14 Apr 2011

More Pike River Coal staff to be made redundant

3:36 pm on 14 April 2011

One third of the staff still employed by Pike River Coal will soon be out of jobs.

The company went into receivership after explosions at its West Coast mine last year in which 29 contractors and miners were killed.

Before the disaster, 180 people were employed at the mine.

Receiver John Fisk says following a review process, nine of the 28 staff still on the payroll have been told they will be made redundant in the near future.

Meanwhile, Morris Contractors Ltd, which carried out $58,000 worth of work for Pike River has gone into receivership.

The Blenheim-based company says the money it was owed was one of the contributing factors, as was the purchase of equipment for contracts which then fell through.

A spokesperson says the company was part of a group seeking to have Pike River liquidated - but withdrew from the action when it went into receivership.