The winning bid that was made through a sealed bid auction process for reserves was $0.95 per mineable ton.
Peabody controls 2.9 billion tons of Powder river basin coal reserves, and can meet the strong expected long-term demand growth from the region.
The company intends to add the Belle Ayr North reserve area to the assigned reserves related to the Caballo Mine, which had sales of 23.5 million tons and reserves of 822 million tons in the last year.
New reserve lease also extends the company’s leadership in the largest and most productive coal region in US.
