Arch Coal And Peabody Want To Marry Wyoming And Colorado Mine Operations

June 19, 2019
Photo: Black Thunder Mine (AP Photo)
In this file photo, a shovel prepares to dump a load of coal into a 320-ton truck at the Black Thunder Mine in Wright, Wyo. Black thunder Mine is owned by Arch Coal Co.

Two of the world's largest coal producers have announced they will combine mining operations in Wyoming and Colorado in an attempt to improve their competitiveness against natural gas and renewable energy sources.

Arch Coal and Peabody Energy are based in St. Louis and announced the joint venture on Wednesday.

It will be 66.5 percent owned by Peabody and 33.5 percent owned by Arch.

The companies say the deal requiring approval from regulators could save about $120 million annually in mostly operational costs over 10 years.

The plan involves the North Antelope Rochelle, Black Thunder, Caballo, Rawhide and Coal Creek mines in Wyoming and the West Elk and Twentymile mines in Colorado.

The mines employed about 3,300 workers in 2018.

The companies gave no guidance on future employment levels.