with the discovery of oil baring shale and coal the land around kembla heights was purchased to become a mining settlement. the pioneer kerosene works (1860–1878) australia's first shale mining and kerosene manufacturing plant was owned by john graham and situated at kembla heights. this plant was purchased by the mt kembla coal and oil company (1878–1913) who developed a new coal mine to the north of kerosene site, later renamed mt kembla colliery ltd (1913–1946) and finally purchased by australian iron and steel, ais (1946–1970). nebo colliery (1946–1993) was developed by ais on the site of the original kerosene works at kembla heights.