Clearing the Air Underground with Shotcrete
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DECEMBER 2011 VOL. 116 NO. 12 FEATURE ARTICLES NEWS/6 MINE RESCUE/34 34 The 100th Anniversary National Mine Rescue Contest Returns to Columbus Sponsored by MSHA, 103 mine rescue teams from 13 states compete 42 The Illinois Basin Supply-side Story A new study sheds more light on the revitalization taking place in Illinois, Indiana and Western Kentucky ILLINOIS BASIN UPDATE/42 SUPPLIERS NEWS/46 COAL IN THE NEWS 6 Alpha settles with DoJ on UBB mine explosion 6 VHGI to buy Indiana mine 7 MSHA cites corporate culture as root cause of UBB tragedy 13 Alliance has a busy third quarter 16 Rhino invests in production units 22 TECO discovers additional met reserves 24 U.S. Forest Service decides in favor of West Elk mine 26 Indiana gasification project gets the green light 27 Will FutureGen 2.0 become a reality? THIS ISSUE 28 Helmkamp nearing completion on emissions control projects at Dynergy coal power plant 29 Senate introduces the Fair Compliance Act: A more realistic In addition to providing an in-depth report on the Illinois EPA regulation timeline Basin, Coal Age this month covers the National Mine Rescue Contest, which took place in Columbus, Ohio, dur- WORLD NEWS ing October. The event was celebrating its 100th anniver- sary. On the cover, a mine rescue team member takes a gas 7 Anglo American approves Grosvenor met coal project in reading during a problem-solving exercise. Australia DEPARTMENTS Australia’s Abbott Point plans for future expansion 4 Editorial 9 Pike River Coal’s former CEO charged over 2010 6 Coal in the News mine explosion that killed 29 7 World News New underground mine to start production in Indonesia 16 People 13 Mechel signs long-term agreement with BelAZ 18 Dateline Washington 22 Calendar Transet improves freight rail efficienct into Richards Bay 46 Coal Terminal Suppliers News 48 Product News Mitsubishi to expand Aussie coal mining 53 Classified 56 Legally Speaking December 2011 www.coalage.com 1 JENNMAR We’re JENNMAR, a multi-national, We now operate eleven manufac- to none. We feel it is essential to develop family-owned company that is lead- turing plants throughout the United a close working relationship with every ing the way in ground control tech- States. Of these eleven facilities, ten customer so we can understand their nology for the mining, tunneling and are related to manufacturing ground unique challenges and ensure superior civil construction industries. For control products, and the eleventh is customer service. Our commitment to more than 40 years, our singular a steel service center that supplies a the customer is guided by three words; focus has been on manufacturing steady flow of flat steel products. Safety, Innovation and Service. It’s products and creating strata control Globally, we operate six manufactur- these words that form the foundation of solutions that help keep those who ing facilities, with three located in our business. It’s who we are. work underground safe and more Australia and three more in China, productive, from bolts and beams to Chile and Canada. We’ve also just channels and trusses to resin and acquired a facility in Poland to better rebar! And with manufacturing serve our European customers. plants and distribution networks JENNMAR continues to grow, but around the world, we are uniquely our focus will always be on the cus- positioned to react to ground control tomer. We will always provide excep- Frank Calandra, Tony Calandra, needs anywhere, anytime. tional, on-going service that is second President Executive Vice President Safety. Innovation. Service. Company Profile—Paid Advertisement editor’s note Making Amends for the UBB Mine Disaster www.mining-media.com Mining Media International Editorial Office 11555 Central Parkway, Suite 401 In a well-choreographed exercise, the federal government Jacksonville, Florida 32224 U.S.A. issued a set of announcements relating to the Upper Big Phone: +1.904.721.2925 Branch (UBB) disaster on December 6, 2011—National Fax: +1.904.721.2930 Miner’s Day. During the morning, the Department of Justice Editor-In-Chief—Steve Fiscor, [email protected] (DoJ) issued a press release saying that Alpha Natural Western Field Editor—Russ Carter, [email protected] Resources had settled with it for a record $209 million (See News, p. 6). Presumably at the same time, Mine Safety and European Editor—Simon Walker, [email protected] Health Administrators were meeting with the widows and Latin American Editor—Oscar Martinez, [email protected] BY STEVE FISCOR surviving family members in Beckley, W.Va. During the Associate Editor—Gina M. Tverdak, [email protected] mid-afternoon, MSHA held a press conference to discuss