https://www.engineeringnews.co.za

Push to liquidate Murray means coal mines will close, union says

4th May 2020

By: Bloomberg

  

Font size: - +

NEW YORK – Consol Energy’s effort to push rival coal company Murray Energy into liquidation is aimed at shuttering mines and reducing output in an oversupplied industry, according to the largest US coal miners’ union.

“Liquidation plays to the benefit of all the competitors in the region,” United Mine Workers of America president Cecil Roberts said during an online news conference Thursday.

Murray, America’s biggest privately held coal producer, filed for Chapter 11 protection in October. Last week, Consol petitioned the court to convert the case to Chapter 7, a liquidation. Putting mines up for sale piecemeal would likely result in some being acquired primarily to take over their existing sales contracts, then closed, Roberts said.

A new owner, which may include Consol, “would take orders and fill them from their other mines,” he said.

Consol disputed the notion that it has “ulterior motives".

“We are preserving our rights and interests in these complicated court proceedings to ensure the jobs and livelihoods of our nearly 2 000 miners,” a spokesman for the company said by email.

Roberts was speaking mainly about five mines Murray acquired from Consol in 2013 that now employ about 2,000 union workers, though other Murray mines could also face the same fate under Chapter 7.

“Consol argued for liquidation,” Roberts said. “It’s an attempt to eliminate viable competition.”

A Murray spokesman didn’t immediately reply to inquiries.

Edited by Bloomberg

Article Enquiry

Email Article

Save Article

Feedback

To advertise email advertising@creamermedia.co.za or click here

Showroom

EKATO Africa
EKATO Africa

Established in 1933, EKATO is the world leader in agitation technology, supplying agitators for processes and applications such as chemicals and...

VISIT SHOWROOM 
Multotec
Multotec

Multotec, recognised industry leaders in metallurgy and process engineering help mining houses across the world process minerals more efficiently,...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







301

sq:0.049 1.213s - 140pq - 2rq
Subscribe Now