coal

Judge Scott Skavdahl for the United States District Court, District of Wyoming has placed an injunction on part of the Obama-era valuation rule. That rule was intended to update how royalties are calculated from energy production on federal and native land with the goal of giving a fair price to taxpayers.

Eagle Specialty Materials, LLC (ESM) can't close on its deal to own and operate two Wyoming mines just yet. The affiliate of Ohio-based FM Coal hit a snag in its attempts to replace surety bonds for the mines; an agreement that guarantees clean-up costs.

Prior to bankruptcy, the federal government was investigating Blackjewel, LLC for possible fraud. The U.S Attorney's Office was concerned the coal company may use a reorganization to get out of debts owed to the government. In other words, that it was violating the False Claims Act. Court filings show Blackjewel owes several federal agencies upwards of $50 million.

In December of last year, Pacificorp released a presentation that shook several Wyoming cities and their state leaders. It was the first hint of the utility's 20-year Integrated Resource Plan (IRP) and it included the early closure of many coal plants including three in Wyoming.

On October 2, the U.S. Bankruptcy Court for the District of Delaware approved the Navajo Transitional Energy Company, LLC (NTEC) to purchase Cloud Peak's assets including the Antelope and Cordero Rojo mines in the Powder River Basin. It comes a month and a half after the Navajo Nation-company won in the initial auction.

Judge Frank Volk for the U.S. Bankruptcy Court for the Southern District of West Virginia has approved Eagle Specialty Materials, LLC (ESM) as the buyer of Blackjewel's western assets including the Belle Ayr and Eagle Butte mines. ESM is an affiliate specifically formed by Ohio-based FM Coal to purchase the assets.

Three months since Blackjewel LLC filed for bankruptcy, a new company is set to close a deal this week and take over the Eagle Butte and Belle Ayr mines. At a Campbell County Commission meeting, Carol Seeger, the county administrative director, said Eagle Specialty Materials LLC is expected to close on its sale order this Friday, October 4.

Contura Energy has entered into an agreement with an Alabama coal company to take over the Eagle Butte and Belle Ayr coal mines in the Powder River Basin. The deal is dependent on Contura reaching a resolution with the federal government and other entities in court to become the owner of both mines.

Wyoming's Department of Environmental Quality says Contura Energy does not have to revise its permit to mine or for reclamation plans right now.

It comes in response to an August 28 complaint from the Powder River Basin Resource Council (PRBRC), a landowners' group, arguing the Eagle Butte and Belle Ayr mines have been inactive for enough time without seeing updated relevant plans that Contura is in violation of state and federal rules.

After weeks of little information from a West Virginia court, Blackjewel could soon be welcoming back its western employees. Workers received a letter with the company's letterhead yesterday, September 9, with the subject, "Possible Recall of Furloughed Blackjewel Workers of Belle Ayr and Eagle Butte Facilities."

Wyoming's Management Council has started a new, one-year legislative committee in response to the recent spate of bankruptcies in the coal industry. The hope is to produce legislation that puts Wyoming in an improved position in future reorganizations.

Pacificorp held another public input meeting on its 2019 Integrated Resource Plan (IRP) in Salt Lake City this week. The IRP goes through over 50 potential models to decide its energy portfolio for the near future. The utility provides power across the west including Wyoming.

Pacificorp has whittled down its preferred choices to five scenarios, which would all impact Wyoming plant retirements. Four of the five scenarios would close two of three units from Kemmerer's Naughton Plant early in 2025. All five would convert the last unit there to gas. All scenarios would also mean early retirement for part of the Jim Bridger plant near Rock Springs.

The First Judicial District Court in Wyoming ruled in favor of a landowners group in a case considering the release of previously confidential reclamation documents to the public. It helps shed light on how Contura Coal West, LLC (Contura) is backing 20 percent of its reclamation obligations for the Belle Ayr mine in the Powder River Basin.

