Peabody to End Self-Bonds, For Now
CASPER, Wyo. (AP) — Peabody Energy will cover coal mine reclamation in Wyoming with third-party insurance rather than self-bonding.
Peabody is the last of the large coal companies using self-bonds in Wyoming to make the change.
Peabody owns the North Antelope Rochelle mine in Campbell County. It announced its decision recently to replace its self-bonds with traditional insurance to cover more than $728 million in reclamation liabilities.
The decision ends a long debate over self-bonding in the state, at least for now.
Self-bonds are reclamation obligations that a company essentially promises to pay, based on the health of a company's balance sheet.
Peabody, Arch Coal and Alpha Natural Resources each declared bankruptcy as the coal market tanked in 2015 and 2016.