{{Short description|Private mining firm in the United Kingdom}} {{Use dmy dates|date=January 2016}} {{Use British English|date=October 2017}} {{Infobox company | name = UK Coal Production Ltd | logo = Ukcoal logo.png | type = [[Private company|Private]] | foundation = 1974 | location = [[Harworth]], [[Nottinghamshire]], England | key_people = Kevin McCullough ([[Chief Executive]]) | defunct = {{End date|2015|12|18|df=yes}} | industry = [[Coal mining]], [[Renewable energy]] and [[Real estate]] | revenue = [[Pound sterling|£]]316.0 million (2009) | operating_income= [[Pound sterling|£]]82.7 million (2007) | net_income = [[Pound sterling|£]]94.0 million (2007) | num_employees = 2,000 (2013)<ref>{{cite web | url = http://www.ukcoal.com/at-a-glance.html | title = At a glance | publisher = UK Coal | access-date = 29 November 2013 | archive-date = 13 June 2017 | archive-url = https://web.archive.org/web/20170613083114/http://www.ukcoal.com/at-a-glance.html | url-status = dead }}</ref> | website= }} [[File:Daw Mill Colliery 17s06.jpg|right|255px|thumb|Daw Mill Colliery, [[Warwickshire]], England]] [[File:Kellingley Colliery geograph 001.jpg|thumb|right|255px|[[Kellingley Colliery]] laid in both [[North Yorkshire|North]] and [[West Yorkshire]].]] '''UK Coal Production Ltd''', formerly '''UK Coal plc''', was the largest [[coal]] mining business in the United Kingdom. The company was based in [[Harworth]], in [[Nottinghamshire]]. The company was a constituent of the [[FTSE 250 Index]]. The successor company that contains the former property division, [[Harworth Group]], is still listed on the [[London Stock Exchange]].

==History== The predecessor company of UK Coal was founded by [[Richard Budge|Richard J. Budge]] in 1974 as ''RJB Mining''. In 1994, following the [[privatisation]] of the UK mining industry, it grew fivefold with the acquisition of [[British Coal]]'s core activities.<ref>[http://www.ukcoal.com/company-history UK Coal: History] {{webarchive |url=https://web.archive.org/web/20090512082254/http://www.ukcoal.com/company-history |date=12 May 2009 }}</ref> It changed its name to UK Coal in 2001 after the retirement of its founder, having acquired UK Coal plc.<ref>{{cite news |last1=Moore |first1=James |title=Richard Budge - dubbed "King Coal" after buying British Coal from the Government - has died aged 69 |url=https://www.independent.co.uk/news/business/analysis-and-features/richard-budge-dubbed-old-king-coal-after-buying-british-coal-from-the-government-has-died-aged-69-a7146856.html |access-date=15 December 2019 |work=The Independent |date=20 July 2016 |language=en |archive-date=15 December 2019 |archive-url=https://web.archive.org/web/20191215074019/https://www.independent.co.uk/news/business/analysis-and-features/richard-budge-dubbed-old-king-coal-after-buying-british-coal-from-the-government-has-died-aged-69-a7146856.html |url-status=live }}</ref>

==Former operations== At year end 2008, the company estimated coal reserves and resources of 105&nbsp;Mt at the mines, of which 45&nbsp;Mt was accessible under existing five year mining and investment plans.<ref>{{cite web|url=http://ukcoal.annualreport2008.com/Doc/pdf/AnnualReport2008.pdf|title=UK Coal Annual report 2008, page 24|website=annualreport2008.com|access-date=12 April 2018|archive-date=31 August 2011|archive-url=https://web.archive.org/web/20110831202939/http://ukcoal.annualreport2008.com/Doc/pdf/AnnualReport2008.pdf|url-status=live}}</ref> Its most important customers were electricity generators.<ref>{{cite web|url=http://ukcoal.annualreport2008.com/Doc/pdf/AnnualReport2008.pdf|title=UK Coal Annual report 2008, page 19|website=annualreport2008.com|access-date=12 April 2018|archive-date=31 August 2011|archive-url=https://web.archive.org/web/20110831202939/http://ukcoal.annualreport2008.com/Doc/pdf/AnnualReport2008.pdf|url-status=live}}</ref>

In 2010 the company proposed a series of developments, mainly [[open-cast mining]], including the ''Minorca mine project'' development in [[Measham]], [[Leicestershire]].<ref>{{cite web|url=https://mopg.co.uk/|title=Minorca Opencast Protest Group|publisher=Minorca Opencast Protest Group|access-date=15 August 2010|archive-date=23 February 2010|archive-url=https://web.archive.org/web/20100223014222/http://www.mopg.co.uk/|url-status=live}}</ref> However, UK Coal exited surface mining in late 2014,<ref name="thejournal.co.uk"/> so these plans did not materialise.

