Rhino unit seeks permit for coal project in eastern Kentucky

The Central Appalachia Mining LLC unit of Rhino Resource Partners LP (NYSE: RNO) is seeking a wastewater permit from the Kentucky Department for Environmental Protection on a coal mining project in Pike County, near the town of Penny.

The proposed project is an underground and auger mining operation (also covered under KDNR Permit No. 898-4295 A4, R9, R10), said a socioeconomic report on the project released by the DEP on July 26. “The recovery of the Lower Elkhorn, Elkhorn No. 2, Elkhorn No. 3, and Elkhorn No. 3½ coal seams over the life of the project will produce over 5.01 million tons of coal,” said the report. “This will continue the generation of tax revenues. An estimated $13 million in severance taxes will be produced by this project, and the surrounding counties will receive an estimated total of $1.96 million dollars (15 percent) associated with the coal removing portions of this project.” The project will involve 30 jobs.

Portions of this area in Pike County have been previously disturbed by coal mining operations, logging and timber harvest, urban and residential development, and agricultural practices, the report added. Among other things, the company proposes to add 192 acres of underground mining of the Lower Elkhorn coal seam to the existing operation.

Incidentally, while the report says “Central Appalachian Mining,” the company’s name is actually Central Appalachia Mining, with an official change of that name some time ago in U.S. Office of Surface Mining records to CAM Mining LLC. OSM data shows that a U.S. Mine Safety and Health Administration ID number associated with this mine permit (#898-4295) is for the abandoned Mine #10 deep mine in Pike County, which has been listed under CAM Mining since 2006.

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.