its / EDITOR-IN-CHIEF Associate Editor & Photographer— findings. Lee Buchsbaum, [email protected] Not much had changed from earlier reports (See Coal Age, July 2011, p. 30). The agency had officially completed its investigation. It issued 369 citations and orders Graphic Designer—Austin St. Clair, [email protected] to Massey Energy’s Performance Coal Co. (See News, p. 8), which operated the UBB coal mine. A methane ignition and coal dust explosion killed 29 miners on April 6, Mining Media International 2010—the worst U.S. coal mining disaster in 40 years. Alpha Natural Resources Corporate Office 8751 East Hampden, Suite B1 acquired Massey Energy earlier this year and it took responsibility for the incident Denver, Colorado 80231 U.S.A. and much more. Of that settlement, each of the families directly affected by the Phone: +1.303.283.0640 tragedy received $1.5 million. MSHA cited a corporate culture that put production Fax: +1.303.283.0641 before safety as the primary reason for the explosion. President/Publisher—Peter Johnson, [email protected] While the loss of one life is one life too many, hopefully the next generation will Vice President of Sales & Marketing—John Bold, [email protected] learn from the UBB coal disaster. What MSHA has said is that the UBB mine was an accident waiting to happen. A lot of people will wonder why these men took that U.S. & Canada Sales Manager—Victor Matteucci, [email protected] risk. Knowing what I know about coal miners, they were putting food on the table. Scandinavia, UK and European Sales Manager—Colm Barry, [email protected] None of them would likely ever be rich. We should say a prayer for all of them, espe- German Sales Manager—Gerd Strasmann, [email protected] cially the poor souls that knew they were putting other people’s lives in jeopardy. Classified Advertising—Norm Rose, [email protected] If you believe Joe Main and Kevin Stricklin, and I do, they did their best to find the Show Manager—Tanna Holzer, [email protected] answers that the 29 UBB miners took to their graves. The trail of MSHA citations lead- ing up to the UBB disaster was remarkable. During the press conference, Main and Ad Traffic Manager—Erica Freeman, [email protected] Stricklin took quite a bit of heat. Reporters grilled them as to how they would let a mine get to this point and why they didn’t just shut the mine down. MSHA followed protocol; it believed, at the time, that it had done all it all it could do. During the press conference, they said that in addition to the UBB recovery efforts, they immediately tried to deter- mine where the next possible disaster would occur and stop it. They vowed not to let this happen again. Words the coal industry has heard time and again. Now the industry is seeing the manifestation of that response in the form of heightened inspections. Coal Age, Volume 116, Issue 12, (ISSN 1040-7820) is published monthly by Mining Media Inc., 10 Sedgwick Drive, Englewood, Colorado 80113 (mining-media.com). The good news is that Alpha Natural Resources is leading the way. A certain level of Periodicals postage paid at Englewood, CO, and additional mailing offices. Canada competitive camaraderie exists among mining professionals at leading coal companies Post Publications Mail Agreement No. 40845540. Canada return address: Station A, PO when it comes to safety programs. Alpha believes its Running Right program is the best. Box 54, Windsor ON N9A 6J5, Email: [email protected]. Current and back issues and additional resources, including subscription request forms and an editorial From the moment the DoJ announcement was made, it was clear that Alpha, which is calendar, are available online at www.coalage.com. viewed as a leader in coal mine safety, had a hand in crafting the settlement. Instead of SUBSCRIPTION RATES: Free and controlled circulation to qualified subscribers. seeing the money disappear into some nebulous government compliance-enforce- Non-qualified persons may subscribe at the following rates: USA and Canada, 1 year, ment strategy, $80 million will be invested in making mine safety improvements at $56.00, 2 year, $96.00, 3 year, $162.00, Student, $16.00, Outside the USA and Canada, 1 year, $77.00, 2 year, $137.00, 3 year, $225.00 surface mail (1 year, existing mines and $48 million has been committed to a mine safety and health $145.00, 2 year, $257.00 airmail delivery). For subscriber services or to order single research trust—not just an investment for Alpha’s miners, but for all coal underground copies, write to Coal Age, 8751 East Hampden, Suite B1, Denver, CO 80231 USA; call +1.303.283.0640 (USA) or visit www.mining-media.com. miners. Finding positives in a mining tragedy is difficult, but this is certainly a major step in the right direction.