In 2012, UK Coal were fined £200,000 after pleading guilty to breaching health and safety laws after a death of a miner at [[Kellingley Colliery]].<ref>{{cite news |url=https://www.bbc.co.uk/news/uk-england-18891350 |title=UK Coal fined over miner Ian Cameron's death |work=BBC News |date=18 July 2012 |access-date=10 April 2014 |archive-date=25 September 2015 |archive-url=https://web.archive.org/web/20150925215407/http://www.bbc.co.uk/news/uk-england-18891350 |url-status=live }}</ref> One deep mine, the [[Welbeck]] colliery, in [[Nottinghamshire]] closed in 2011 after continuous production since 1912.<ref>{{cite web|title=Welbeck Colliery|url=http://www.ukcoal.com/dm-welbeck|publisher=UK coal|access-date=22 December 2011|archive-date=9 December 2011|archive-url=https://web.archive.org/web/20111209091716/http://www.ukcoal.com/dm-welbeck|url-status=live}}</ref> Another deep mine, [[Daw Mill]] at Furnace End, Warwickshire, closed in 2013 after an underground fire damaged much of the facilities.

On 10 April 2014, Reuters reported that the British government was to give UK Coal a £10 million loan to help fund the closure of its two remaining deep mines. The company will carry out a managed closure of the deep mines by Autumn 2015 and will seek a buyer for its surface mines.{{needs update|date=August 2024}} UK Coal's difficulties were precipitated by a flood of U.S. coal on to the market, as a result of [[shale gas]] development, and by the strength of sterling.<ref>{{cite web |url=http://uk.reuters.com/article/britain-ukcoal-idUKL6N0N224M20140410 |title=Britain to give UK Coal 10 mln stg loan to fund mine closures |work=Reuters |date=10 April 2014 |access-date=10 April 2014 |archive-date=5 March 2016 |archive-url=https://web.archive.org/web/20160305182109/http://uk.reuters.com/article/britain-ukcoal-idUKL6N0N224M20140410 |url-status=dead }}</ref>

[[Thoresby Colliery]] was closed in July 2015, while [[Kellingley Colliery]] ceased production on 18 December 2015,<ref name="scotsman.com"/> with ownership to be transferred to Harworth Estates for future redevelopment.<ref>{{cite news | url = https://www.bbc.com/news/uk-england-york-north-yorkshire-35063853 | title = Kellingley mining machines buried in last deep pit | work = BBC News | date = 18 December 2015 | access-date = 18 December 2015 | archive-date = 21 December 2015 | archive-url = https://web.archive.org/web/20151221031115/http://www.bbc.com/news/uk-england-york-north-yorkshire-35063853 | url-status = live }}</ref>

===Former opencast mining operations=== {{See also|Open-pit coal mining in the United Kingdom}} Three surface mines in North East England were owned by UK Coal Surface Mines Limited (company number 08492512) which went into administration on 14 November 2014. The business was then sold to UKCSMR Limited (company number 09275881). The three surface mines are Butterwell and Potland Burn in Northumberland and Park Wall North in County Durham.<ref name="thejournal.co.uk"/><ref>{{cite web|url=https://find-and-update.company-information.service.gov.uk/company/08492512|title=UK Coal Surface Mines Limited|publisher=[[Companies House]]|access-date=19 August 2024}}</ref>

