Mountaintop MiningMountaintop MiningBuilding a New West Virginia Building a New West Virginia

West Virginia Coal Association West Virginia Coal Association PresentationPresentation

March 11, 2009March 11, 2009

Coal Production in United Coal Production in United StatesStates

The BasicsThe Basics

Two distinct coal regions:Two distinct coal regions:

Northern West VirginiaNorthern West Virginia

Southern West VirginiaSouthern West Virginia

The BasicsThe Basics

West Virginia is: West Virginia is: The second largest coal The second largest coal

producing state in the nation producing state in the nation (161 million tons)(161 million tons)

The largest underground coal The largest underground coal producing state producing state (93 million tons)(93 million tons)

The largest international coal The largest international coal exporting state exporting state (@ 20 million (@ 20 million tons)tons)

The EconomicsThe Economics

Number of active mines:Number of active mines: Underground -- 308Underground -- 308 Surface – 244Surface – 244

Total employment:Total employment: Total of all types – 34,527Total of all types – 34,527

Underground – 13,053Underground – 13,053 Surface – 6,154Surface – 6,154 Prep Plants – 2,342Prep Plants – 2,342 Contractors – 12,978Contractors – 12,978

The EconomicsThe Economics

Wages and Benefits:Wages and Benefits: Average annual salary – $62,700Average annual salary – $62,700 Benefits include health, disability, Benefits include health, disability,

life and retirement, etc.life and retirement, etc.

Production and Taxation:Production and Taxation: Estimated production value -- Estimated production value --

$6.8 billion$6.8 billion Coal severance tax -- $418 Coal severance tax -- $418

millionmillion Total taxes paid to West Virginia Total taxes paid to West Virginia

-- @$1 billion-- @$1 billion

Types of MiningTypes of MiningUndergroundUnderground

Room and PillarRoom and Pillar LongwallLongwall

Surface MiningSurface Mining Contour MiningContour Mining Auger MiningAuger Mining Mountaintop Removal Mountaintop Removal MiningMining

The BasicsThe Basics

Surface mining in general and mountaintop mining in particular, play an essential Surface mining in general and mountaintop mining in particular, play an essential role in keeping West Virginia coal competitive in the global marketplace.role in keeping West Virginia coal competitive in the global marketplace.

Production from surface mine operations constitutes approximately 40 percent Production from surface mine operations constitutes approximately 40 percent of the total production of West Virginia’s coal mines (68 million tons of a total of of the total production of West Virginia’s coal mines (68 million tons of a total of 161 million tons).161 million tons).

Mountaintop MiningMountaintop Mining

Surface mining methods are essentially the same as highway Surface mining methods are essentially the same as highway constructionconstruction Valley fillsValley fills are areas where the rock and dirt from mining excavation is placed are areas where the rock and dirt from mining excavation is placed

according to a plan designed by engineers and approved by government according to a plan designed by engineers and approved by government agencies. agencies.

The fills usually occur in The fills usually occur in dry stream bedsdry stream beds of what are known as of what are known as ephemeral ephemeral or intermittentor intermittent streamsstreams – streams that flow only when it rains. – streams that flow only when it rains.

Mountaintop MiningMountaintop Mining MOUNTAINTOP MININGMOUNTAINTOP MINING is simply coal is simply coal

mining that occurs at or near the mining that occurs at or near the topmost portion of a mountain.topmost portion of a mountain.

A Diagrammatic Overview of the Process:Courtesy of the Environmental Protection Agency. www.epa.gov/region3/mtntop/process.html.

Step 1. Layers of rock and dirt above the coal (called overburden) are removed

Step 2. The upper seams of coal are removed with spoils placed in an adjacent valley

Step 3. Draglines excavate lower layers of coal with spoils placed in spoil piles

Step 4. Regrading begins as coal excavation continues

Step 5. Once coal removal is complete, final regrading takes place and the area is revegetated

Mountaintop MiningMountaintop MiningCritical to the future of communitiesCritical to the future of communities

Surface Mining ProductionSurface Mining ProductionSelected CountiesSelected Counties

CountyCounty% Surface Mine Production% Surface Mine Production Total ProductionTotal Production BooneBoone 62 percent62 percent 34 million tons 34 million tons

Clay Clay 95 percent 4 million tons95 percent 4 million tons FayetteFayette 43 percent43 percent 4 million tons 4 million tons

Kanawha Kanawha 42 percent 12 million tons42 percent 12 million tons LoganLogan 69 percent69 percent 15 million tons 15 million tons Mingo Mingo 53 percent53 percent 12 million tons 12 million tons

McDowellMcDowell 50 percent50 percent 6 million tons 6 million tons Nicholas Nicholas 72 percent72 percent 4 million tons 4 million tons RaleighRaleigh 46 percent46 percent 9 million tons 9 million tons Wayne Wayne 55 percent55 percent 5 million tons 5 million tons Webster Webster 88 percent88 percent 5 million tons 5 million tons

Wyoming Wyoming 46 percent 5 million tons 46 percent 5 million tons

Mountaintop MiningMountaintop MiningREGULATIONREGULATION

Mining operations are regulated under the Clean Mining operations are regulated under the Clean Water Act (CWA), including discharges of Water Act (CWA), including discharges of pollutants to streams from valley fills (pollutants to streams from valley fills (CWA Section 402CWA Section 402) and the valley fill itself where ) and the valley fill itself where the rock and dirt is placed in streams and the rock and dirt is placed in streams and wetlands (wetlands (CWA Section 404CWA Section 404). ).

