() is the largest
Coal mining company in
Britain . The Company operates 5 deep coal mines in the
North Of England and
Midlands , as well as one surface mine.
UK Coal employs 4,000 people in the United Kingdom. In 2005 the Company extracted 10m tonnes of coal, both from deep and surface operations. Coal extraction has been reduced over the past decade from 37.1m tonnes in 1995 to 10m tonnes in 2005. There has also been a dramatic shift away from surface mining, which produced 7.1m tonnes in 1995 to only 1m tonnes in 2005. However, the Company has three planned new surface mines in planning/application, compared with no new colleries planned.
UK Coal's production provides approximately 7% of the
United Kingdom 's electricity.
Due to price increases in coal over the past few years (along with other forms of energy) the economic viability of British mined coal has increased. However, the Company has not announced any major expansion plans, possibly due to planning restrictions and application costs.
UK Coal has moved into renewable energy in recent years. The Company, through its Harworth Power subsidiary, engages in mine gas recovery, which is used to generate electricity and also gains carbon credits through the European Union's carbon training scheme. The Company has also expanded into
Windfarms , which is helped by a large landbank and the desire to diversify into other energy activities beyond coal. Both areas also offer financial incentives, with windfarms generating
Renewables Obligation Certificates in the UK.
At the end of 2005 UK Coal's landbank was estimated to be worth £274m and is handled through its Harworth Estates subsidiary. The Company's estate assets are primarily in business parks, industrial sites, and agriculture, with limited exposure to residential property (residential assets being associated with agricultural properties). The Company manages approximately 250 properties.
