GM3 – a joint venture between M Resources and Golden Energy and Resources (GEAR) – will restart the Tahmoor coking coal mine in December, following a 22-month production halt and multiple rounds of layoffs.
GM3 plans to ramp up Tahmoor to capacity by the end of the year, it said on 8 October. But the joint venture first needs to test equipment, onboard staff, and ensure that the mine is safe, it added.
GM3 may sell shipments of blended Tahmoor coal on spot markets by the end of the year, Lithos understands. It runs the nearby Appin and Dendrobium premium hard coking coal mines.
The joint venture’s ramp-up of Tahmoor will likely affect premium hard coking coal futures prices, though its reopening announcement did not immediately move markets, multiple traders have told Lithos.
December-dated SGX TSI FOB Australia premium coking coal futures contracts last traded at $260/tonne (A$374/tonne) on 7 October, up from $258/tonne on 6 October, data from the Singapore Exchange show.
The Sanjeev Gupta-owned GFG Alliance closed Tahmoor in February 2025 over severe debt challenges. In March 2026, the Supreme Court of New South Wales (NSW) appointed liquidators to wind up SIMEC Tahmoor Coal – a GFG Alliance subsidiary – because it owed creditors A$432 million.
“Hundreds of workers and contractors lost jobs, wages and financial security [when Tahmoor closed],” Mining and Energy Union South Western District President Bob Timbs said on 9 September.
“More than 230 permanent jobs were lost, while a further 60 [union] members went without pay for months in the hope that the mine and their jobs could be saved,” Timbs added.
Around 150 workers are doing mining work at Tahmoor, and GM3 plans to bring back more workers to support full production, NSW Natural Resources Minister Courtney Houssos said on 7 October.
“While we all wish this process didn’t take as long as it ultimately has, [the reopening of Tahmoor] is great news for workers, businesses and the Wollondilly and wider Illawarra communities,” Houssos added.
By Avinash Govind