Financing Denied for Blackjewel by Judge–Workers still in limbo
Written by jordanmckamey on July 11, 2019
Attorneys for Blackjewel say the bankrupt coal company continues to seek funding to reopen two large coal mines in Wyoming.
The Eagle Butte and Belle Ayr mines have been closed since July 1. The Milton, West Virginia-based company is in Chapter 11 bankruptcy and hundreds of Wyoming miners are out of work.
Eagle Butte and Belle Ayr are the nation’s fourth- and sixth-most-productive coal mines in the U.S.
The Casper Star-Tribune reports company attorneys plan to present a new financial proposal to a bankruptcy judge no later than Friday.
U.S. District Judge Frank Volk says he will expedite an emergency hearing if Blackjewel secures additional money before then.
Volk denied a proposed $20 million financing agreement for Blackjewel but approved an up to $5 million loan allowing mine maintenance to continue.