BRISTOL, Va., May 29, 2015 /PRNewswire/ -- Alpha Natural
Resources, Inc. (NYSE: ANR) and its operating affiliate, Alpha Coal
West, Inc., have been notified by the Wyoming Department of
Environmental Quality's Land Quality Division (LQD) that the LQD
believes the companies "no longer qualify under the self-bonding
program" in the State. Alpha disagrees with LQD's assessment,
continues to believe it has fully complied with the regulations,
and is currently reviewing all options to reverse or rectify this
flawed judgment by the LQD.
In each annual self-bond renewal process, Alpha has determined
its compliance status by consistently following a methodology
prescribed by state regulations, and it has shared these
calculations with the LQD as a part of each renewal
application. The LQD has never previously commented on
Alpha's calculation methodology. At the request of the LQD,
Alpha also recently provided supplemental fiscal information to the
division for its review. However, despite repeated attempts
to gain clarity from the LQD regarding any changes the division has
made in interpreting these regulations, numerous questions remain
unanswered that Alpha believes should have been addressed prior to
any determination being made. According to the LQD's
notification, Alpha now has 90 days to provide substitute
bonding.
"Alpha and its affiliates take very seriously our obligation to
operate in an environmentally responsible and fiscally sound
manner," said Philip Cavatoni,
Alpha's Chief Financial and Strategy Officer. "We also
appreciate the firm but fair approach with which the Wyoming
Department of Environmental Quality has managed its self-bonding
program in the past, which is why the limited transparency in this
current process is concerning."
"While we wait for further clarification from the LQD regarding
its review methodology and process, we are investigating a range of
options to address this new determination," Cavatoni added.
Alpha estimates that self-bonding by coal companies currently
operating in Wyoming totals
approximately $2 billion, of which
Alpha's share is just over $400
million. According to the Wyoming Mining Association,
Wyoming is home to 9 of the top 10
producing mines in the nation and coal production provides the
State's second largest source of tax revenue for state and local
governments (estimated at over $1.1
billion in 2013 alone).
About Alpha Natural Resources
Alpha Natural Resources
is one of the largest and most regionally diversified coal
suppliers in the United States.
With affiliate mining operations in Virginia, West
Virginia, Kentucky,
Pennsylvania and Wyoming, Alpha supplies metallurgical coal to
the steel industry and thermal coal to generate power to customers
on five continents. Alpha is committed to being a leader in
mine safety with our Running Right safety process, and an
environmental steward in the communities where its affiliates
operate. For more information, visit Alpha's website
(www.alphanr.com).
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SOURCE Alpha Natural Resources, Inc.