Post on 18-Jan-2023
In addition to the annual U.S. longwall census, which pro-
vides technical details on some of America’s most productive
underground mines, Coal Age also offers an eye-opening
report on the decaying infrastructure along the Ohio River.
The Ohio River is a major coal artery and a major blockage
could give the grid a stroke.
DEPARTMENTS
4 Editorial
6 Coal in the News
7 World News
12 People
14 Dateline Washington
16 Calendar
46 Operating Ideas
48 Suppliers News
50 Product News
53 Classified
56 Legally Speaking
F E B R U A R Y 2 0 1 2 V O L . 1 1 7 N O . 2
FEATURE ARTICLES
20 Alabama Coal Transportation—A System in Change
22 Longwall Population Grows Amid Further M&A Activity
Two new installations and a new supplier, Caterpillar,
highlight the changing landscape of longwall mining
29 Tracks & Treads: Dozers and Loaders Dig into Production
Support Roles
Mining requires massive machines, capable of continuous
operation in tough conditions. The newest loader and dozer
models offer performance levels designed to meet the challenge.
36 LOCKED Out: Aging Locks and Dams Jeopardize Inland
Waterways
Is a catastrophic cascading systems failure about to occur
along the Ohio River?
42 FLSmidth Ups the Ante for Ludowici
46 Brazing of Carbide Mining Tools
COAL IN THE NEWS
6 Foresight Energy plans to launch IPO
6 Sierra Club uses gas money to fight coal
7 Signal Peak lifts force majeure
8 Patriot reduces met output, settles on selenium
10 Chicago Clean Energy remains in limbo
14 CONSOL Energy invests in coal projects
16 Kinder Morgan, Arch Coal to further expand
coal terminal network
18 Pier 6 handles largest coal loading in its 50-year history
18 Judge finds Cordero Rojo discriminated against employee
WORLD NEWS
7 Mechel completes Elga Railway
Palmer’s First China to sue QR National
8 Buma obtains contract extension
New South Wales coal production expected to increase
10 Vale ships coal from Mozambique to India
Australian coal mine forced to pay for emissions
in landmark case
THIS ISSUE
February 2012 www.coalage.com 1
INLAND WATERWAYS/36
NEWS/4
SCREENING MACHINES UPDATE/42
SUPPORT EQUIPMENT/29
In a questionable effort to save money and create greater effi-
ciency, U.S. Secretary of the Interior Ken Salazar has proposed
merging the Office of Surface Mining Reclamation and
Enforcement (OSM) into the Bureau of Land Management
(BLM). OSM is charged with balancing the nation’s need for
continued domestic coal production with protecting the envi-
ronment. It was created in 1977 when Congress enacted the
Surface Mining Control and Reclamation Act (SMCRA). The
Bureau of Land Management manages vast stretches of federal
land (245 million acres). With respect to coal, the bureau coordi-
nates the leasing process and collects royalties.
The idea immediately met with considerable criticism. House Natural Resources
Committee Chairman Doc Hastings (R-WA) said during late October 2011 he had seri-
ous concerns about this Secretarial Order to suddenly and dramatically alter the man-
agement of coal mining and the multiple-use of Western BLM lands. “The Obama
administration has not made secret its desire to put an end to America’s coal mining
industry and this appears to be one more step in that direction,” Hastings said.
Not letting common sense get in the way of a bad idea, Secretary Salazar forged
ahead. The Department of Interior (DoI) had originally set December 1, 2011, as the
date for the merger by Executive Order, but in the face of strong opposition, it delayed
the decision and decided it would hold a series of meetings around the country to
solicit input from “stakeholders” on the proposed consolidation. He directed OSM
and BLM officials as well as other Interior officials to report by February 15, 2012.
While the final decision and the results of those discussions have not yet been
made public, the reports from the meetings reinforce the fact that most people think
it’s a dumb idea. It is strongly opposed by almost everyone outside the DoI. One report
from the Denver meeting said the explanation by officials drew jeers from a crowd of
about two dozen people. A natural resources lawyer cleverly joked the Obama admin-
istration had finally put forward an idea with which both miners and environmental
activists could agree.
The National Mining Association (NMA) attended the hearing in Washington and
also noted how rarely a proposal has been so comprehensively opposed by industry
and environmental stakeholders. “It’s very unusual for every witness to come down
against a proposal like this and still have it more forward,” said NMA’s Associate
General Counsel Bradford Frisby, who testified against the proposal.
Many have questioned the legality of the proposed merger, given the clear direc-
tion the Congress gave under SMCRA. The Act says that OSM’s authorities over coal
mining are not to be delegated to other agencies or subordinated under other authori-
ties. In May 2011, Coal Age reported how mission creep at OSM was usurping the
authority of state agencies to regulate coal mining and further delaying permits. OSM
abandoned the 2008 Stream Buffer Zone rule. In 2010, OSM issued a memo asserting
the agency’s authority to interfere with state permitting decisions, contradicting
SMCRA, which grants states with an approved state program exclusive jurisdiction
over surface coal operations within its borders. Considering the direction the agency
has taken recently, one has to wonder was the merger simply a bad idea that should be
withdrawn or is it part of a plan to further complicate the permitting process?
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BY STEVE FISCOR
/ EDITOR-IN-CHIEF
Proposed OSM-BLM Merger Offers
Miners and Activists Common Ground
e d i to r ’s n ot e
4 www.coalage.com
Steve Fiscor, Coal Age Editor-In-Chief
sfiscor@mining-media.com
Rumored as a possibility this year, Foresight Energy Partners,
owned by Chris Cline, filed February 2 with the U.S. Securities
and Exchange Commission for an initial public offering (IPO)
with a maximum offering price of $100 million. In the filing, the
company described itself as a low-cost producer of quality ther-
mal coal with expertise in developing highly productive under-
ground mines in the high-sulfur Illinois Basin.
Over the past decade, Foresight said it invested more than $1.5
billion in four mining complexes—Williamson, Sugar Camp,
Hillsboro and Macoupin—in Illinois with long reserve lives and
related transportation infrastructure that should “provide us with
significant sustainable free cash flow.”
