31 Dec

U.S. coal companies White Stallion and Lighthouse Resources file for bankruptcy

first_img FacebookTwitterLinkedInEmailPrint分享S&P Global Market Intelligence ($):Two more U.S. coal mining companies have filed for bankruptcy as producers across the country struggle to sell coal into the troubled thermal coal market.White Stallion Energy LLC and Lighthouse Resources Inc. filed voluntary petitions for Chapter 11 bankruptcy in the U.S. Bankruptcy Court for the District of Delaware on Dec. 2 and Dec. 3, respectively. Both companies are looking to sell their assets through a bankruptcy reorganization sale process. Each reported estimated assets of between $100 million and $500 million with liabilities in the same range.Lighthouse, which is headquartered in Utah, operates the Decker mine in Montana and owns various other coal assets. Lighthouse produces low sulfur thermal coal with a focus on power generation markets in Asia. Decker produced 3.6 million tons of coal in 2019, according to U.S. Mine Safety and Health Administration data.Lighthouse faced numerous legal and regulatory obstacles and public opposition in its attempt to develop the Millennium Bulk Terminals-Longview LLC property in Washington into a coal export facility. The effort, which has already taken over eight years, could have bolstered the company’s access to Asian coal demand as domestic appetite for the fuel has waned.White Stallion was founded in 2010 to develop and operate surface mining complexes in Indiana and Illinois. It grew by acquiring coal companies and mines in the region, eventually reaching annual coal sales of 7 million tons and generating $26 million in EBITDA in 2019.The company operates six surface mines producing thermal coal from the Illinois Basin. Its largest customer is Duke Energy Corp. subsidiary Duke Energy Indiana LLC, which accounted for 70% of the coal company’s cash receipts in the nine months leading up to the bankruptcy filing.[Taylor Kuykendall]More ($): 2 U.S. coal companies file for bankruptcy, plan asset sales U.S. coal companies White Stallion and Lighthouse Resources file for bankruptcylast_img read more