Report reveals which Blackjewel Virginia mines were sold to Rhino Energy



LEXINGTON, Ky. (WJHL) – A report filed by coal operator Rhino Resource Partners reveals which mines the company agreed to purchase from bankrupt Blackjewel during an auction earlier this month.

According to the filing, Rhino Energy, an affiliate of Lexington, Kentucky based Rhino Resource Partners, entered into an agreement with Blackjewel and its affiliates to purchase three underground mines that were actively producing coal when Blackjewel filed for bankruptcy along with a preparation plant and a rail loadout facility.

The following assets in Virginia were included in the purchase agreement:

Purchased Assets

MineAbbrMineLocationJob / Job NamePermit #
D15Pioneer #1D-15 – Pioneer #1Permit #1201797
D16MavrickD-16 Mavrick – DOMINION #30Permit #1202258
D16MavrickD-16 Mavrick – DOMINION #30 Shadow PermitPermit #Y-4015-97
D17Tiller #4D-17 Tiller #4 – SURFACE MINE #1Permit #1702261
D18Tiller #5D-18 Tiller #5 – DOMINION MINE #7Permit #1202259
D18Tiller #5D-18 Tiller #5 – DOMINION MINE #7 Shadow PermitPermit #Y-3032-12
D18Dominion #7D-18 – Dominion 7 Shadow PermitPermit #Pending Transfer
D20BeehiveD-20 Beehive – DOMINION MINE #34Permit #1202286
P12FlatrockP-12 Flatrock – FLATROCK PLANT & REFUSEPermit #1702276
R251FLATROCK #251R251 – FLATROCK NORTHEASTPermit #1102084
T12Raven LoadoutT-12 Raven Loadout – RAVEN DOCKPermit #1302005

It is unclear when or if the mines and facilities will reopen.

It is also unclear if Rhino will commit to paying wages that Blackjewel owes to employees.

SEE ALSO: Feds ask court to halt transport of Blackjewel coal in Virginia until miners get paid

Rhino agreed to pay $850,000 in cash plus an additional royalty of $250,000 for the Virginia assets.

Several other companies also submitted bids during the auction:

  • Contura Energy bid for Blackjewel’s two Wyoming mines and the Pax Surface Mine in West Virginia
  • Kopper Glo Mining bid for the Lone Mountain and Black Mountain assets
  • Coking Coal, LLC bid for the Pardee mine in Wise County
  • Tye Fork Coal Company bid for the LM6 mine
  • Mark Energy bid for the LM8 mine of Cumberland River Coal

According to Rhino’s filing, the company’s bid is subject to approval by the United States Bankruptcy Court for the Southern District of West Virginia, which is administering Blackjewel’s cases.

Blackjewel Bankruptcy Coverage:

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