MARKETS

Murray clips Redbird's wings

MURRAY Energy's OhioAmerican Energy operations in eastern Ohio will cease production at the end of this year, finalising a plan put into motion a year ago, officials confirm.

Donna Schmidt

The company cited the depletion of mineable coal reserves and coal market losses for the suspension of Redbird West in Jefferson County, near Brilliant.

A company spokesman said 42 miners would be impacted by its decision, but that all were offered employment at other operations within Murray Energy and its subsidiaries.

“That is, there will be no personnel layoffs,” he said.

Murray will keep most of the impacted workforce on staff at OhioAmerican through next July to complete mined land reclamation work.

“Irrespective of when an OhioAmerican employee’s job ceases, he or she will have employment

offers at other operations of Murray Energy,” he confirmed.

Redbird first opened its doors in 2007 with a staff of 239.

Last November, the producer said it would cut 163 jobs at multiple locations, including Redbird.

Reports surfaced last January that some of the furloughed workers could be rehired, but Murray Energy media director Gary Broadbent told ILN at the time that Redbird West’s reality was much different.

“[Murray subsidiary] OhioAmerican Energy is in the process of performing reclamation work and picking up certain coal remnants,” he said.

“This is work that is required by law and does not represent a reopening of the mine.”

Broadbent confirmed that employment totaled about 42 even at that time, which was still “a fraction” of the 239 employed at its peak.

“Unfortunately, these 239 jobs are never coming back,” he said.

Broadbent also responded to media reports that reclamation work could go on for a few years and that there would be no expansion at the mine.

“We’re drawing down rather than building up,” he said.

“We were at 239 at our peak and now we’re down to skin and bones."

Murray’s other properties in eastern Ohio include the Century and Ohio Valley Powhatan No. 6 longwall mines.

TOPICS:

A growing series of reports, each focused on a key discussion point for the mining sector, brought to you by the Mining Monthly Intelligence team.

A growing series of reports, each focused on a key discussion point for the mining sector, brought to you by the Mining Monthly Intelligence team.

editions

Mining Magazine Intelligence Future Fleets Report 2024

The report paints a picture of the equipment landscape and includes detailed profiles of mines that are employing these fleets

editions

Mining Magazine Intelligence Digitalisation Report 2023

An in-depth review of operations that use digitalisation technology to drive improvements across all areas of mining production

editions

Mining Magazine Intelligence Automation Report 2023

An in-depth review of operations using autonomous solutions in every region and sector, including analysis of the factors driving investment decisions

editions

Mining Magazine Intelligence Exploration Report 2023 (feat. Opaxe data)

A comprehensive review of current exploration rates, trending exploration technologies, a ranking of top drill intercepts and a catalogue of 2022 Initial Resource Estimates and recent discovery successes.