Foresight said its first mining complex—Williamson, or Pond
Creek, near Johnston City—was the most productive under-
ground mine in the United States in the fourth quarter of 2011 on
a clean tons-per-produced-man-hour basis. “Our leading pro-
ductivity translates into low costs, and we believe we are the low-
est cost underground coal producer in the United States at $19.41
per ton in 2010,” the company said. Figures for 2011 were not
included.
According to the filing, the four complexes are designed to
support up to eight longwall mining systems, giving them a com-
bined production capacity of 65 million tons a year. The company
currently operates one longwall at Williamson and plans to start
new longwalls at both Sugar Camp and Hillsboro early this year,
“having already invested most of the expansion capital necessary
to develop these mines.”
Foresight said Sugar Camp and Hillsboro have the potential
for four and three longwalls, respectively. Sugar Camp, located
near Akin in Franklin County, also boasts the most prolific pro-
duction potential—up to 28 million tons annually, with Hillsboro
barely trailing at 27 million tons a year. Williamson’s output could
hit 7 million tons a year while Macoupin trails at 3 million tons
annually.
Sugar Camp also leads in total reserves with an estimated 1.32
billion tons. Next is Hillsboro with 879 million tons and
Williamson with 396 million tons. Macoupin has the least, about
360 million tons.
Foresight said it sells a significant portion of its coal under
long-term agreements with terms of one year or longer. The com-
pany markets and sells coal “to a diverse customer base including
electric utility and industrial companies in the eastern United
States, as well as the seaborne thermal coal market. In 2012, 2013
and 2014, the company said it has secured coal sales commit-
ments of approximately 12.8 million tons, 14 million tons and
11.7 million tons, respectively.
Cline Group spokeswoman Jennifer Kroen in St. Louis
declined comment on the IPO, adding other company officials
also did not want to discuss it at this time.
Raymond James analyst James Rollyson referred to Foresight
as “the CONSOL of the Illinois Basin.” Foresight’s IPO, he said,
has a good chance to be successful. “It has been a little bit of a
challenging public market. But they’re in the one basin that has
seen pricing hold up the best,” Rollyson said.
n e w s
Foresight Energy Plans to Launch IPO
6 www.coalage.com February 2012
B R E A K I N G N E W S±Sierra Club Uses Gas Money to Fight Coal
A blogger for TIME recently broke the news that the Sierra Club has accept-
ed more than $25 million in donations from the gas industry (mostly from
Chesapeake Energy) to help fund its Beyond Coal campaign. The envi-
ronmental non-governmental organization (NGO) accepted the money
over the course of three years (2007-2010), but refused an addition
$50 million. The article also sheds light on the relationship between for-
mer Sierra Club Executive Director Carl Pope and Chesapeake Energy CEO
Aubrey McLendon.
The revelation is unsettling, but the coal industry was not surprised. It has
been dealing with the NGO and fierce competition for many years. “Chesapeake
surreptitiously financed opposition to a competing fuel that it couldn’t beat in
the marketplace, and the club took dictation and money from the nation’s largest
hydraulic fracker,” said Luke Popovich, vice president of communications, National
Mining Association (NMA). An NMA report last year estimated the Sierra Club, which
takes pride in the fact it has halted the construction of 160 new coal-based pow-
er plants, has destroyed 116,872 permanent jobs and an additional 1.12 million
construction jobs throughout the country by blocking power plant construction.
Foresight Energy’s Sugar Camp mine (shown here) could eventually operate fourlongwalls.
Signal Peak Lifts Force MajeureAfter a somewhat rocky year in 2011 that featured brief idlings
resulting from roof falls and high carbon monoxide (CO) levels,
Montana’s Signal Peak longwall mine ushered in 2012 on a more
positive note. On January 4, Signal Peak Energy, which operates
the former Bull Mountain mine near Roundup in Musselshell
County, lifted a month-long force majeure declared after the
Mine Safety and Health Administration (MSHA) shut the mine in
early December because of higher-than-allowed CO concentra-
tions in a mined-out section of the mine. Company spokesman
Mike Dawson confirmed the force majeure no longer was in effect
and the mine was back in full production.
Despite last year’s interruptions, Signal Peak made progress in
continuing to ramp up production of subbituminous coal.
According to MSHA, the mine turned out 5.13 million tons of coal
in 2011, up from 4.38 million tons in 2010. Eventually, Signal
Peak’s annual output is expected to reach 12.5 million tons.
Alliance Sustains Its Positive MomentumAlliance Resource Partners rang up an 11th straight year of record
earnings in 2011 and Joseph Craft III, the company’s longtime
president and CEO, sees more of the same for 2012. The Tulsa,
Okla.-based master limited partnership posted a pretty good
fourth quarter, too. Full-year earnings were $389.4 million, up
21.3% over 2010. Net income totaled $91.7 million in the final
three months of last year, beating earnings of $87.3 million in the
year-ago quarter.
In 2011, Alliance, which operates in three geographic
regions—Central Appalachia, Northern Appalachia and the
Illinois Basin—produced 30.8 million tons and sold 31.9 million
tons. Craft said he expects those numbers to grow this year to 34-
35 million tons and 34.75-35.85 million tons, respectively, in 2012.
Alliance sold 8.2 million tons of coal in the fourth quarter, a gain
of 5.4% over the year-ago total. The increase was attributed in
part to the resumption of full production at the Pattiki under-
ground mine near Carmi in White County, Ill., and higher coal
sales at the Gibson North deep mine near Princeton in Gibson
County, Ind. Pattiki’s output in 2010 was hampered by the failure
of a conveyor-belt system that took several months to replace.
In Northern Appalachia, a longwall move at the Mountain
View underground mine in Tucker County, W.Va., during the
n e w s c o n t i n u e d
TOP 10 COAL-PRODUCING STATES
Mechel Completes Elga Railway
Mechel OAO has finished laying tracks from the Ulak station to the
massive Elga coking coal deposit which is being developed by
Mechel Mining’s Yakutugol subsidiary. The last section of track of
the 321-km railway link was laid in December 2011. The 40-billion-
ruble ($1.25 billion) construction project has opened traffic along
the entire route from Baikal-Amur Mainline’s Ulak station to the
Elga deposit.
