Opening for new coal mine delayed
Peabody Energy officials have pushed back a coal mine’s planned opening date from late 2008 to sometime in 2009, or possibly later.
The reason is soft demand for coal from power companies.
But the St. Louis, Mo.-based company said it’s a matter of when, not if, the mine will open 15 miles outside Wright.
“This mine, we believe, is the best undeveloped reserve block in the Powder River Basin,” spokesman Vic Svec said. “We are very optimistic that this is a winner.”
Peabody announced the mine early last year after a coal reserve swap with Arch Coal. The mine will employ about 300 people, including some current employees in the area.
It would be the Powder River Basin’s third-largest coal mine.
Coal markets have softened over the past year as electric utilities have increased stockpiles.
Despite the delay, Peabody officials expect to continue working through designing and permitting for the mine.
Peabody subsidiary Powder River Coal has an office in Gillette.
Source: billingsgazette.net
