Origin Energy (ASX:ORG) and Centennial Coal have finalised a supply agreement that secures the future of the Myuna colliery through to December 2028.
The deal provides a critical lifeline for approximately 300 workers at the mine, which had been facing imminent closure following a protracted dispute over pricing and contract terms.
Origin confirmed that the coal will fuel the 2880-megawatt Eraring power station until its scheduled decommissioning in April 2029.
While Centennial—a subsidiary of Thailand's Banpu—acknowledged the revised terms only "narrow the financial gap," the company has committed to pursuing productivity improvements to mitigate ongoing losses.
An Origin spokesperson noted that the generator ultimately "absorbed significant costs" by offering rates well above market value to break the deadlock and ensure the station’s operational stability during its final years.
At the time of reporting, Origin Energy's share price was $11.97.