Two new names were added to this year’s report on coal processing plants
By Steve Fiscor, Editor-in-Chief
Year-to-date U.S. coal production has declined by more than 6% in Appalachia and nearly 12% in the Midwest, which would explain why so much of the domestic processing capacity remains idle. The medium- and long-term outlook for demand remains strong, especially for metallurgical coal markets, and those trends are reflected in Coal Age’s 2024 U.S. Prep Plant Census.
This year’s tally identifies a total of 231 prep plants, 214 processing bituminous coal and 17 processing anthracite. A total of 76 bituminous prep plants are currently sitting idle, which puts the number of active bituminous plants at 155. Knowing idled prep plants may reopen and permits remain active, Coal Age carries prep plants in the census until they are demolished. West Virginia leads with 49 active bituminous prep plants, followed by Kentucky (23), Pennsylvania (21), Virginia (14), Illinois (9) and Alabama (7).
American Consolidated Natural Resources reported that its Midway and Pride prep plants at the Muhlenberg County operations in Kentucky are idle.
Alpha Metallurgical Resources recently completed an upgrade at the Kepler prep plant increasing the raw feed capacity from 750 tons per hour (tph) to 900 tph.
Two new names were added to U.S. Prep Plant Census this year: Delta Dunia and American Infrastructure Corp. During August, American Resources Corp. (ARC) changed the name of its American Carbon Corp. subsidiary to American Infrastructure Corp. (AIC). ARC purchased a 51% ownership interest in a diversified mineral asset with a focus on iron ore, titanium and vanadium, and it said AIC better reflects the company’s broader focus on raw material inputs to the steel and infrastructure markets.
AIC said it is looking to lease complexes to highly qualified operators. It’s hoping to monetize its asset base by partnering with operators to receive revenue-based royalty, streamlining or leasing revenue. It recently signed a lease for its McCoy Elkhorn mining complex, located in Pike County, Kentucky, with the goal of restarting operations this year and receiving a top line royalty stream from the complex.
McCoy Elkhorn complex is a state-of-the-art prep plant and logistics hub focused on the production, processing and distribution of metallurgical coal. Working with a contract operator, ARC said it hopes to bring its Carnegie 1 and Carnegie 2 mines back online for the production of high-quality, high vol A and B met coal as well as its onsite Mine 15.
Additionally, AIC said it continues to develop its Wyoming County Coal mining complex in West Virginia supported by the closing of its $45 million tax-exempt bond last year. The Wyoming County Coal complex is focused on the production, processing and distribution of premium-quality, mid vol metallurgical carbon.
“We continue to evaluate acquisition proposals of certain controlled assets while also preparing the business for its separation and public listing,” said Tarlis Thompson, CEO of AIC. “We believe we control some of the lowest cost met carbon and iron ore assets in the regional market and have restructured these assets to make them attractive for operators to step and hit the ground running. We are excited to progress the business forward as a standalone business in the near future.”
During May, Delta Dunia, an Indonesian group that operates coal mines in Indonesia and Australia, purchased the Atlantic Carbon Group, which operates four anthracite mines in Pennsylvania, USA. Delta also owns BUMA International, one of largest independent coal mining contractors in Indonesia. The former Atlantic Carbon plants listed in the Anthracite section are now listed as Delta Dunia.
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