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Atrum Coal moves forward with legal action against Alberta government

24th February 2025

By: Mariaan Webb

Creamer Media Contract Publishing Editor

     

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Australia-based Atrum Coal is proceeding with its legal claim against the Alberta government, reaffirming its stance that the province’s coal mining restrictions amount to de facto expropriation of its Elan coal leases.

Atrum and its subsidiary, Elan Coal, have filed an amended statement of claim in the Court of King’s Bench of Alberta, citing the Alberta government’s recent policy changes as further grounds for its case.

The amendment follows Ministerial Order 003/2025, issued on January 15, which lifted a moratorium on coal exploration and development, but maintained a prohibition on openpit mining.

“The Elan Coal leases can only be technically and economically developed as an openpit mine. Underground mining methods are not technically or economically viable,” Atrum said in a statement on Monday.

As a result, the company was moving ahead with its lawsuit for constructive taking and additional legal claims, including private nuisance and unjust enrichment. The trial is set to get under way on April 28.

The dispute originates from Alberta’s shifting coal policies. In 2020, the provincial government scrapped a 1976 policy restricting coal development in the Eastern Slopes region, opening the door to new mining projects. However, widespread public opposition led the government to reinstate the policy in 2021 and establish a Coal Policy Committee. The committee’s recommendations were published later that year.

In December 2024, the province announced its Coal Industry Modernisation Initiative, which reinforced restrictions on new openpit mines in the Eastern Slopes and mandated stricter environmental standards for coal mining projects.

In January 2025, the Alberta Energy Regulator lifted suspensions on Atrum’s coal exploration activities in line with the Ministerial order, allowing the company to resume exploration programmes, deep drilling, and geophysical surveys.

Edited by Creamer Media Reporter

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