Peabody Energy Submits Successful Bid For 402 Million Tons Of Ultra Low Sulfur Coal Reserves At North Antelope Rochelle Mine

Peabody Energy

today announced the lease of 402 million tons of ultra low sulfur coal reserves adjacent to its North Antelope Rochelle Mine (NARM) in the Southern Powder River Basin of Wyoming. The company submitted the successful bid of $1.11 per mineable ton for control of the South Porcupine reserve area. The bid was conducted through a sealed bid auction process. The company plans to incorporate the five-square-mile block into its mine plan for NARM following a permitting process. The South Porcupine tract is adjacent to NARM and was originally nominated for lease by Peabody in 2006. A second set of reserves – the North Porcupine area – is also contiguous to NARM. Peabody has nominated North Porcupine for bid, and a lease auction is anticipated in the second quarter.