Peabody Western Coal Company

Peabody owns four mines in the Southwest: two in Arizona and two in New Mexico. The Kayenta Mine in Arizona and the Lee Ranch Mine in New Mexico are both in operation; The Black Mesa Mine in Arizona suspended operations in 2005, and the El Segundo Mine in New Mexico will begin production in 2008.

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Peabody

Peabody operates the Kayenta Mine through lease agreements with the Navajo Nation and the Hopi Tribe. The mine mines about 8 million tons of coal annually under complex geologic conditions from multiple seams and splits of seams ranging in thickness from three to 18 feet. Kayenta's coal is shipped to the Navajo Generating Station near Page, Ariz. The Black Mesa Mine, which shipped about 5 million tons of coal annually to the Mohave Generating Station near Laughlin, Nev., suspended operations in 2005 following Mohave's decision to shut down. Peabody Western continues working with the tribes to identify coal-related opportunities that would allow the Black Mesa Mine to resume operations.

Peabody Western Coal Company

Navajo located Mines - Permit Information:

Profile Overview

Peabody owns four mines in the Southwest: two in Arizona and two in New Mexico. The Kayenta Mine in Arizona and the Lee Ranch Mine in New Mexico are both in operation; The Black Mesa Mine in Arizona suspended operations in 2005, and the El Segundo Mine in New Mexico will begin production in 2008.

PEABODY WESTERN COAL COMPANY

Peabody operates the Kayenta Mine through lease agreements with the Navajo Nation and the Hopi Tribe. The mine mines about 8 million tons of coal annually under complex geologic conditions from multiple seams and splits of seams ranging in thickness from three to 18 feet. Kayenta's coal is shipped to the Navajo Generating Station near Page, Ariz.

The Black Mesa Mine, which shipped about 5 million tons of coal annually to the Mohave Generating Station near Laughlin, Nev., suspended operations in 2005 following Mohave's decision to shut down. Peabody Western continues working with the tribes to identify coal-related opportunities that would allow the Black Mesa Mine to resume operations.Black Mesa pond

On Black Mesa, stewardship takes many forms. All mined land is restored to a productive condition that provides lasting benefits. Based on the wishes of the tribes, range is reclaimed for traditional use including livestock grazing, cultural plant cultivation and wildlife habitat.

Peabody's Arizona mines have earned numerous awards for industry-leading environmental efforts. In 2005, the operations earned a "Silver" Good Neighbor Award and a National Reclamation Excellence Award from the U.S. Department of the Interior for working with area residents to promote sustainable grazing management programs. In 2003, the operations earned the inaugural "Gold" Good Neighbor Award from the U.S. Department of the Interior, and in 2003, Kayenta Mine earned Interior's prestigious Director's Award for innovative programs to protect cultural, historic and archaeological resources. The awards demonstrate an approach to stewardship that enables both tribes to balance cultural preservation with development of their tribal resources.

LEE RANCH COAL COMPANY

Peabody's Lee Ranch Mine provides coal that fuels electricity for homes and businesses throughout the American Southwest. Safe and efficient mining is carried out with strong regard for the land that has a rich past and bright future. Lee Ranch shovel Located near the town of Grants, Lee Ranch shipped nearly 6 million tons of coal last year, recovering coal from 26 seams that lace a 170-million-ton reserve from the San Juan Basin. The mine employs about 240 workers and annually injects more than $34 million into the New Mexico economy in royalties, taxes, wages and charitable contributions.

Employees at the Lee Ranch Mine were honored by the U.S. Department of Labor in 2006 for operating the safest surface mine in America. The New Mexico State Mining Inspector and New Mexico Mining Association also recognized the mine with a special award -- the Outstanding Safe Operator of the Year - to honor the mine's unparalleled performance. Lee Ranch shovel Lee Ranch employees have reclaimed 3,000 acres of mined land that typically is 50 percent more productive for cattle grazing than native range. Employees have been recognized for responsible stewardship and safe mining 20 times since the mining began.

The El Segundo (The Second) Mine is currently being developed adjacent to the Lee Ranch Mine. The surface operation will produce medium sulfur coal to serve a 19-year contract with a major southwestern utility and is expected to generate $1 billion in revenue over the life of the agreement.

Mining on this high desert plain marks a new chapter in the long history of Lee Ranch. Sound practices and respect for the environment will ensure range continues to be a resource for the next generation.



 


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