XSTRATA has cut staff at its Ravensworth underground coal mine in New South Wales, with the company blaming the slashing on poor market conditions.
Ravensworth will now restructure, reducing the number of development and maintenance crews in the process.
Reports suggest up to 46 positions will disappear although Xstrata is yet to confirm the figure to APN.
In a statement, Ravensworth general manager Tony Galvin said tough decisions were being made so the mine could stay profitable.
"We are proposing to continue operations on a scaled-down basis, which will mean consolidation of the workforce and, unfortunately, reductions in staff numbers.
The Federal Government estimates 9000 jobs have now been lost throughout the Australian coal industry, with 6000 of those in Queensland since early 2012.
This is not the first time Xstrata - soon-to-be rebranded as Glencore - has acting in the interests of consolidation.
It shed up to 100 jobs when it shut down or "consolidated" its Brisbane office, moving those willing to relocate to its headquarters in NSW.
In May, Xstrata dumped its ambitious plan to develop the Balaclava Island port project worth $1.billion and positioned to create 800 jobs.
The $7 billion Wandoan Coal Project, suspected to be the largest planned in the Southern Hemisphere, remains in the balance as lengthy court proceedings hold up Xstrata from making a final decision on its future.