“The railway’s completion is one of the most complicated and
important stages in implementing the unique project of developing
the Elga coal deposit, which is one of the world’s largest coking
coalfields. This project’s scale is unique for the mining industry.
Completion of railway construction together with the launch of
mining at the deposit in such a short time, considering the global
financial crisis in 2008-2009, once again proves Mechel is one of
the few companies with the potential to handle a project of such
magnitude,” said Igor Zyuzin, chairman, Mechel.
Mechel began constructing the Elga railway link in February
2008. The railway was built in difficult climatic and geological
conditions. A total of 76 bridges were built in the course of the rail-
way’s construction. Mining at the Elga open-pit began in August
2011, producing some 200,000 metric tons by the year’s end.
China Continues to Increase Coal Production Capacity
China added more than 95 million metric tons (mt) in coal output
capacities in 2011 with total output in the country’s 14 major col-
lieries reaching 3.2 billion mt, according to Liu Tienan, deputy
director of National Development and Reform Commission and
director of National Energy Administration. Speaking to China
Knowledge, Liu also noted China added 90 gigawatts (GW) in
installed power capacity last year, bringing the country total
capacity to 1,050 GW. In 2012, China will add 200 million mt in
coal output capacity and 70 GW in installed power capacity.
Palmer’s China First to Sue QR National
China First Pty Ltd. has launched an $8 billion lawsuit against QR
National Ltd. and QR Ltd. for an alleged breach of confidentiality
and misleading conduct over a proposed rail link between the
Galilee Basin coal region and the Central Queensland coast. The
Queensland Government recently granted significant project sta-
(in Thousand Short Tons)
Week Ending (1/28/12)
YTD ‘12 YTD ‘11 % Change
Wyoming 35,172 33,829 4.0
West Virginia 10,343 11,061 -6.5
Kentucky 8,256 8,670 -4.8
Pennsylvania 4,483 4,813 -6.9
Texas 3,158 3,199 -1.3
Indiana 2,770 2,981 -7.1
Illinois 2,720 2,770 -1.8
Montana 2,550 2,531 0.8
Colorado 2,537 1,855 36.8
North Dakota 2,238 2,317 -3.4
U.S. Total 83,438 84,722 -1.5
Continued on pg 8...
February 2012 www.coalage.com 7
W O R L D N E W S ¸ ˛ ˝ ¸
A new 321-km railway will access a massive Elga met coal deposit.
fourth quarter resulted in lower coal sales volumes compared to
the corresponding 2010 quarter.
Alliance’s new Tunnel Ridge longwall mine should drive this
year’s increase, Craft said. With extensive reserves in Washington
County, Pa., and Ohio County, W.Va., Tunnel Ridge is in the
process of ramping up production of high-sulfur steam coal.
When in peak production, it should turn out about 6 million tons
annually.
Construction continues, meanwhile, on Alliance’s new Gibson
South underground mine near also in Gibson County. Operated
by a subsidiary, Gibson County Coal, Gibson South is targeted to
produce about 3.1 million tons of high-sulfur steam coal a year,
probably starting in 2014. The mine will be a continuous miner
operation.
Rosa Mine Reaches Full Commercial ProductionNovaDx Ventures Corp., during December 2011, moved to full
commercial production at the Rosa mine.
“We are pleased the Rosa mine and wash plant are beginning
to operate at our commercial production target of 120,000 tons
per year of clean coal,” said Neil MacDonald, CEO, NovaDx. “As
we expected, our Rosa wash plant is producing a high-quality
product, and we have recently negotiated higher contract prices
for our coal in 2012.”
Patriot Reduces Met Output, Settles on SeleniumPatriot Coal plans to implement proactive measures at its Southern
West Virginia operations to curtail higher cost production in
response to weaker market demand for metallurgical coal. The
company will idle one contractor-operated mine and two sub-
sidiary-operated production units in the Rocklick complex. Two
contractor-operated mines in the Wells complex will be idled.
“Metallurgical coal demand has trended steadily downward in
recent weeks, most notably in the export market,” said Patriot
President and CEO Richard M. Whiting. “These production cuts,
in conjunction with other cost-reduction measures being imple-
mented concurrently, are aimed at lowering our mining costs,
aligning production with identified sales, and preserving high-
quality reserves for a stronger market. During 2011 we increased
metallurgical coal production to match the needs of the market.
The modular nature of our Met Build-Out program allows flexibil-
ity to dial production up or down in line with market circum-
stances.”
In related news, Patriot Coal has entered into a consent decree
with the Ohio Valley Environmental Coalition, the West Virginia
Highlands Conservancy and the Sierra Club to resolve claims under
the Clean Water Act relating to its mining activities in West Virginia.
n e w s c o n t i n u e d
tus for QR National’s proposed Central Queensland Integrated Rail
Project, which would link multiple mines in the Galilee and Bowen
basins to coastal ports.
China First, a Clive Palmer-owned exploration and coal mine
development company, gave formal notice that it intends to file a
damages claim in the Queensland Supreme Court against QR
National. The company alleges QR National, which is more than
34% owned by the Queensland Government, breached a confiden-
tiality agreement with China First Pty Ltd.
China First’s proposed $8 billion coal mine and infrastructure
project in the untapped Galilee Basin had also been granted signif-
icant project status by the Queensland Coordinator-General. “Our
China First project will create 6,000 jobs during construction and
will generate an estimated $4.6 billion per year in export revenues
once operational,” China First’s spokeswoman Baljeet Singh said.
“Now we have QR National in conjunction with the Queensland
Government claiming it can build the rail link and create hundreds
of jobs in what looks like a bid to score some political mileage in
the government’s bid for re-election. This is an outrage as we had
already been in commercial discussions and exchanges with QR
National for cooperation in the joint development of rail and port
facilities supporting the Galilee Basin.
