Pike River Coal has confirmed to the NZ Stock Exchange it has $NZ100 million ($77.6 million) of material damage and business interruption insurance.

“The nature of the cover involves various sub-limits and stand-down periods which are common to such policies issued by international insurers,” Pike River Coal Chairman John Dow said today.

“We have started the complicated process of preparing a claim, which will be lodged soon.”

The miner gave no details as to which insurers were involved, but insuranceNEWS.com.au understands it is a consortium based in London.

The claim is being delayed as the company needs to assess the amount of damage underground at the mine.

Pike River Coal has reported there was another explosion at the mine yesterday, creating an ongoing coal and gas fire.

The NZ Accident Compensation Corporation will pay out about $NZ10 million ($7.76 million) to support the families of the 29 miners who lost their lives.

In a separate move, the Bank of New Zealand and NZ Oil and Gas (NZOG) have agreed to put their loans to the company on a 90-day standstill, preventing any creditors from acting to put it into administration.

“As part of these arrangements, NZOG has provided Pike River Coal with the balance of the $NZ25 million ($19.4 million) facility with a further $12 million ($9.3 million) being made available,” Mr Dow said.

“This will provide a period in which Pike River Coal can assess the implications of what has occurred and to plan the way forward for the business in an orderly and considered manner.”

Meanwhile, NZ High Court judge Graham Panckhurst was named this morning as royal commissioner to lead the inquiry into the Pike River disaster.

Two people with expertise in mining safety and regulation will also join the inquiry team. They will be announced later.

Prime Minister John Key says an international mining expert will also be recruited to carry out an urgent audit of all underground mining in NZ.