Bowie Resources leases new federal tract in Colorado

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.

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.