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Allegiance Coal (ASX:AHQ) reports three COVID-19 cases at New Elk

Energy
ASX:AHQ
16 August 2021 16:00 (AEST)

New Elk coal loading train. Source: Allegiance Coal

Allegiance Coal (AHQ) has recorded three COVID-19 cases at its New Elk Mine, forcing the company to operate with a reduced workforce until next week.

The company recorded two positive cases from its number one unit day shift, which meant the 30 crew working on the roster were forced to quarantine the until a negative COVID test result or August 21.

AHQ said several of those tested had already returned a negative result.

The third case was from the company’s number one unit night shift, which meant that some of the crew have been forced to isolate for a similar period.

Allegiance said production is continuing but with a reduced workforce until the week of August 23, when New Elk is expected to return to its prior levels of production.

According to Allegiance, the lost production could impact its scheduling for the first vessel of steelmaking coal to an undisclosed buyer. Discussions with the buyer are said to be underway to reschedule the delivery date.

The New Elk Mine is located in Las Animas County in southeast Colorado and currently operates two production units, both of which are still in the start-up phase and working towards production.

Allegiance Coal shares closed today’s session down 4.29 per cent to trade at 67 cents.

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