Engineering and Mining Journal - Whether the market is copper, gold, nickel, iron ore, lead/zinc, PGM, diamonds or other commodities, E&MJ takes the lead in projecting trends, following development and reporting on the most efficient operating pr
Issue link: https://emj.epubxp.com/i/665536
NEWS - THIS MONTH IN COAL 20 E&MJ; • APRIL 2016 www.e-mj.com Former Massey Energy CEO Sentenced to Prison Four months after his conviction and almost six years to the day after the ex- plosion that launched his criminal in- vestigation, ex-Massey Energy CEO Don Blankenship has been sentenced in federal court to one year in prison and a $250,000 fne. Blankenship's sentencing hearing was scheduled for 10 a.m. April 6 in Charleston, West Virginia, and reports of the verdict—which was the maximum penalty for his misdemeanor conspiracy conviction—by U.S. District Judge Irene Berger were made public by noon. The former executive is the ffth per- son to be convicted for his role in events leading up to the Upper Big Branch (UBB) mine explosion on April 5, 2010, that killed 29 coal miners. According to the Associated Press, Berger—a coal miner's daughter—said in the hearing that she had given the sen- tence great consideration and that, in the end, safety must be paramount. "Instead of being able to tout you as a success sto- ry, we are here as a result of your part in a dangerous conspiracy," she said. Following the sentencing, Blanken- ship stated that the 29 victims of UBB were "great guys, great coal miners" and again proclaimed his innocence. "It is important to everyone that you know that I'm not guilty of a crime." His legal team said they will appeal the decision; they had contended throughout the process that he should receive, at most, pro- bation and a fne. A motion for his free- dom during the appeals process was re- portedly denied. Blankenship was convicted December 3 with a single count of misdemeanor conspiracy to violate mine safety stan- dards at the southern West Virginia mine. He escaped potential felony charges and, more recently, $28 million in restitution to Alpha Natural Resources to cover his legal fees. Queensland Approves Carmichael Lease Queensland State Mines Minister Antho- ny Lynham has given approval to three mining leases for Adani's planned Car- michael coal project in Australia's Gali- lee Basin. The clearing of the leases is considered a signifcant step ahead for the project, work for which is projected to begin next year at a cost of $21.7 bil- lion. Carmichael's formal environmental assessments frst began in 2010. Premier Annastacia Palaszczuk told ABC News Australia that the planned mine and rail complex had been under "extensive government and commun- ity scrutiny," but also noted the thou- sands of jobs the project will create. "Some approvals are still required be- fore construction can start and ulti- mately committing to the project will be a decision from Adani," she said, adding that tight controls will continue to be in place for the protection of land- owners, the environment and the Great Barrier Reef. Adani said the granting of the leases helps "deliver the company certainty with respect to timelines" as it moves in the next stages of the project. "Adani has consistently said that what is required for its projects to proceed is certainty on approvals," offcials told ABC. "The next phase of the project following this key approval will see a return to the pre-engi- neering work that had to be suspended in 2015 with the loss of certainty on approv- als timelines that had occurred at that time. Concurrent with that, the company will continue to fnalize second-tier ap- provals, with the clear aim of commenc- ing construction in calendar year 2017." Peabody Lays Off PRB Miners As it continues to consider its next f- nancial move after warning of potential bankruptcy, Peabody Energy confrmed March 31 that it will cut 235 positions from its payroll at one of the nation's larg- est mines, the North Antelope Rochelle (NAR) operation in Wyoming. Offcials, who cited an alignment of the Powder River Basin (PRB) mine's workforce with customer needs for the decision, said the impacted employees are both hourly and salaried. While the company did not indicate whether the layoffs would be permanent, it did note that it had already been trying to minimize staffng impacts by adjust- ing its resources and relying on natural turnover. Peabody has offered workers severance as well as outplacement sup- port. "While our asset position and contracting strategies give us relative strength, we are taking these actions to match production with customer de- mand," Peabody President—Americas Kemal Williamson said. "We regret the impact of these actions on our em- ployees, their families and the surround- ing communities." About 1,150 will remain employed at NAR post-cut. In all, Peabody has 1,500 miners working in the PRB region, which includes the Rawhide and Caballo com- plexes. NAR alone produced 109 million tons of coal last year. As Peabody noted in its announcement, the region has fared better than other coalfelds, primarily due to cost advantages. Former Massey Energy CEO Don Blankenship (left) walks out of the Robert C. Byrd U.S. Courthouse in Charleston, West Virginia. (AP Photo / Chris Tilley)