“We have advised the Coordinator-General of the improper use
for which the subject significant project declaration regarding QR
National has been made and reserve our rights against him and the
Queensland Government,” Singh said, “We intend to seek damages
of $8 billion and will also seek injunctions against QR National and
other relevant parties seeking to restrain them from dealing with
QR National in respect of the Galilee Basin and its corridor and
associated port facilities.”
The China First Coal Project includes a large scale thermal coal
mine near Alpha, west of Emerald. The proposed mine will be linked
to the new T4-T9 coal terminal at Abbot Point near Bowen by a new
471-km, heavy-haul railway line.
Buma Obtains Contract Extension
Indonesia’s second-largest coal mining contractor PT Bukit
Makmur Mandiri Utama (Buma) signed an extension on a mining-
service contract with Bayan Resources worth $820 million.
According to The Jakarta Post, the term of the contract was extend-
ed to December 31, 2017. During the period, Buma will move 261
million bank cubic meters of overburden and transport 29 million
metric tons of coal. Buma is the second-largest coal-mining con-
tractor in Indonesia, providing mining services under long-term
operating agreements with some of Indonesia’s largest coal pro-
ducers, such as PT Berau Coal and PT Adaro Indonesia, as well as
PT Kideco Jaya Agung and subsidiaries of PT Bayan Resources.
New South Wales Coal Production Expected to Increase
The New South Wales Mineral Council is expecting coal production
across the state to increase by as much as a third this year.
According to ABC News, an additional 50 million metric tons of coal
is expected to be mined in 2012 if extensions and new develop-
ments are given the go-ahead by planning officials.
Continued from pg 7...
8 www.coalage.com February 2012
Continued on pg 10...
NovaDx Venture’s Rosa mine moved to full commercial production in December.The company is targeting 120,000 tpy of clean coal.
As a result of the negotiated settlement, the company has
agreed to a comprehensive plan which provides for the necessary
time and flexibility in the development, selection and implemen-
tation of emerging technologies to meet compliance deadlines in
the future. To resolve claims related to the consent decree, the
company will pay $7.5 million in civil penalties, to be allocated
between the federal government and the West Virginia Land Trust
for land preservation projects within the Kanawha River and
Guyandotte River watersheds.
The consent decree, which has been filed with the U.S. District
Court for the Southern District of West Virginia, is subject to a
public comment period and must be approved by the court before
it becomes effective.
Armstrong Will Go PublicIllinois Basin coal producer Armstrong Energy was moving for-
ward in early 2012 with an initial public offering (IPO) it hoped to
close before the end of the first quarter. Armstrong, the parent
company of Armstrong Coal, filed for the IPO with the U.S.
Securities and Exchange Commission last October. The company
wants to raise about $91 million by going public in the United
States.
Armstrong is owned by Yorktown Partners L.P., a private equi-
ty firm. It is following in the footsteps of two other small- to mid-
sized coal producers—Oxford Resource Partners and Rhino
Resource Partners—that completed successful IPOs in 2010.
Martin Wilson, Armstrong Energy president, is targeting the end
of March for the IPO.
Armstrong Coal is strictly a steam coal producer that operates
exclusively, at least for now, in the western Kentucky counties of
Muhlenberg, Ohio, Union and Webster. It operates three under-
ground and four surface mines and controls an estimated 319
million tons of proven and probable high-sulfur coal reserves.
Thanks to two new mines, Kronos and Lewis, Armstrong antic-
ipates its production will reach 9 million tons this year, up from
7.2 million tons in 2010. Tonnage amounts for 2011 are not yet
available.
Chicago Clean Energy Remains in LimboA $3 billion coal gasification project proposed for Chicago’s South
Side was in limbo in early 2012 following a split decision by the
Illinois Commerce Commission. But the developer, Chicago
Clean Energy, its parent company, New York-based Leucadia
National Corp. and supporters vowed to fight on in hopes of
reversing the ICC’s order. By a 3-2 vote on January 10, the com-
mission voted to ask two of the state’s large utility companies—
Ameren Corp. and Nicor Inc.—to purchase only 84% of the
synthetic natural gas that would be produced by the plant.
Chicago Clean Energy wants the companies to buy all of the syn-
gas and cover all maintenance expenses. Chicago Clean Energy
spokeswoman Eileen Boyce said the ruling would be appealed,
and the company was hopeful it eventually would prevail.
Regulator’s Refuse Request to Recover Sporn’s Retirement CostsAmerican Electric Power (AEP) was weighing its options in late
January after Ohio regulators turned down its request to recover
about $56 million in costs related to the planned retirement of a
n e w s c o n t i n u e d
In the Hunter Valley, an extension of the Bengalla mine is
almost complete, while Wambo is applying to extract a further three
longwall panels at its Warkworth site. But Acting CEO of the
Minerals Council, Sue Ern Tan, said there is still a long road ahead.
“Obviously we have a very rigorous assessment process here in New
South Wales and the projects have to go through that process for
being approved and then come online.”
The Minerals Council is concerned thousands of Hunter Valley
mining jobs could still be at risk from the carbon tax, despite
increased coal production. The Federal Government rejects claims
that there will be mass job losses under the carbon reduction mea-
sures. But Ern Tan said mines are still anxious about the future.
“18 coal mines will face premature closure under the tax and those
mines employ 3,000 people in New South Wales and 1,100 in
Queensland. Those are the ones that are at risk in the first three
years of the tax. In Australia, we actually produce six per cent of the
world’s coal and yet we make such an important contribution local-
ly,” said Ern Tan.
Vale Ships Coal from Mozambique to India
According to Agencia de Informacao de Mocambique, Vale made its
first transshipment of 37,600 metric tons (mt) of coal off the coast
of central Mozambique. The exports were destined for India. Since
September 2011, Vale has exported 174,000 mt of coal from
Mozambique.
