National Coal Recoups $1.9 Million Insurance Claim for Damaged Highwall Mineradmin
Coal producer National Coal Corp. said Tuesday it will receive a $1.9 million insurance payment to fully cover the cost to repair a damaged highwall miner, minus a $50,000 deductible.
After a March rock collapse damaged the highwall miner, the company said its initial insurance claim was denied. The undisclosed insurance provider, has since agreed to pay the amount, however.
National Coal said it expensed $1.8 million of the $1.9 million during the first quarter and the remainder in the second quarter.
The company said it is in talks with a second insurance provider on a claim related to a front-end loader that was totaled in the March rock collapse. National Coal expects the claim to be resolved in its favor by the end of the year.
National Coal shares fell 54 cents, or 9.2 percent, to close at $5.33 on the Nasdaq, after a tough day overall for industrial metal companies and miners.