Economy Minister Edwina Hart says the Welsh Government is continuing to work with the owners of Unity Mine to secure its future.
"Over the last few years, the industry has experienced difficulties with the fall in global coal prices which have placed considerable financial pressure on operators" she says.
"While we are working with company to offer assistance, in compliance within state-aid rules, there are wider financial pressures and challenges that have meant that the company has had to take this decision."
"Discussions with third party investors are on-going, and I welcome the Director’s intention to protect the current work force while fundraising negotiations are continuing with various parties to seek to secure the long term future of the Mine and its highly skilled workforce."
ITV News understands that the owners of the Unity Mine in Neath are filing for administration.
Around 200 people currently work at the site.
Local AM, Gwenda Thomas, told us: "It is extremely regrettable that Unity mine has gone into administration."
I sincerely hope that the administrators can find new owners for the mine, and preserve the miners’ jobs and the future of the apprentices. Welsh Government officials continue to be in discussion with the mine.
Consultations will continue today about the number of jobs losses at one of Wales' largest drift mines. It follows talks between the NUM and management of the Unity Mine in the Neath Valley, where around two hundred people work. The union says its future is secure.
Concern is growing over the future of jobs at Unity Mine - one of Wales' largest drift mines.
It follows a day of talks between the NUM and management of the mine in the Neath Valley, where around 200 people work.
The General Secretary for the NUM in South Wales, Wayne Thomas - who attended a meeting with Unity Mine managers this afternoon - said afterwards that there was uncertainty, but there had been no talk of the mine closing.
He added that there is likely to be a statement tomorrow on consultations over possible job losses and the mine's long-term future.