China National Coal Posts Big Profits in 2011
China National Coal Group, parent company of the country’s second
largest coal miner, China Coal Energy Co. Ltd., reaped a gross profit of
CNY16.38 billion ($2.6 billion) last year up by 35.2% year-on-year,
China Knowledge reported. China National Coal produced 164 million
metric tons (mt) of raw coal last year up by 11.4% year-on-year. In 2012,
the group aims to produce 170 million mt of raw coal. The group current-
ly has 43.5 billion mt of coal resources under control. Coal production
capacity operation and under construction totals 258 million mt.
Australian Coal Mine Forced to Pay for Emissions in Landmark Case
In a landmark decision, the Land and Environment Court has held
that one of New South Wales coal mines should have to pay to off-
set some of its greenhouse gas emissions as a condition of opera-
tion. According to the Sydney Morning Herald, the provisional
decision was a win for the Hunter Environment Lobby represented
by the Environmental Defender Office which had appealed to the
court over the Minister for Planning decision to both consolidate
historical consent authorities of the Ulan mine, near Mudgee and
double its operational life and capacity to 2031.
The Xstrata and Mitsubishi-owned Ulan coal mines, backed by
the minister and the Department of Planning, had argued that off-
setting the mine’s scope one emissions was discriminatory, given
that there were at least 50 coal mines operating in NSW. The gov-
ernment told the court the carbon tax regime was a preferable poli-
cy. The parties settle the details and set a timetable by February 13
before final orders are made.
Continued from pg 8...
10 www.coalage.com February 2012
˛
n e w s c o n t i n u e d
450-megawatt coal unit at the Philip Sporn power plant near New
Haven, W.Va.
With the utlitiy planning to shutter about 6,000 megawatts of
coal-fired generating capacity, including more than 2,000
megawatts in Ohio, over the next several years because of new
U.S. Environmental Protection Agency rules, the decision by the
Public Utilities Commission of Ohio could have broader ramifica-
tions. Other Ohio utility companies, including FirstEnergy Corp.,
have announced plans to close older coal plants largely because
of the EPA’s Mercury and Air Toxics Rule and Cross-State Air
Pollution Rule. FirstEnergy said in late January it would retire six
vintage coal plants, including four in Ohio and one each in
Pennsylvania and Maryland.
AEP’s cost recovery application drew opposition from a wide
range of stakeholders, ranging from the Ohio Office of
Consumers’ Counsel to FirstEnergy Solutions, a FirstEnergy sub-
sidiary, to the commission staff.
Staff argued that AEP’s Ohio Power subsidiary, which operates
Sporn, already has been compensated for the costs it sought to
recover from customers, saying Sporn 5 should have been fully
depreciated in 2010. The unit was built in 1960.
AEP disagreed. The company maintained that depreciation
rates established more than 15 years ago should not be used to
override its accounting books. AEP claimed the closure costs
reflected in depreciation rates substantially underestimated the
actual closure costs that apply to Sporn 5, “in light of the dramatic
intervening increase in environmental regulations that apply to
coal-burning power plants.”
But AEP’s arguments failed to persuade the regulators. Citing
Ohio law, the commission said it lacked the legal authority to
approve the company’s request. “Just as the construction and
maintenance of an electric generating facility are fundamental to
the generation component of electric service, we find that so too
is the closure of an electric generating facility,” the PUCO said.
12 www.coalage.com February 2012
P E O P L E I N T H E N E W S
Western Fuels Association has appointed Brad Hanson vice president of opera-
tions. He will be responsible for the Dry Fork mine (Gillette, Wyo.), the New Horizon
mine (Nucla, Colo.) and the Colowyo mine (Meeker, Colo). John Barnes has been
appointed manager at the Dry Fork mine and Chris McCourt has been appointed
manager at the Colowyo mine. Mark Pettibone has been appointed vice president
of marketing and communications.
Arch Coal, Inc. recently announced the Arch Coal Sales’ London team: Alexander
Newman has been appointed vice president of international thermal coal sales-
Europe and Wyn Davis has been appointed vice president of international metal-
lurgical coal sales-Europe. Arch’s new European office will open March 1 at Heron
Tower in London.
Peabody Energy has appointed Bradley E. Phillips senior vice president of tran-
sition services in Australia. He will continue to lead the organizational integra-
tion of Macarthur Coal and Peabody Energy Australia.
The United Company announced Jack A. Hudson has been
promoted to CFO.
Safety Solutions International, Inc. has appointed Dr.
Lori Guasta director of organizational behavior and emerg-
ing markets.
Tassco Steel has appointed Grady Covin industrial sales
engineer.
EmberClear has appointed Keith Calder to the board of
directors.
ECSI, LLC has appointed Fred Eastridge
director of civil engineering services;
and Filiberto Gomez, PhD and Sabry
Hanna, PhD have been appointed senior
geologists. Andrew Beat has joined the
Pikeville office as senior
project manager and
Russ Adams has joined
the Owensboro office as
project manager.
Doug Hardman announced he is retiring as CEO of J.H. Fletcher, but has been
appointed vice chairman of business development. The company announced
Greg Hinshaw has been appointed CEO and Rod Duncan has been appointed
president. Eddie Alford has been appointed head of the customer service group.
Mine Radio Systems has appointed Steven Zakaib executive
vice president of operations.
Martin Engineering has announced the
retirement of Chief Technical Director
Todd Swinderman.
Kaydon Bearings Division has appointed Michael
Stofferahn vice president of North American sales.
BJM Pumps has appointed Kelly Leth western regional
sales manager.
Blastcrete Equipment Co. has appointed Maury Bagwell
general manager.
Stonie Barker Jr., former chairman and CEO of Island Creek Coal Co., recently
died. Barker received his degree in mining engineering from Virginia Tech in 1951
and was employed by Island Creek Coal until his retirement in 1984. Barker was
called to Washington to represent the coal operators after months of bitter negoti-
ations during the coal strike of 1978. He was named the 1985 “Coal Man of the
Year” by the National Coal Association, a predecessor of NMA, presiding as chair-
man of the group from 1982 to 1984, and serving as chairman of the board of the
Bituminous Coal Operators’ Association from 1978 to 1980.
m
Andrew Beat
Maury Bagwell
Grady Covin
Fred Eastbridge
Jack A. Hudson
Russ AdamsSabry Hanna
Steven Zakaib
Todd Swinderman
Filiberto Gomez
AEP spokesman Jeff Rennie said on January 30 that a final
decision had not been made on whether to appeal the commis-
sion ruling.
