The U.S. Bureau of Land Management on July 30 leased through an auction a 1,790-acre tract for $2.9m to Bowie Resources LLC to develop about 8 million tons of recoverable coal adjacent to the Bowie No. 2 longwall mine in Delta County, Colo.
Bowie currently operates the mine, which produces roughly 3.5 million tons of coal annually, BLM noted in a July 30 statement. The mine has approximately 377 employees, with an annual payroll of about $26m, BLM added. U.S. Mine Safety and Health Administration data shows that Bowie No. 2 produced 581,274 tons in the first quarter of this year and 3.3 million tons in all of 2013.
This underground-minable coal in the Spruce Stomp lease area is ranked as B bituminous coal. The estimated coal quality on an as-received basis is: 12,896 BTU/lb, volatile matter 23.23%, moisture 3.38%, fixed carbon 62.16%, sulfur content 0.63%, and ash content 10.60%.
WildEarth Guardians said in March that it has appealed to the Interior Board of Land Appeals BLM’s decision to make this tract available for lease.