===Former renewable energy and gas operations=== The company moved into renewable energy, expanding into [[wind farm]]s, which is helped by a large land bank and the desire to diversify into energy activities beyond coal. Wind power offers financial incentives such as [[United Kingdom Climate Change Programme|Renewables Obligation Certificates]]. UK Coal, through its Harworth Power subsidiary, engaged in [[Firedamp|mine gas]] recovery, to generate electricity.<ref>{{cite web|url=http://www.ukcoal.com/re-the-company|title= UK Coal: the Company| archiveurl=https://web.archive.org/web/20090214064031/http://www.ukcoal.com/re-the-company |archivedate=14 February 2009 }}</ref>

Harworth Power was sold on 1 October 2012 to Red Rose Infrastructure Limited for £20.30&nbsp;million.<ref name="harworthestates1">{{cite web |url=http://www.harworthestates.co.uk/business-sectors/harworth-power |website=www.harworthestates.co.uk |archive-url=https://web.archive.org/web/20121125052528/http://www.harworthestates.co.uk/business-sectors/harworth-power |archive-date=25 November 2012|title=Announcement of sale of issued share capital}}</ref> At the time of the sale, it operated 14&nbsp;[[gas engine]]s of 26&nbsp;MW generation capacity supplying electricity to UK Coal and the National Grid.<ref name="harworthestates1"/>

===Restructuring=== On 12 December 2012 UK Coal plc completed<ref name= "hemscottir1">{{cite web | url= http://online.hemscottir.com/ir/ukc_new1/ir.jsp?page=news-item&item=1234362863477032 | title= UK Coal PLC – Completion of Restructuring | publisher= Hemscottir | access-date= 10 April 2014 | archive-date= 3 December 2013 | archive-url= https://web.archive.org/web/20131203015906/http://online.hemscottir.com/ir/ukc_new1/ir.jsp?page=news-item&item=1234362863477032 | url-status= live }}</ref> a complex financial restructuring of the company to secure its future and changed its name to Coalfield Resources plc.<ref>{{cite web |url= http://coalfieldresources.com/latest-news/news/Completion_of_restructuring |title= Completion of Restructuring |work= Latest news |publisher= Coalfield Resources |access-date= 10 April 2014 |archive-date= 13 April 2014 |archive-url= https://web.archive.org/web/20140413143820/http://coalfieldresources.com/latest-news/news/Completion_of_restructuring |url-status= dead }}</ref><ref>{{cite web |url= http://online.hemscottir.com/ir/ukc_new1/ir.jsp?page=news-item&item=1234362863478623 |title= UK Coal plc – Confirmation of name change to Coalfield Resources |publisher= Hemscottir |date= 10 December 2012 |access-date= 10 April 2014 |archive-date= 13 April 2014 |archive-url= https://web.archive.org/web/20140413145045/http://online.hemscottir.com/ir/ukc_new1/ir.jsp?page=news-item&item=1234362863478623 |url-status= dead }}</ref> The company's operations were restructured into two separate businesses: the mining division (under UK Coal Mine Holdings Limited) and the property division (under Harworth Estates Property Group Limited).

Control of the mining division had passed to an [[employee benefit trust]] ("EBT"), which initially held shares representing 67% of the voting and 10% of the economic rights in UK Coal Mine Holdings for the benefit of current and future employees of the mining division. Coalfield Resources initially retained the remainder of UK Coal Mine Holdings's economic and voting rights, but the shareholdings rank [[preferential creditor|behind pension fund debt]].<ref name = "hemscottir1" /> On 9 July 2013, following a devastating fire, their largest mine, [[Daw Mill]], was forced into closure. As a direct result both UK Coal Mine Holdings Ltd (UKCMHL) and UK Coal Operations Ltd (UKCOL) were put into administration.<ref>{{cite web |url = http://www.ukcoal.com/1/post/2013/07/uk-coal-restructuring-preserves-2000-jobs.html |title = Restructuring preserves 2,000 jobs |publisher = UK Coal |date = July 2013 |access-date = 10 April 2014 |archive-date = 7 April 2014 |archive-url = https://web.archive.org/web/20140407082913/http://www.ukcoal.com/1/post/2013/07/uk-coal-restructuring-preserves-2000-jobs.html |url-status = live }}</ref> The remaining mining operations were again restructured, resulting in the formation of a new business "UK Coal Production Ltd".<ref>{{cite web | url = http://www.ukcoal.com/at-a-glance.html | title = At a glance | publisher = UK Coal | date = 9 July 2013 | access-date = 10 April 2014 | archive-date = 13 June 2017 | archive-url = https://web.archive.org/web/20170613083114/http://www.ukcoal.com/at-a-glance.html | url-status = dead }}</ref>

