Coal Age Magazine - For nearly 100 years, Coal Age has been the magazine that readers can trust for guidance and insight on this important industry.
Issue link: https://coal.epubxp.com/i/123548
news Dynegy Acquires Ameren Energy Resources Expanding Illinois Portfolio Officials at Dynegy Power have announced a major play into the Illinois market with subsidiary Illinois Power Holdings acquiring Ameren Energy Resources (AER), its Ameren Energy Generating Co. (AERG) and Ameren Energy Marketing Co. (AEM). The deal will boost Dynergy's portfolio by more than 8,000 megawatts (mw) of capacity statewide, with nearly 14,000 mw nationally. In addition to the AER retail and marketing businesses, Dynegy will take over five coal-fired power plants: Duck Creek, Coffeen, E.D. Edwards, Newton and Joppa. Dynergy officials were optimistic, citing "capital allocation flexibility" as part of the equation. "The acquisition of AER is expected to create significant value for Dynegy by building upon our existing scale in one of our key markets," said Dynergy CEO Robert C. Flexon. "AEM also brings to Dynegy an established retail business with significant scale that complements both portfolios." AEM has established marketing and retail businesses providing 15 million mw annually to municipalities and commercial and industrial customers. Homefield Energy retail, meanwhile, serves 500,000 homes and small businesses in Illinois. Dynegy's power generation consists of approximately 6,771 mw of natural gas-fired intermediate and peaking power generation facilities and 2,980 mw of largely coal-fired baseload power plants. NMA Sues MSHA Over POV Rule Several associations including the Kentucky Coal Association, the Ohio Coal Association, the National Stone, Sand and Gravel ± B R E A K I N G Peabody Energy, World Coal Association Present Open Letter to Bloomberg Peabody Energy and the World Coal Association have presented an open letter to New York City Mayor and anti-coal activist Michael Bloomberg through an ad in The New York Times "outlining unmatched growth and benefits of coal." Bloomberg has asserted that coal "is a dead man walking" after investing millions in natural gas development. "On the Contrary Mayor Bloomberg," the ad reads, "Coal is the World's Fastest Growing Major Fuel," with letters superimposed on the nighttime view of a major metropolitan skyline. "In addition to replacing oil as the world's largest energy source as early as this year," the full-page ad continued, "coal fuels more than 40% of U.S. electricity—that's a heavy load that all the windmills and solar panels in the U.S. don't begin to support, given their limited scale and high cost." Moreover, residents in states like New York spend 77% more on electricity than coalreliant states, the message continued, citing statistics by the U.S. N E W S CONSOL Energy Plans to Re-enter Blacksville No. 2 CONSOL Energy has received approval from the Mine Safety and Health Administration (MSHA) for its plan to re-enter the Blacksville No. 2 mine, evacuated March 12 when smoke was detected from the Orndoff shaft. Since then CONSOL Energy, in conjunction with federal and state authorities, pumped enough water into the mine to complete the seal operation and remotely pump eight isolation walls from the surface to seal off the fire area. This process was completed March 24. An analysis indicated the fire was successfully extinguished and company officials have said 4 www.coalage.com Association and the Portland Cement Alliance have joined the National Mining Association (NMA) in challenging the Mine Safety and Health Administration's (MSHA) final pattern of violations (POV) standards rule in the 6th Circuit Court of Appeals. NMA brought the Ohio court suit against MSHA's rule issued in January and effective March 25. The NMA has objected to MSHA's pending POV determination based on citations and orders already issued—instead of traditional POV determinations based on final Federal Mine Safety and Health Review Commission orders following violation adjudication. Through constitutional considerations, the NMA argues the proposal could deny miners due process protections under the 5 th Amendment—considerations ignored by MSHA in the final rule as well. NMA representatives also note the MSHA final rule lacks criteria by which POV determinations are to be made— bypassing "notice and comment" requirements crucial to due process itself. they would allow re-entry pending further testing; Blacksville No. 2 produces approximately 400,000 tons of coal monthly under normal operations. "I am extremely proud of the successful collaborative effort from federal and state agencies, the UMWA, contractors-vendors and our employees on site who worked around-the-clock to remotely extinguish a fire in less than 12 days," said CONSOL Energy Senior Vice President Chuck Shaynak. "We accomplished all of the work without an injury." April 2013