The proposal is to develop an open cut coal mine at the Premier deposit in the Shotts Sub-Basin of the Collie Coal Basin. The Premier area is about 10 kilometres east of Collie and consists mainly of State Forest managed by the Department of Conservation and Land Management.

The Premier Coal Mine would supply approximately 2 million tonnes of coal per year to the proposed private power station due to be built by 1996. It is a proposed open cut coal mining operation which will have a life of 30 years and is on the scale of the Muja mining operation. The mining method will follow the practices being used in the existing open cut operations elsewhere in the Collie Coal Basin.