Anglo American coal mine fire in Australia

SYDNEY (awp/afp) – British mining giant Anglo American said on Wednesday it has been battling an underground fire in Australia for five days at one of its biggest coal mines, which will be closed for months.

A gas leak at the Grosvenor mine in the eastern state of Queensland caused a fire on Saturday, forcing the evacuation of all employees and halting production.

“The fire is still ongoing and we are continuing to work to safely seal off the remaining ventilation shafts using various methods,” an Anglo American spokeswoman told AFP.

“But we are close to the target. A remote-controlled bulldozer helped close a well overnight, the company said.

Anglo American will work with authorities to ensure the “safe restart” of the mine, which employs around 1,400 people.

“Reopening due to underground damage will take several months,” Anglo American previously said.

The team assured that the fire will not have a dangerous impact on air quality and the health of nearby residents.

The Grosvenor mine near Moranba is expected to produce more than a fifth of Anglo American's total planned output of 15 million to 17 million tonnes of steelmaking coal in 2024, the company said.

Anglo American is already facing restructuring pressure by selling its steelmaking coal assets, said Marina Galero, a London-based analyst at RBC Capital Markets.

“An expected decline in production will impact stocks and potential sales of this segment,” he said in a note.

Shares in London-headquartered Anglo American fell 4.3% in the first two sessions of the week to 2,392 pounds (2,822 euros).

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