of employees to other Yancoal-owned underground operations.
In 2014 two men died at the Cessnock mine after a wall collapsed.
The coal miner says until all legal avenues have been exhausted and the company is cleared to re-enter the mine it is unable to continue proposed longwall activity.
The company says as the matter is the subject of legal proceedings an estimated date for a return to production is currently unavailable.
Shares in Yancoal (ASX:YAL) closed down 3.45 per cent lower to 14 cents on Friday