Burton mine complex owner Bowen Coking Coal has called in the administrators after failing to secure fresh capital or reach a suitable deal with creditors in its recent financial battles.
The company announced this week that it appointed Mark Holland and Shaun Fraser of McGrathNicol Restructuring as voluntary administrators for a raft of business entities.
‘The decision to appoint administrators is very disappointing and follows the rejection on 29 July 2025 of the company’s most recent submission to the QRO (Queensland Revenue Office) for a short-term deferral of royalties,’ it stated.
‘The board’s decision also reflects the current challenging environment for the coal industry in Queensland from higher costs, lower global coal prices and higher royalty rates introduced by the Queensland Government in 2022.’
The administrators said they intended to continue trading on a ‘business as usual’ basis while working to sell or recapitalise the mining venture.
This included the operations at the Burton mine complex near Moranbah, which would continue uninterrupted, McGrathNicol Restructuring said.
Bowen Coking Coal recently scaled down production at Burton and has previously flagged ‘pausing’ mining there in the face of financial woes.
It was suspended from trading on the ASX after being hit with a demand from its former mining contractor BUMA Australia on July 14 for almost $15.3 million. BUMA subsequently turned up the heat by issuing a creditor’s statutory demand for more than $6.8 million.
The shares of Bowen Coking Coal will remain suspended from trading during the administration process.
In its announcement today of the administration, Bowen Coking Coal described the Burton mine complex as a quality asset.
Management had been successful in delivering operational improvements that had seen the company transform Burton into one of the most productive and low-cost metallurgical coal mines in Australia, it said.
‘The administration process is expected to provide a window which will allow for a sale or recapitalisation to be completed,’ it said in an update to the ASX.
‘The Board extends its sincere appreciation to the company’s management team, workforce, contractors, and consultants who have worked with dedication and professionalism under challenging circumstances.
‘The company also acknowledges the overwhelming support it has received from its shareholders, and its local communities and suppliers in Queensland.’
The company’s Burton mine complex near Moranbah encompasses the Ellensfield South and Plumtree North mines, a coal handling and preparation plant (CHPP) and train loadout facility. The co-located Lenton and Issac pits are undeveloped open-cut projects.
Bowen’s other assets include the Broadmeadow East mine near Moranbah and the Bluff Mine near Blackwater, which are both under care and maintenance.
The company also holds the Isaac River, Hillalong, Cooroorah, Carborough, and Comet Ridge coking coal development projects and is a joint venture partner in Lilyvale and Mackenzie with Stanmore Resources.