Bell County Coal is located in Middlesboro and consists of two underground mines, Moseley Spur and Cabin Hollow, a coal preparation plant and an integrated four-hour unit train loadout. Last year, the Corporation shipped approximately 537,000 tons and has 11.9 million tons of coal in reserves.
In a press release issued yesterday, James River Coal Company announced that it signed an Asset Purchase Agreement with Weston Holdings, Inc. a newly formed entity affiliated with Saber Mining Company, Inc.
This announcement follows the conclusion of a comprehensive review of strategic alternatives undertaken on March 1 with the assistance of the company's financial advisor, Morgan Stanley, according to the company's website. This review of strategic alternatives brought the company into contact with a number of different industry participants and investor groups.
Peter T. Socha, Chairman and Chief Executive Officer of James River Coal Company commented: "We believe that this transaction represents a good result for the shareholders of James River Coal, the employees and management of Bell County Coal, and the Weston Holdings organization. Weston's affiliates have existing coal mining operations near Bell County Coal and will certainly benefit from the tremendous personnel at Bell County Coal."
The sale includes substantially all of the assets of Bell County Coal. In addition, Weston Holdings has indicated the intention to immediately hire substantially all of the employees of Bell County Coal.
Brandy Murray is a Staff Writer for the Daily News. She can be reached via e-mail at editor@middlesborodailynews.com.
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