CONSOL Energy Invests in Coal ProjectsComing off a strong fourth quarter that resulted in an 87% boost in
earnings, CONSOL Energy in late January trimmed its capital budget
for 2012 by $200 million to an estimated $1.5 billion, allocated almost
evenly between coal and natural gas, with much of the planned coal
spending earmarked for continued development of the new BMX
mine, an extension of its Bailey mine, in Greene County, Pa.
In the final three months of last year, CONSOL produced 15.3
million tons of coal and is forecasting output of 15.5-15.9 million
tons in the first quarter of 2012. The Pittsburgh-based company
blamed declining natural gas prices for its decision to pare back
spending this year from a prior projection of $1.7 billion. Even
with the cutback, however, the 2012 capex would surpass last
year’s total of $1.4 billion.
CONSOL continues to see burgeoning export opportunities into
Asia, particularly for metallurgical-quality coal. J. Brett Harvey, CON-
SOL chairman and CEO, told analysts during a January 26 fourth
quarter earnings call his company is “becoming a very strong swing
n e w s c o n t i n u e d
B Y L U K E P O P O V I C H
What Were They Thinkin’?
D A T E L I N E W A S H I N G T O N
You may not find an American Idol in the televised
GOP debates. But they, together with the onslaught of
primaries and caucuses, are useful not only for seeing
where the presidential candidates stand on energy
and environmental issues, but also for inklings into
public opinion on these issues, too.
And so far what we’ve learned is that energy and
environmental issues haven’t stirred much interest among the candidates
or GOP primary voters. Obviously the economy trumps all other concerns, let
alone questions about an endangered fish. Besides, Republican candidates
are appealing to their base, not to independents much less liberal
Democrats, who may feel more strongly about Lake Erie fish.
That’s why to learn more about voter attitudes, nothing beats opinion
polls that drill down for responses to specific issues. Several recent polls
offered some interesting and maybe surprising results regarding how
Americans view jobs, energy and the environment. None were on coal min-
ing per se, but their findings may interest you.
Several days after President Obama touted increased oil and gas pro-
duction in his State of the Union speech, 69% of respondents in a survey of
more than 1,000 adult Americans said they agreed with him. Only a fifth
did not. A clear majority of both Democrats and independents joined
Republicans in supporting greater energy production on public lands.
Would Americans want to “significantly expand oil and gas produc-
tion” on federal lands and coastlines if this were proposed by an oil
company executive? Maybe not; the messenger can sometimes be the
message. And for all of his problems, the president remains fairly like-
able. Yet in the same poll, 64% favored construction of the Keystone XL
pipeline—to strengthen U.S. energy independence from Mideast oil, they
said—despite the perceived environmental risks and the absence of
presidential support. The president has not approved this project, even
though relatively few (22%) oppose it. What’s more, a greater percent-
age of respondents (42%) believe growth is more likely to be restored by
cutting regulation, taxes and spending than with the palliatives the
president offered (35%).
Who are these Americans who prize jobs and energy security over
environmental risks? Surprisingly, they include a majority of Democrats,
a majority of urban dwellers and even a majority of young people—the
composite profile of likely environmentalists. Amazing how 25% youth
unemployment and a four-year economic slump concentrates the mind.
Another poll last month, this one in six western states, offered still more
surprises, though less pleasing ones. This Colorado College survey, using
pollsters well-known to the NMA, found 65% identified themselves as “con-
servationists.” The term was not defined but is not meaningless, either, since
more than 60% of respondents in Wyoming, Montana, Arizona, Utah, Colorado
and New Mexico favored the EPA’s tougher standards to control power plant
emissions, and clear majorities said the loss of fish and wildlife habitat were
serious to very serious concerns. A very high 85% believe federal parks and
wilderness areas are essential parts of their state’s economy. So while they
didn’t call themselves “environmentalists,” these “conservationists”—from
very resource-intensive states friendly to mining—were certainly not indiffer-
ent to the natural environment.
In fact, when asked what energy source they would like to see encour-
aged, their answer was—not coal. They didn’t mention coal any more than
the president did in his speech. Actually, solar power, followed by other
renewable fuels, was the big winner in these states. Except in the big coal
states of Montana and Wyoming—where wind power was the favorite, out-
ranking solar. Wyoming? Yup.
A majority in New Mexico and Montana even favored retaining or
strengthening their renewable energy standards for power plants.
Make of this what you will. As the NMA sees it, the results show a public
still concerned about jobs and the economy but not well informed about the
options for improving either one.
Popovich is a spokesperson for the National Mining Association, the
industry’s trade group based in Washington, D.C.
“Wyoming? Yup.
“
14 www.coalage.com February 2012
supplier to Asia.” CONSOL always has been a “very strong supplier to
the Atlantic markets,” he said. “The fastest growing commodity
worldwide is coal, so that gives us a very strong leg up. Being the low-
cost producer, we can distribute this cost at very high margins from
our well-capitalized position in the United States.”
As he looked ahead to the remainder of 2012, William J. Lyons,
CEO, principal accounting officer and executive vice president,
CONSOL, said coal demand expectations are somewhat murky.
Nevertheless, CONSOL is roughly about 90% contracted for the
year. “That 6 million tons that is unsold—about 40% of that is
tons that we will sell on a quarterly basis into Asia,” he said.
BMX is targeted to begin producing at the rate of 5 million
tons a year in the first quarter of 2014. Of the $205 million CON-
SOL has budgeted for mine upgrades this year, much of that is
expected to be spent on BMX. The BMX expansion project has a
total price tag of about $500 million.
Lyons said the good thing about BMX is that the mine “can be
whatever we want it to be to go to the highest market possible. It
can be 100% steam coal” if needed for the domestic market. Or,
“it could go to export as a great thermal coal, or it can be accepted
around the world as a high-vol crossover” coal.
