Wednesday, July 25

Coal Mine Owners in Legal Battle over Production

— HELENA, Mont. (AP) - The two owners of a coal mine in southeastern Montana are involved in a legal battle over whether to close the mine or expand production with an eye on Asian markets.

A subsidiary of Cloud Peak Energy is suing Ambre Energy Limited, its partner in the Decker mine, over what it claims is a breach of contract for planning to expand production outside of the formal process established by company's joint management committee.

Cloud Peak subsidiary Western Minerals LLC wants Ambre subsidiary KCP Inc. removed as the mine's manager.

Ambre denies Western Minerals' claims and said it will vigorously defend its management. The Australian-based company says that Cloud Peak is insisting on closing the Decker mine because Cloud Peak owns a competing coal mine where production has been increasing.


vcstar.com


 

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