ARCHIVE

Alpha's idle plan moving forward

ALPHA Natural Resources has reportedly closed the doors on its Coalgood Energy complex in Kentuck...

Donna Schmidt

This article is 12 years old. Images might not display.

Even before Alpha’s announcement of 1200 layoffs and eight Appalachian mine closures in September, the company first confirmed in February that it would furlough 320 workers and slice 4 million tons of output – including the Coalgood Energy subsidiary.

Alpha spokesman Rick Nida told local newspaper the Harlan Daily Enterprise that, like so many other mines, Coalgood was idled due to the thermal coal market environment.

“The property is in reclamation right now and they are about to finish up,” he said.

“The property is being returned to its approximate original condition or for whatever use the permit said the final use would be after the mine has been completed and reclaimed. You have to return the land for that use.”

For Harlan County where the complex is located, along with the sister mines of Alpha’s Black Mountain Resources, it exacerbates an already open wound caused by layoffs, mine closures and production cutbacks across the coal industry.

“One [of the causes for the market] is the low price of natural gas," Nida told the paper.

“There has been some fuel switching. If the price of natural gas goes back up then switching may go back in the other direction.”

The firing upon coal-fired power plants is also at the center of the problem.

Unfortunately, he told the Daily Enterprise, it was unlikely the Coalgood miners would be able to find other Alpha jobs.

“Throughout the system we've had some reductions in force and some employees have been reassigned. I don't believe that is the case at Coalgood Energy,” he said.

ILN requested more details about the status of equipment removal and the timeline for other mines on its closure list but Nida did not respond Friday.

In addition to Coalgood, Alpha’s February idling list included Cave Spur Coal No. 1 in Harlan County, the No. 2 Gas underground mine in Kanawha County, West Virginia and the Inman Energy Randolph operation in Boone County, West Virginia.

Among those suffering cutbacks are Stillhouse Mining’s Mine No. 1 or Perkins Branch, Enterprise Mining’s Big Branch West, Run Creek Coal Sales’ Camp Branch, Mammoth Coal’s Alloy Powellton and Progress Coal’s Twilight mine.

The producer made the landmark announcement in mid-September that it would reduce its workforce by an additional 1200 – essentially 9% of its payroll company-wide – and halt mining at eight thermal mines in Virginia, West Virginia and Pennsylvania.

TOPICS:

A growing series of reports, each focused on a key discussion point for the mining sector, brought to you by the Mining Monthly Intelligence team.

A growing series of reports, each focused on a key discussion point for the mining sector, brought to you by the Mining Monthly Intelligence team.

editions

Mining Magazine Intelligence: Automation and Digitalisation Report 2024

Exclusive research for Mining Magazine Intelligence Automation and Digitalisation Report 2024 shows mining companies are embracing cutting-edge tech

editions

ESG Mining Company Index: Benchmarking the Future of Sustainable Mining

The ESG Mining Company Index report provides an in-depth evaluation of ESG performance of 61 of the world's largest mining companies. Using a robust framework, it assesses each company across 9 meticulously weighted indicators within 6 essential pillars.

editions

Mining Magazine Intelligence Exploration Report 2024 (feat. Opaxe data)

A comprehensive review of exploration trends and technologies, highlighting the best intercepts and discoveries and the latest initial resource estimates.

editions

Mining Magazine Intelligence Future Fleets Report 2024

The report paints a picture of the equipment landscape and includes detailed profiles of mines that are employing these fleets