Mining company looks to restart Kandos operations, Australia

Mining company Kingsgate Consolidated has signed a Memorandum of Understanding with the owners of the former Kandos cement works in an attempt to revive production.

About 100 people lost their jobs when the cement works owned by Cement Australia (part of the Holcim group) stopped production last September.

The New Projects Manager Simon McDonald says it is one of a few sites that will be considered.

"As you know Kandos was shut down last year with the loss of quite a few jobs and so one of the reasons why Kingsgate might be interested is looking at there's a potential workforce there which would be very good news but this is very early days."

The company has about four months to determine whether the cement plant in the mid-western region. (Source: ABC News)

However, Mr McDonald said the existing site has its advantages and disadvantages.

"In some regards having existing infrastructure is a great assistance, or could be a great assistance to setting up a plant there however by the other side of the same coin is that having pre-existing infrastructure means it may not suit and it might have to be taken away and be replaced. So there are two sides to that argument as well."