Hallador shuts ex Vectren coal mine in Indiana

Hallador Energy’s Sunrise Coal LLC, which just closed on a buy of Vectren Corp.’s (NYSE: VVC) three underground coal mines in Indiana, on Aug. 29 idled one of them, the older Prosperity mine.

Hallador in a Sept. 3 filing at the SEC attached a Sept. 4 slide presentation it intends to use in a conference call with analysts. The presentation said that Prosperity was idled on Aug. 29 and that a production unit from Prosperity has been transferred to the Oaktown 2 mine, which is part of the two-mine Oaktown complex also bought from Vectren.

The existing coal inventory at Prosperity will be cleared by Dec. 1. The coal contract business for Prosperity will be fulfilled out of both Oaktown and the Prosperity deep mine in the region that Sunrise Coal had already operated.

The presentation noted that the prior Sunrise mines, and the ex-Vectren mines, shared a number of customers in 2013, including Vectren (A.B. Brown plant), Indianapolis Power & Light (Harding Street and Petersburg plants), Orlando Utilities Commission (Stanton plant), Hoosier Energy (Merom plant), NiSource (Bailly plant), JEA (St. Johns River Power Park), and Lakeland Electric (C.D. McIntosh Jr. plant).

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.