GEOLOGISTS have given plans for the reopening of Harworth Colliery their backing - but UK Coal must still find £200 million to pay for it.
Bosses at the site near Doncaster today confirmed a seismic study of the top hard coal seam below the colliery was suitable for development - and was even thicker than originally believed.
The test follows the drilling of 900 metre deep bore holes along the surface.
Now the firm has started talks with the European Investment Bank while officials from the EU organisation have already met with company bosses at their Harworth headquarters to try to fix a loan.
The company is hoping the bank could lend up to half the total cost of the scheme, but first officials are asking for assurances that there is a market for the coal with acceptable green credentials. The company has to show it can find buyers who can mitigate carbon emissions.
UK Coal believes the re-opening of the colliery, which was mothballed in June 2006, would create about 500 jobs on the site.
Spokesman Stuart Oliver said: "In terms of the mining prospects, the evidence is as positive as it could be. The meeting with the EIB threw up issues that they wanted clarification on, and there is now ongoing dialogue with the bank with a view to a decision being reached this autumn on availability of EIB funding. But if the EIB comes up with the maximum allowed under their rules of half the capital cost, we still have to raise the other £100 million from additional financial markets, so there is still a long way to go.''
Some of the cash needed to bankroll the project is expected to be raised by redevelopment of parts of the colliery site which would not be needed under the future mining plans.
Proposals for the development are due to go on public display at Harworth and Bircotes Parish Hall on Scrooby Road on Thursday June 18.
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