Mining magnate Gina Rinehart's flagship iron ore company, Hancock Iron Ore, has confirmed job losses at its Pilbara operations, with industry reports estimating hundreds of positions to be cut. The company, formed last year from the merger of Roy Hill and Atlas Iron, cited a need to optimize processes after completing its annual life-of-mine planning.
In a statement, Hancock Iron Ore said the latest planning iteration extends the mine life by 10 years, maximizing ore recovery while reducing waste. However, this requires reducing mining activity at the Roy Hill mine while maintaining production above 63 million tonnes per annum (MTPA) for the Roy Hill system.
The company declined to specify exact numbers, but external sources suggest 300 to 500 jobs could be affected, representing up to 10% of its workforce of 3,000-5,000 employees.
Expert Analysis
Dr. Eric Lilford, deputy head of Curtin University's WA School of Mines, described the cuts as an "inevitable outcome" driven by mechanisation, depleting operations, and role duplication from the merger. "You do not need to have shared roles. These are highly mechanised operations," he said.
Government Response
Federal Resources Minister Madeleine King expressed disappointment, stating: "First and foremost my thoughts — and thoughts of the government — are with the workers and their families who will be affected by these job losses." She urged the company to ensure affected workers receive all entitlements promptly.
Hancock Iron Ore said it would "work with all affected" by the job losses.
Comments
Join Our Community
Sign up to share your thoughts, engage with others, and become part of our growing community.
No comments yet
Be the first to share your thoughts and start the conversation!