We are a diversified producer and marketer of coal primarily to major United
States ("U.S.") utilities and industrial users. We began mining operations
in 1971 and, since then, have grown through acquisitions and internal development
to become the second-largest coal producer in the eastern U.S.
We operate eight underground mining complexes in Illinois, Indiana, Kentucky,
Maryland and West Virginia. We also operate a coal loading terminal on the Ohio
River at Mt. Vernon, Indiana. In addition, we own equity interests in various
oil and gas mineral interests and gas compression services in various geographic
locations within producing basins in the continental U.S. Our mining activities
are conducted in two geographic regions commonly referred to in the coal industry
as the Illinois Basin and Appalachian regions. We have grown historically primarily
through expansion of our operations by adding and developing mines and coal
reserves in these regions.
We produce a diverse range of steam and metallurgical coal with varying sulfur
and heat contents, which enables us to satisfy the broad range of specifications
required by our customers.
Our Illinois Basin mining operations are located in western Kentucky, southern
Illinois and southern Indiana.
Hamilton Mining Complex. In July 2015, we acquired the remaining equity interest
in White Oak Resources LLC ("White Oak"), thereby gaining complete
ownership and control of the White Oak Mine No. 1 (now known as the Hamilton
mine), located near the city of McLeansboro, Illinois ("White Oak Acquisition").
Our subsidiary, Hamilton County Coal, LLC ("Hamilton"), operates the
Hamilton mine, which is an underground longwall mining operation producing medium/high-sulfur
coal from the Herrin No. 6 seam. Initial development production from the continuous
miner units began in 2013, and longwall mining began in October 2014. As part
of our initial transaction with White Oak in 2011, Hamilton acquired a preferred
equity interest in White Oak and constructed, owned, and operated the coal handling
and processing facilities associated with the Hamilton mine, including the preparation
plant which has throughput capacity of 2,000 tons of raw coal per hour. Hamilton
has the ability to ship production from the Hamilton mine via the CSX Transportation,
Inc. ("CSX"), Evansville Western Railway and Norfolk Southern Railway
Company ("NS") rail directly to customers or to various transloading
facilities, including our Mt. Vernon Transfer Terminal, LLC ("Mt. Vernon")
transloading facility, for barge deliveries.
River View Complex. Our subsidiary, River View Coal, LLC ("River View"),
operates the River View mine, which is located in Union County, Kentucky and
is currently the largest room-and-pillar underground coal mine in the U.S. The
River View mine began production in 2009, and utilizes continuous mining units
to produce medium/high-sulfur coal. River Views preparation plant has throughput
capacity of 2,700 tons of raw coal per hour. Coal produced from the River View
mine is transported by overland belt to a barge loading facility on the Ohio
River.
Dotiki Complex. Our subsidiary, Webster County Coal, LLC ("Webster County
Coal"), operates Dotiki, which is an underground mining complex located
near the city of Providence in Webster County, Kentucky. The complex was opened
in 1966, and we purchased the mine in 1971. The Dotiki complex utilizes continuous
mining units employing room-and-pillar mining techniques to produce high-sulfur
coal. Dotikis preparation plant has throughput capacity of 1,800 tons of raw
coal per hour. Coal from the Dotiki complex is shipped via the CSX and Paducah
& Louisville Railway, Inc. ("PAL") railroads and by truck on U.S.
and state highways directly to customers or to various transloading facilities,
including our Mt. Vernon transloading facility, for barge deliveries.
Gibson Complex. Our subsidiary, Gibson County Coal, LLC ("Gibson County
Coal"), operates the Gibson South mine, located near the city of Princeton
in Gibson County, Indiana. The Gibson South mine is an underground mine and
utilizes continuous mining units employing room-and-pillar mining techniques
to produce low/medium-sulfur coal. The Gibson South mines preparation plant
has throughput capacity of 1,800 tons of raw coal per hour. Production from
the Gibson South mine is shipped by truck on U.S. and state highways or transported
by rail on the CSX and NS railroads from the Gibson North rail loadout facility
directly to customers or to various transloading facilities, including our Mt.
Vernon transloading facility, for barge delivery. Production from the mine began
in April 2014.
Gibson County Coal operates the Gibson North mine, an underground mine also
located near the city of Princeton in Gibson County, Indiana. The Gibson North
mine began production in November 2000 and utilizes continuous mining units
employing room-and-pillar mining techniques to produce low/medium-sulfur coal.
The Gibson North mine was idled in the fourth quarter of 2015 in response to
market conditions but is expected to resume production in 2018.
Warrior Complex. Our subsidiary, Warrior Coal, LLC ("Warrior"), operates
an underground mining complex located near the city of Madisonville in Hopkins
County, Kentucky. The Warrior complex was opened in 1985, and we acquired it
in February 2003. Warrior utilizes continuous mining units employing room-and-pillar
mining techniques to produce medium/high-sulfur coal. Warrior completed construction
of a new preparation plant in 2009, which has throughput capacity of 1,200 tons
of raw coal per hour. Warriors production is shipped via the CSX and PAL railroads
and by truck on U.S. and state highways directly to customers or to various
transloading facilities, including our Mt. Vernon transloading facility, for
barge deliveries.