Coal mining operations are also regulated under Coal mining operations are also regulated under the the Surface Mining Control and Reclamation Act of 1977 (SSurface Mining Control and Reclamation Act of 1977 (SMCRA)MCRA). .

SMCRA addresses the necessary approvals for SMCRA addresses the necessary approvals for surface mining operations, as well as inspection surface mining operations, as well as inspection and enforcement of mine sites until reclamation and enforcement of mine sites until reclamation responsibilities are completed and all responsibilities are completed and all performance bonds are released. performance bonds are released. Only if it has Only if it has been shown that the proposed mining activities been shown that the proposed mining activities will satisfy general performance standards will satisfy general performance standards applicable to all surface coal mining operations.applicable to all surface coal mining operations.

RESTORATIONRESTORATIONThe Facts in PhotosThe Facts in Photos

Surface MiningSurface MiningThe Facts in PhotosThe Facts in Photos

What you always see.

Active MTR and Contour Mining

Surface MiningSurface MiningThe Facts in PhotosThe Facts in Photos

The second phase is “revegetation”

Surface MiningSurface MiningThe Facts in PhotosThe Facts in Photos

Early Phase 3 reclamation – “reforestation”

Surface MiningSurface MiningThe Facts in PhotosThe Facts in Photos

Mid- to late- Phase 3 Restoration

Surface MiningSurface MiningThe Facts in PhotosThe Facts in Photos

Constructed water features enhance post-mining wildlife

Surface MiningSurface MiningThe Facts in PhotosThe Facts in Photos

Another shot of the naturalization of the land

Surface MiningSurface MiningThe Facts in PhotosThe Facts in Photos

Pre- and post-mining appearance of the land

Alternate Post-Mining Alternate Post-Mining Land UseLand Use

… and now, the rest of the … and now, the rest of the storystory

Alternate Post-Mining Land Alternate Post-Mining Land UseUse

SMCRA permits surface mined SMCRA permits surface mined lands to be left in various non-lands to be left in various non-original contour configurations if original contour configurations if an alternative use is part of the an alternative use is part of the planning (ie, recreation, industrial planning (ie, recreation, industrial development, education, etc.)development, education, etc.)

Alternate Post-Mining Land Alternate Post-Mining Land UseUse

MININGMINING creates level land, land that has the potential creates level land, land that has the potential for many for many other uses. other uses. Properly planned, Properly planned, mountaintop mining can truly be said to be mountaintop mining can truly be said to be “building a new West Virginia.”“building a new West Virginia.”

DEVELOPED SITESDEVELOPED SITES West Virginia: West Virginia:

Pete Dye golf course Pete Dye golf course Mount View High School built in 1980 Mount View High School built in 1980 New Hope Village - homes for 70 New Hope Village - homes for 70

families families Knights of Columbus Community Park Knights of Columbus Community Park

built in the 1980’s by Buffalo Coal Cobuilt in the 1980’s by Buffalo Coal Co Davis Cemetery Davis Cemetery Robert Byrd High School built in the Robert Byrd High School built in the

1970’s 1970’s Logan County Airport Logan County Airport Weirton housing development and Weirton housing development and

hospital hospital Anker Sports Complex Anker Sports Complex Twisted Gun Golf course Twisted Gun Golf course Hilltop hunting preserve Hilltop hunting preserve Hatfield-McCoy TrailHatfield-McCoy Trail

Alternate Post-Mining Land Alternate Post-Mining Land UseUse

The Rest of the Story

Former surface mines can provide the flat land so essential to industrial and community development

Alternate Post-Mining Land Alternate Post-Mining Land UseUse

The Rest of the Story

Logan Airport is built on former surface mine lands and provides access to the area.

Alternate Post-Mining Land Alternate Post-Mining Land UseUse

The Rest of the StoryPost-mined land can also be used for commercial agriculture, such as this vineyard and commercial nursery

Alternate Post-Mining Land Alternate Post-Mining Land UseUse

The Rest of the StoryThe FBI Center in Fairmont is built on a former surface mine site. It provides jobs for hundreds and served as a development springboard for the area

Alternate Post-Mining Land Alternate Post-Mining Land UseUse

The Rest of the StoryThe Twisted Gun Golf Course near Logan is an 18-hole gem that provide British-style play. It is on a former mountaintop removal site.

Alternate Post-Mining Land Alternate Post-Mining Land UseUse

The Rest of the StoryA shopping mall in Bridgeport shows the wide range of development made possible across the state by the cooperation of mining and local planners.

Alternate Post-Mining Land Alternate Post-Mining Land UseUse

The Rest of the StoryFormer mine lands provide sites for everything from hospitals to industrial plants, golf courses to schools and anything in between.