Potential markets for BMX, in Northern Appalachia, include Asian
mills, European generators, Brazilian mills and domestic generators.
Kinder Morgan, Arch Coal to Further Expand Coal Terminal NetworkKinder Morgan Energy Partners announced plans to invest approxi-
mately $140 million to further expand its coal handling facilities along
the Gulf Coast. Concurrently, Arch Coal has signed a long-term
throughput agreement with KMP that will help support the expansion
of these export facilities. Also, Arch and KMP are in final discussions
to include, in the throughput agreement, port space for coal ship-
ments at KMP-owned facilities on the East Coast.
Upon completion of the proposed terminal upgrades and subject to
certain rail service agreements, Arch will ship coal at guaranteed mini-
mum volume levels through KMP-owned terminals. The expansion of
KMP’s export facilities along the Gulf Coast and East Coast will provide
incremental port capacity for Arch’s growing seaborne coal volumes.
“The demand for export coal continues to grow and we are
pleased to offer Arch and other customers options in various markets
through our multi-location terminal network,” said Jeff Armstrong,
president, Kinder Morgan Terminals. “We are also extending existing
long-term coal agreements with Arch at our upriver terminals [Cora,
Cahokia and Kellogg] in Illinois.”
“This strategic partnership with Kinder Morgan, a company with a
proven track record of running successful terminal operations, will
allow Arch to significantly increase our participation in the global coal
market,” said John W. Eaves, president and COO, Arch Coal. “This dedi-
cated capacity directly underpins our long-term strategy to grow Arch’s
coal exports by fourfold in the next decade, and is consistent with our
view that a global coal supply shortfall will persist over that time frame.”
Specific to the expansions on the Gulf Coast, KMP will install a new
shiploader and a railcar loop track to handle three 135-car unit trains at
its Deepwater terminal in Houston. Following completion of the pro-
ject, the Deepwater terminal will have throughput capacity of 10 mil-
lion tons of coal per year. The projects are expected to be completed
during the second quarter of 2014.
KMP’s Deepwater and East Coast facilities offer dual rail access
from Class 1 railroads, while International Marine Terminal (IMT) pro-
vides barge access to the inland waterway system. The Deepwater ter-
minal will be capable of handling panamax- and post panamax-size
vessels, while one East Coast terminal and IMT will be capable of han-
dling cape-size vessels. These multiple transportation options will
allow Arch to unlock incremental value for its domestic coal produc-
tion and coal reserves over the next 10 years.
Judge Finds Cordero Rojo Discriminated Against EmployeeAn administrative law judge (ALJ) with the Federal Mine Safety and
Health Review Commission has ordered Cordero Mining of Gillette,
Wyo., to pay a $40,000 civil penalty as well as reinstate an employee to
her former position, provide compensation for lost wages and remove
personnel files referencing the unlawful discharge.
n e w s c o n t i n u e d
C A L E N D A R O F E V E N T S
March 19-22, 2012 114th National Western Mining Conference & Exhibition—will be
held at the Westin Tabor Center in Denver, Colo. Contact: Colorado Mining Association
(Tel: 303-575-9199; E-mail: jcourtney@coloradomining.org; Web: www.colorado-
mining.org).
April 16-21, 2012 7th Annual Coal Fair—will be held in at the Washington County
Fairgrounds in Abingdon, Va. Contact: CEDAR of Virginia (Web: www.cedarva.com).
May 1-3, 2012 Coal Prep 2012—will be held at the Lexington Convention Center in
Lexington, Ky. Contact: Penton Business Media (Tel: 800-927-5007; Fax: 508-759-
4552; E-mail: registration@penton.com; Web: www.coalprepshow.com).
May 15-17, 2012 14th Annual Electric Power—will be held at the Baltimore Convention
Center in Baltimore, Md. Contact: The TradeFair Group (Tel: 832-242-1969; E-mail:
electricpower@tradefairgroup.com; Web: www.electricpowerexpo.com).
May 30-31, 2012 AIMS 2012 7th International Symposium: Rockbolting and Rock
Mechanics in Mining—will be held in Aachen, Germany. Contact: Mirjam Rosenkranz,
RWTH Aachen University-Institute of Mining Engineering (Tel: 49-(0)241-80 95673;
Fax: 49-(0)241-80 92272; E-mail: rosenkranz@bbk1.rwth-aachen.de; Web:
www.aims.rwth-aachen.de).
May 30-June 1, 2012 Western Mining Electrical Association Bi-annual Meeting—will
be held at the Harrah’s in Reno, Nev. Contact: WMEA (Web: www.wmea.net).
July 24-26, 2012 31st International Conference on Ground Control in Mining—will be
held at the Lakeview Golf & Spa Resort in Morgantown, W.Va. Contact: Karen Centofanti
(Tel: 304-293-3901; E-mail: Karen.Centofanti@mail.wvu.edu) or Karla Vaughan (Tel:
304-293-3886; E-mail: karla.vaughan@mail.wvu.edu); Web: icgcm.conferencea-
cademy.com.
August 22-23, 2012 2nd Underground Coal Gasification Network Workshop—will be
held in Banff, Alberta, Canada. Contact: Debo Adams, IEA Clean Coal Center (Tel: 44
(0)20 8246 5268; E-mail: debo.adams@iea-coal.org; Web: www.UCG.coalconfer-
ences.org).
September 5-6, 2012 MEMSA Annual Technical Symposium—will be held in Clearwater,
Fla. Contact: Mining Electrical Maintenance Association (Web: www.miningelectri-
cal.org).
September 24-26, 2012 MINExpo—will be held at the Las Vegas Convention Center
in Las Vegas, Nev. Contact: Hall-Erickson Inc. (Tel: 866-717-6463; E-mail: minex-
po@heiexpo.com; Web: www.minexpo.com).
November 14-16, 2012 Western Mining Electrical Association Bi-annual Meeting—
will be held at El Tropicano Hotel in San Antonio, Texas. Contact: WMEA (Web:
www.wmea.net).
