News: Hargreaves increase production and take on more staff at Maltby Colliery

Hargreaves Services plc, the UK's leading energy support services provider and owner and operator of Maltby Colliery in Rotherham, has announced their latest financial results.

For the six months ended 30 November 2010, underlying operating profit increased by £2.4m from £18.5m to £20.9m and turnover increased by £42.3m from £211.6m to £253.9m, partly as a result of higher coke and coal prices.

The company stated that there had been an improved performance at Maltby but it had short term geological challenges. Last year, Hargreaves completed the change to a new face at Maltby but the performance had been a disappointment despite the investment. In December the group stated that underground production had improved following the slow start to the year.

Now, Hargreaves are optimistic that the major equipment issues are now resolved and a fifth shift has been introduced employing 70 extra miners. This has increased cutting time by 30% from 108 to 141 hours.

About 60% of Maltby's total output is supplied under a long-term secure contract with Drax Power Station, Europe's largest coal-fired power plant. Much of the remaining production is supplied exclusively to Hargreaves' Monckton Coke Works near Barnsley.

The colliery produces more than one million tonnes of coal per year and employs more than 500 people.

Hargreaves are also continuing to work hard and productively with staff and management at the colliery to restructure working practices and improve productivity.

Tim Ross, Chairman at Hargreaves Services said: "Another great set of results. We remain pleased with the current trading conditions and excited by the growth opportunities opening up for us. We believe this will be another exciting year for Hargreaves."

Hargreaves Services website

Images: hargreavesservices.co.uk