Tag: Blackhawk Mining

Ex-Patriot Coal Workers Apply for Jobs with Blackhawk

Former Patriot Coal workers have begun applying for jobs with Blackhawk Mining.

Lexington, Kentucky-based Blackhawk will take over six of Patriot’s mining complexes in West Virginia later this week. Blackhawk was the winning bidder for the majority of Patriot’s assets.

Blackhawk began the rehiring process Monday at the Charleston Civic Center. Blackhawk vice president Jesse Parrish told The Charleston Gazette-Mail that the company expects to rehire about 1,400 former Patriot employees.

Parrish says the company hopes to resume mining at the West Virginia mines as soon as possible.

Miner Mark Watts says he was told that his hours would be reduced and that a pay cut is expected.

Scott Depot-based Patriot filed for Chapter 11 bankruptcy protection May 12.

U.S. Bankruptcy Judge Plans Approval of Patriot Coal Assets

A federal bankruptcy judge plans to approve the sale of West Virginia-based Patriot Coal’s assets.

A federal website says a hearing could be held in Richmond on Friday if parties in the case don’t agree on language in the judge’s confirmation order.

Scott Depot, West Virginia-based Patriot says most of its operating assets will be sold to Lexington, Kentucky-based Blackhawk Mining LLC. The Virginia Conservation Legacy Fund plans to use Patriot’s other mines and mining permits for purposes of water quality improvement and reclamation.

CEO and President Bob Bennett says the sale represents “the best possible outcome for Patriot and its stakeholders.”

Patriot said earlier this week that it expects the sale to result in the layoffs of more than 2,000 workers in West Virginia.

Patriot, DEP Sign $50 Million Reclamation Deal

On the same day Patriot Coal announced WARN notices had been sent to more than 1,000 Kanawha County miners, the company signed an agreement with West Virginia environmental regulators to ante up $50 million for mine reclamation projects.

The agreement with the West Virginia Department of Environmental Protection comes in the midst of the company’s bankruptcy proceedings in Richmond.

Signed Tuesday, Patriot has agreed to pay $12.5 million in cash to the state to assure the completion of land and water reclamation projects connected to 153 mining permits in the central and southern regions of the state.  

Patriot’s surety bonds to obtain its original mining permits on the sites will also remain in place under the deal, which total more than $158 million.

In addition, Blackhawk Mining, a Kentucky-based mining company that has agreed to buy many of Patriot’s operating mines in southern West Virginia, will pay $7.5 million toward reclamation projects and the non-profit Virginia Conservation Legacy Fund will post $30 million from profits generated at the Federal mining complex in northern West Virginia. VCLF agreed to purchase the mine after the bankruptcy.

“Without this deal, Patriot could walk away from its reclamation obligations and leave that work to the state,” DEP Secretary Randy Huffman said in a written statement Tuesday.

The deal is part of a larger bankruptcy plan of sales and debt payments. That plan will be presented to a U.S. Bankruptcy Judge in Richmond for approval Wednesday.

Bankrupt Patriot Coal Proceeds with Sale to Blackhawk Mining

Bankrupt Patriot Coal says it is proceeding with a partial sale to Blackhawk Mining LLC after an auction.

In a news release Tuesday, Patriot says Lexington, Kentucky-based Blackhawk Mining won an auction Monday for a substantial amount of Patriot’s assets.

The transaction and Patriot’s reorganization plan both still need approval in U.S. Bankruptcy Court in Richmond, Virginia. Scott Depot, West Virginia-based Patriot will seek the sale’s approval at an Oct. 5 bankruptcy hearing.

Patriot says Coronado Coal LLC participated in the auction and was designated the backup bidder.

Ohio, Pennsylvania and West Virginia environmental officials have expressed concerns about mine pollution cleanup in Patriot’s plan.

The Virginia Conservation Legacy Fund is looking to acquire Patriot’s other mines and mining permits for purposes of water quality improvement and reclamation.

Patriot Coal Issues Layoff Notices

Patriot Coal Corp. has issued layoff notices to an unspecified number of workers.

Patriot tells media outlets that the notices issued Monday, known as WARN, are in accordance with the terms of an agreement to sell a majority of its assets to Blackhawk Mining LLC.

If the sale is completed, Scott Depot, West Virginia-based Patriot says a majority of the affected employees will be offered jobs with Blackhawk.

Lexington, Kentucky-based Blackhawk announced in June that it entered a definitive agreement to purchase Patriot’s Panther, Rocklick Wells, Kanawha Eagle, Paint Creek and Midland Trail complexes in southern West Virginia.

Patriot filed for Chapter 11 bankruptcy protection on May 12.

Blackhawk Mining Plans to Buy Some Patriot Coal Assets

Blackhawk Mining LLC says it plans to buy some of Patriot Coal’s assets in southern West Virginia.

Lexington, Kentucky-based Blackhawk says in a news release that it has entered a definitive agreement to purchase Patriot’s Panther, Rocklick, Wells, Kanawha Eagle, Paint Creek and Midland Trail complexes. The agreement also includes reserve areas.

The sale is subject to a bankruptcy judge’s approval.

Scott Depot, West Virginia-based Patriot filed for Chapter 11 bankruptcy protection on May 12.

The bankruptcy court approved bidding procedures for the sale of Patriot’s assets on June 23. The court also approved Blackhawk as the “stalking horse” bidder for the previously identified assets.

Blackhawk president Nick Glancy says the company is working to complete the acquisition by late September or early October.

Exit mobile version