Armstrong Coal permits new Kentucky mining operation

The Kentucky Department for Environmental Protection put out for public comment April 19 a wastewater permit application from Armstrong Coal for the 90.5-acre Maddox strip mine, located in Ohio County.

A socioeconomic report written by the company said the Maddox mine, covered also under Kentucky Department for Natural Resources mine permit #892-0114, would employ about 60 workers. The mine would produce about 200,000 tons of coal per year, with Armstrong Coal estimating the mine’s tax revenue for government agencies based on an assumed sales price of $55/ton.

Armstrong Coal is about to go public as a subsidiary of newly-created Armstrong Energy. Armstrong Energy said about Maddox in a March 7 Form S-1/A filing at the SEC: “The Maddox mine is a surface mine located two miles southeast of Centertown, Kentucky, in Ohio County. The Maddox mine commenced production in November 2011 and extracts thermal coal from the West Kentucky #13a, #13 and #11 seams. The Maddox mine produced approximately 25,000 tons of clean coal in 2011 and is currently equipped with a spread of surface mining equipment. Our reserve studies have indicated that the Maddox mine has approximately 0.5 million tons of proven and probable reserves. Coal from the Maddox mine is transported to the Midway Preparation Plant for processing, where it is then shipped to customers via truck, rail or barge.”

About Barry Cassell 20414 Articles
Barry Cassell is Chief Analyst for GenerationHub covering coal and emission controls issues, projects and policy. He has covered the coal and power generation industry for more than 24 years, beginning in November 2011 at GenerationHub and prior to that as editor of SNL Energy’s Coal Report. He was formerly with Coal Outlook for 15 years as the publication’s editor and contributing writer, and prior to that he was editor of Coal & Synfuels Technology and associate editor of The Energy Report. He has a bachelor’s degree from Central Michigan University.