ABINGDON, Va. — Virginia based Alpha Natural Resources reports plans to divest itself of a series of coal and natural gas operations in West Virginia.
The company announced the sale of it’s Green Valley mining asserts in a press release Tuesday. The operations are in Nicholas and Greenbrier County and include the mines and Number 1 preparation plant along with all related mining permits. The Green Valley operations have been idle since the spring of 2014. Quinwood Coal Company has purchased the operations.
Alpha has also sold its New River Energy natural gas operations. Kinzer Drilling is the buyer of the operations which include 120 producing natural gas wells in five West Virginia counties.
Alpha officials say the sales are another step toward reducing the company’s footprint.
“With these significant divestitures, we will transfer 28 mining-related permits, reduce surety bonding by approximately $3.5 million, eliminate future reclamation spending at these sites, and further reduce our annual holding cost for inactive and idle properties by approximately $1.1 million,” said Alpha CEO David Stetson in the release. “Additionally, $2.7 million in self bonding will be eliminated as part of these sales, which will assist ANR in meeting its obligations to the State of West Virginia.”
Steson added the third parties planning to buy the operations have indicated a desire to restart the operations which could restore more jobs to the communities where they are located.