The successor of Coalfield Resources, Harworth Group, had no equity interest in the mining business by the time the last two mines were closed in 2015.<ref name="At a glance">{{cite web | url = http://harworthgroup.com/about/at-a-glance/ | title = At a glance | publisher = Harworth Group | access-date = 17 December 2015 | archive-date = 22 December 2015 | archive-url = https://web.archive.org/web/20151222163634/http://harworthgroup.com/about/at-a-glance/ | url-status = live }}</ref> Harworth Group initially (in 2012) owned 24.9% of Harworth Estates Property Group, with 75.1% having passed to EBT in return for a £30&nbsp;million cash injection and their financial support to the mines. However, in November 2014 Coalfield Resources announced that it had agreed terms with the [[Pension Protection Fund]] to buy back the 75.1% of Harworth Estates Property Group it did not already own and to change the name of the company to Harworth Group plc. This transaction was completed on 24 March 2015.<ref name="At a glance"/>

==Current operations== The company is no longer active in mining. On 18 December 2015 the company closed its last deep mine located in Yorkshire, at [[Kellingley Colliery|Kellingley]].<ref name="scotsman.com">{{cite news |last1=Flanagan |first1=Martin |title=Closure leaves just one UK pit |work=The Scotsman |issue=52,745 |date=11 July 2015 |page=27|issn=0307-5850}}</ref> Surface mines were sold to UKCSMR Limited in late 2014.<ref name="thejournal.co.uk">{{cite web|url=http://www.thejournal.co.uk/business/business-news/pre-pack-saves-nearly-300-jobs-8141306|title=Pre-pack deal saves nearly 300 jobs at UK Coal Surface Mines Ltd|first=Coreena|last=Ford|date=20 November 2014|website=thejournal.co.uk|access-date=12 December 2020|archive-url=https://web.archive.org/web/20141202041621/http://www.thejournal.co.uk/business/business-news/pre-pack-saves-nearly-300-jobs-8141306|archive-date=2014-12-02}}</ref> Coal extraction declined from 37.1 million tonnes in 1995 to around 7 million tonnes in 2009.<ref name=info>[http://www.ukcoal.com/company-information UK Coal: Company information] {{webarchive |url=https://web.archive.org/web/20081021034118/http://www.ukcoal.com/company-information |date=21 October 2008 }}</ref>

Only the former property division operates as the successor company Harworth Estates (wholly owned by the Harworth Group).

At the end of 2007, Harworth Estates' land was estimated to be worth £411&nbsp;million.<ref name=info/> The estate assets are primarily in business parks, industrial sites and agriculture, with a smaller portfolio of residential property (residential assets associated with agricultural properties). Harworth Estates manage, develop and regenerate their extensive portfolio of land totalling over {{convert|30000|acres}}.<ref>{{cite web|author=hello@inkandwater.co.uk |url=http://www.harworthestates.co.uk/ |title=Harworth Estates |publisher=Harworthestates.co.uk |access-date=10 April 2014}}</ref>

Harworth Estates is now wholly owned by the Harworth Group, which had divested its equity interest in the mining operations before the restructuring of March 2015.

==See also== {{Portal|Energy}} *[[Coal mining in the United Kingdom]]

==References== {{Reflist}}

==External links== * [https://web.archive.org/web/20151109214532/http://ukcoal.com/ Website archived on 9 November 2015] * [http://www.harworthestates.co.uk/ Harworth Estates]

{{Energy in the United Kingdom|companies}} {{Authority control}}

{{DEFAULTSORT:Uk Coal}} [[Category:Coal companies of the United Kingdom]] [[Category:Companies based in Nottinghamshire]] [[Category:Bassetlaw District]] [[Category:Energy companies established in 1974]] [[Category:Non-renewable resource companies established in 1974]] [[Category:Non-renewable resource companies disestablished in 2015]] [[Category:British companies established in 1974]] [[Category:British companies disestablished in 2015]]