Eagle Butte Mine


The Eagle Butte mine is a coal mine located north of Gillette, Wyoming in the United States in the coal-rich Powder River Basin. The mine is an open pit, "truck and shovel", mine producing a low-sulfur, sub-bituminous coal from the Roland and Smith seams that is used for domestic energy generation. Coal produced by the mine is shipped to its customers via railroad. The mine is owned and operated by Eagle Specialty Materials LLC after being acquired from Blackjewel LLC in 2019.
As of 2009, Eagle Butte had reserves of of sub-bituminous coal and a maximum permitted production capacity of per year. Typical annual production has been in 20-25 million ton range for the last several years though. The average quality of the coal shipped from Eagle Butte is 8,400 BTU/lb, 0.34% Sulfur, 4.50% Ash, and 1.90% Sodium. Train loading operations at the mine are done with a batch weigh bin system that is coupled to a "weigh-in-motion" track scale system. Silo capacity at the mine's rail loop, which can accommodate up to 5 unit trains, is 48,000 tons. In 2008, the mine produced just over of coal, making it the 9th-largest producer of coal in the United States. In 2022, this had dropped to just over 15 million short tons of coal. However, this still made it the 5th-largest coal mine in the US.

History

The Eagle Butte Mine shipped its first train of coal in 1978 after beginning pre-production work in 1976. Since mining operations began, the mine has shipped over of coal to its customers. Eagle Butte mine has changed hands many times through mergers and sales. Previous owners include AMAX, Cyprus AMAX, RAG and Foundation Coal.
In 2005, the Eagle Butte mine was awarded two awards from the Wyoming Department of Environmental Quality for Excellence in Surface Mining Reclamation and Innovation. Eagle Butte was selected to receive these awards because of the superior quality of shrub patches that the mine had established on its reclamation.
On July 1, 2019 CEO Jeffery Hoop announced that Blackjewel LLC, the operator of Eagle Butte had filed for bankruptcy and closed the mine. According to the Casper Star-Tribune, court documents show that Blackjewel owes $500 million in liabilities, including $6 million to employees. This was after Blackjewel was denied $20 million in financing by the United Bank of West Virginia.
On August 4, 2019 Contura Energy Inc. announced that they won the bid to purchase the Eagle Butte and Belle Ayr mines from Blackjewel. However, it was unclear if and when any of the mines would reopen.
On October 21, 2019 Eagle Specialty Materials put out an announcement that it had closed its deal to buy the Eagle Butte and Belle Ayr coal mines from Contura, after the latter was unable to come to an agreement with the federal government about unpaid royalties needed to close the previous deal.

Production

YearCoal production
Employees
202215,062,345267
202113,549,294222
202012,303,698229
201911,642,248216
201817,055,796306
201717,264,483303
201619,003,005291
201519,649,723290
201420,690,237286
201319,904,433255
201222,466,733301
201125,365,054310
201023,225,757298
200921,496,124280
200820,443,413274
200725,010,089275
200625,355,158270
200524,137,448242
200422,997,687238
200324,549,824236
200224,888,124236
200124,826,910236
200018,622,992181
199924,826,910186
199818,074,546184
199717,921,000188
199615,642,744184
199516,942,000180
199417,161,000201
199316,838,000227
199213,669,000217
199113,922,000219
199015,402,000246
198913,606,000265
198812,915,000271
198712,977,000299
198612,000,000299
198511,808,000314
198413,365,000310
198311,030,000308
19829,100,000
19818,400,000
19808,500,000
19794,500,000
1978500,000