In 2017, Wyoming's Department of Environmental Quality (DEQ) accepted the real property collateral bond. A certified appraiser showed that nearly 50,000 acres of property were collectively worth $26.7 million. It was appraised twice, and then reviewed by another appraiser, according to the DEQ.

A Washington state appeals court dealt another blow to a controversial coal export terminal. It reaffirms a regulator's decision made back in 2017. Judge Lisa Sutton found the state's Department of Natural Resources (DNR) acted properly in denying the Millennium Bulk Terminal necessary leases to begin development.

In 2012, Millennium introduced a full plan to build the largest coal export terminal on the West Coast and was seeking to ship about 44 million metric tons of coal per year. It hoped to add two large docks to its property in Longview, Washington.

A U.S. Department of Energy official visited the state this week after an invitation from Gov. Mark Gordon.

Virginia businessman Tom Clarke, who recently came close to owning Westmoreland's Kemmerer mine, appears to be the back-up bidder in Cloud Peak Energy's asset sale. That comes despite his name not being immediately connected to the LLC in public court documents.

The business address of Aspen Coal & Energy, LCC (Aspen) matches up with two other Tom Clarke-led LLCs in Merida Natural Resources and Western Coal Acquisition Partners in Roanoke, Virginia. In the articles of organization for the company, the entity forming the company was Clarke Investments, LLC.

After more than nine months of searching for a buyer, Cloud Peak Energy has chosen its winning bidder. U.S. Bankruptcy Court for the District of Delaware Judge Kevin Gross approved the sale today with NTEC taking on all of Cloud Peak's assets including its Antelope and Cordero Rojo mines. 

Contura Energy is not yet the owner of Blackjewel's two Wyoming mines. But, in an earnings call, the company did give insight into their expectations for the Eagle Butte and Belle Ayr mines.

The West Virginia court overseeing Blackjewel's bankruptcy has authorized the end of 401(k) plans for all the company's miners. It was one condition of Contura Energy's purchase of the Eagle Butte and Belle Ayr mines. Many Blackjewel workers responded to the news with thanks on Facebook, one commenting "Hallelujah."

Amid coal bankruptcies, increasingly cost-efficient oil and gas companies, and a trade war underway, the energy sector has dropped to its lowest share of the S & P 500 in a long time. S & P 500 is an index of major companies that represent the U.S. stock market.

A collection of conservation groups announced that it will fight against a move to reduce federal regulations regarding mineral royalties. The current regulations greatly increase the amount energy companies pay to the federal government.

U.S. District Judge in West Virginia Frank Volk has approved the motion for Contura Energy to purchase Blackjewel LLC's two Wyoming mines: Eagle Butte and Belle Ayr. Though, there are still hoops to jump through. The court will need to settle a lasting issue with the federal government along with remaining challenges with title and lease transfers.

Judge Frank Volk has approved Contura Energy as the stalking horse bidder of Blackjewel's Eagle Butte and Belle Ayr mines, along with a mining complex in West Virginia. The company will put down a deposit of $8.1 million to fund the sale process and pay another $12.5 assuming no party outbids them. Contura's offer is now set as the low bar, or stalking horse, bid.

Three weeks after filing for Chapter 11 reorganization, coal company Blackjewel L.L.C. has a plan to keep operating some of its mines. Contura Energy is willing to put down the money to become the stalking horse bidder and potentially take over and operate several mines including Wyoming's Eagle Butte and Belle Ayr. Contura already holds the mining permits and reclamation bonds for the two mines.

Tomorrow, July 25, is the last day Cloud Peak Energy will accept new bids to purchase its assets, which include Cordero Rojo and Antelope mines. The coal company filed for bankruptcy in May after cash difficulties that stem back to 2009.

On July 5, Travis McRoberts, an attorney representing the recently bankrupt coal company Blackjewel, gave insight into a reorganization plan.

Blackjewel employees in Wyoming could soon miss their second payday; it's approaching quickly on July 26. The recently bankrupt coal company has already passed one payday on July 12 since filing for Chapter 11 reorganization on the first of July.