Authorities have continued to seal ventilation shafts as they battle the blaze at central Queensland's Grosvenor site which started when methane gas ignited at the weekend.
No one was injured by the fire at Queensland's largest underground coal mine operated by Anglo American.
However, the Moranbah mine is expected to be closed for months.
The site's 1400 workers have been told in an internal staff note that they will continue to be paid until July 15.
An exclusion zone is in place as authorities fight a blaze at the Grosvenor Coal Mine in Queensland. (HANDOUT/ABC IVIEW)
"We will update on next steps ahead of this date and are working collaboratively with unions around short to medium term ongoing employment options for our Grosvenor workforce," the note from Australia's Anglo CEO Daniel van der Westhuizen said.
"We will engage with Grosvenor employees once we have a better understanding of the situation."
An exclusion zone is in place as authorities fight the blaze that has burned for days, creating thick smoke.
A mobile unit powered by a jet engine is pumping nitrogen into the site, with work continuing on sealing six ventilation shafts to starve the fire and reduce the smoke.
"Another ventilation shaft at Grosvenor Mine was successfully sealed overnight and the ... mobile extinguisher unit is continuing to help stabilise the underground environment," an Anglo statement said on Wednesday.
"Our remote-controlled dozer on loan from Dawson Mine, near Moura, safely managed the latest shaft seal.
"With the seal of another shaft, smoke from Grosvenor continues to significantly reduce."
Smoke has been billowing for days from the mine but it has not raised air quality concerns to date.
"All independent monitoring continues to report readings within acceptable limits, indicating no impact for community health from smoke or airborne contaminants however, anyone concerned should seek medical advice," Anglo said.
A massive fire burning at — Australian Conservation Foundation (@AusConservation) @AngloAmericanAU's Grosvenor underground coal mine in central Qld highlights how dangerous coal – and especially associated methane gas – is to workers, community health and the climate. https://t.co/vt0NSYt3XTJuly 1, 2024
"We are also actively monitoring and working closely with Isaac Regional Council to keep the community informed of any potential impact from smoke.
"We again offer our thanks to everyone on site working to support this work safely."
The blaze erupted after a 2020 gas explosion at the same mine left five workers with extensive burns.
The disaster has prompted the Australian Conservation Foundation to warn of the dangers of coal mine fires while the Queensland Conservation Council said the fire showed the danger of methane emissions to workers and the climate.
It called on the commonwealth to require better reporting of methane from coal mining.
The council also demanded the state government implement decarbonisation targets for existing coal mines to achieve a safe workplace and climate.
"This fire clearly shows coal companies can't continue to downplay their methane emissions," the council's Clare Silcock said.
"The Grosvenor coal mine workers are now facing a deeply uncertain future.
"We need certainty from the government on a transition away from dangerous, polluting coal mines towards green industries of the future."
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