The paper describes the design of the dilute medium and medium recovery circuits installed at the coal preparation plants at the Cornwall Coal Company's Fingal Mine, and the BP Coal Australia's Howick Mine. These circuits maximize the use of clarified water for rinsing to improve the mass transfer of adhering medium from the coal surface into the carrying liquid, and have been combined with the use of a two stage magnetic separator. The separator utilizes a conventional concurrent first stage and a counter-rotation second stage. This combination results in high medium recoveries during both normal operation, and start up and shut down phases when large quantities of medium can be lost from a conventional circuit. Overall losses using this circuit have been estimated to be, 200g/t, over a twelve month period. Further advantages in plant operation are also obtained, especially steady operating conditions in the centre-tube pump tank, lower slimes contamination of the product, and lower quantities of non magnetics trapped in the separator concentrates. The techniques are particularly suited to incorporation in circuits treating coals containing high percentages of sticky and difficult clays, as are found in the Walloon coal measures.