US coal producer Peabody Energy has extended a lock-out of workers at its Australian Metropolitan mine until late on 9 July, because of a continuing dispute with the Mining and Energy Union (MEU).

MEU workers will remain barred from entering the mixed thermal, pulverised coal injection (PCI), and hard coking coal mine — which produced 1.8mn t of coal in 2024 — without pay until 9 July, the union and company confirmed on 7 July.

Peabody's lock-out began on 28 June and was scheduled to end on 6 July. The company ended the action early on 3 July, but then reintroduced and extended it late on 4 July because of partial work bans.

The MEU can launch an unlimited number of work stoppages and limited work bans at Metropolitan, based on a 7 June strike authorisation.

The MEU and Peabody remain at odds over the use of contractors at the mine, among other issues.

The two groups are scheduled to engage in a Fair Work Commission (FWC) mediation on 8 July. They have already had two FWC mediations over the dispute, said Peabody's vice-president of underground operations Mike Carter on 7 July. Peabody has also met with employees more than 10 times, he added.

Metropolitan Coal remains fully committed to ongoing good faith negotiations with its workers, a Peabody spokesperson said on 7 July.

MEU workers will rally outside the site early on 8 July, joined by other labour unions.

The labour dispute at Metropolitan follows a series of strikes at Peabody Energy's 12mn t/yr Wilpinjong thermal coal mine in February, over a different contract negotiation.

By Avinash Govind