16 www.coalage.com February 2012
On May 4, 2010, Cindy L. Clapp filed a complaint with the Mine
Safety and Health Administration (MSHA) against Cordero, alleging
the coal mining company had terminated her employment at
Cordero mine in Campbell County in retaliation for her repeated
safety complaints. Clapp claimed the management’s lack of concern
over safety complaints raised by mine workers and her unlawful dis-
charge had a chilling effect on the willingness of other miners to
raise safety issues at the mine.
MSHA sought a finding from the commission that Cordero Mining
had unlawfully discriminated against an employee in violation of
Section 105(c) of the Federal Mine Safety and Health Act of 1977.
ALJ Thomas P. McCarthy concluded that Clapp, a shovel operator
with 28 years of experience as a miner, engaged in protected activity
under the Mine Act, and Cordero took adverse action against her in
retaliation for her complaints.
In the December 5, 2011, decision, the administrative law judge
ordered Cordero to cease and desist from discharging or otherwise
discriminating against Clapp or any other miner because she or he
engage in protected activity, and from interfering with miners who
exercise the rights guaranteed by the Mine Act. Additionally, he
ordered the company to take “affirmative action necessary to effectu-
ate the policies of the Mine Act” within 14 days of the order and post a
copy of the legal decision. The $40,000 penalty is twice the amount
originally sought by the Labor Department.
Cordero has appealed McCarthy’s decision to the review commis-
sion and requested it stay the enforcement of the order during the
appeal.
Triad Mining Pays Big Penalty, Must Restore StreamsThe Environmental Protection Agency (EPA) and the Department
of Justice announced Triad Mining, which operates 31 surface
mines in Appalachia and Indiana, will pay a $810,171 penalty and
restore affected waterways for failing to obtain the required Clean
Water Act (CWA) permit for stream impacts caused by its surface
mining operation in Indiana. Since 2002, Triad’s mining operation
has resulted in the unpermitted excavation and filling of more
than 53,000 ft of streams that flow into the White River, according
to the EPA.
Triad, a subsidiary of James River Coal Co., obtained the
required Surface Mining Control and Reclamation Act permits from
the state of Indiana for its mining operations, but never obtained
the required CWA permit for the site, despite the fact that its surface
mining operation involved excavating coal seams located directly
below stream beds, according to the EPA.
On March 24, 2008, the Army Corps of Engineers issued a cease
and desist order requiring Triad to stop its unauthorized stream-filling
activities. Triad continued its mining practices until the Corps sent a
second order June 24, 2009, which Triad complied with. Since the sec-
ond order was issued, Triad has continued mining, but has avoided
additional impacts to streams.
Under the settlement, Triad must restore 34,906 linear ft of
streams and enhance 4,330 linear ft of stream bed to address and
mitigate impacts to stream beds caused by its mining activities.
Triad will also create and maintain 66 acres of forested buffer areas
and nine acres of forested wetland to protect the restored streams.
The proposed settlement, lodged in the U.S. District Court for the
Southern District of Indiana, is subject to a 30-day comment period
and final court approval.
n e w s c o n t i n u e d
18 www.coalage.com February 2012
Norfolk Southern has loaded the largest volume cargo in
the history of its Pier 6 coal transloading facility at Lamberts
Point in Norfolk.
On January 12, 2012, Norfolk Southern finished loading
159,941.45 net tons (145,097.931 metric tons) of metallurgi-
cal coal into the M/V Cape Dover, destined for China. The
coal was shipped by Xcoal Energy & Resources in conjunc-
tion with CONSOL Energy, from mining operations in
Virginia, in 1,561 railroad coal cars. T. Parker Host was the
ship agent/broker.
Norfolk Southern employees loaded the 951-foot vessel in
fewer than 48 hours in order to accommodate a tight sched-
ule for the receiver. “This is the kind of capacity and service
that makes Pier 6 the preeminent coal transloading facility on
the East Coast,” said Mark H. Bower, NS group vice president,
export, metallurgical and industrial coal marketing.
“Worldwide demand for U.S. coal for utilities and coke plants
continues to grow, and the railroad is the reliable and safe
link that, with our coal production and sales partners, brings
that energy to market around the globe.”
The loading of the M/V Cape Dover eclipsed the former
record of 157,645 net tons for the M/V Irongate in 1998 as
well as the 155,522 net tons into the M/V Cape Provence in
December 2010.
Norfolk Southern has been transferring coal and coke
from railroad cars into ocean-going export and domestic
vessels in the Lamberts Point area since 1884, when it
opened Pier 1. In the first half of the 1900s, new Piers 2-5
featured improvements in speed and capacity and even
loaded coal into a number of famous vessels, such as those
used in Admiral Byrd’s 1933 Antarctica expedition.
Pier 6 opened for business in 1962 as the hemisphere’s
largest, fastest and most efficient transloading facility. In
1999, Pier 6 dumped its billionth ton of coal and became the
only facility in the world to have reached that milestone.
Pier 6 Handles Largest Coal
Loading in its 50-Year History
For many years Alabama has appeared to the
outside world (everywhere not within the
Alabama borders) as a self-contained idealis-
tic economy. Its steel industry and power
plants were furnished coal by its own nearby
coal mines, and the coal was hauled from
Alabama mines to the plants by a small group
of barge and railroad companies. This eco-
nomic Eden began to change rather slowly in
the early 1990s, when Peabody Coal found it
necessary to blend Colombian coal with
Galatia coal at McDuffie Terminal to meet
environmental requirements for its coal cus-
tomer Gulf Power. No one would have
guessed it then, but this was to be the crack
in the door that would lead to more drastic
changes in the following years. In a sense
Alabama has become a microcosm of sys-
temic changes occurring all across the
United States.
Alabama Power has a coal-fired power
plant on each of four major waterways in
the state: the Green County plant is locat-
ed on the Black Warrior River, the Miller
plant is located on Locust Fork, the Barry
plant is located on the Mobile River, and
the Gorgas plant is located on Mulberry
Fork. Alabama Electric Cooperative owns
the Lowman plant on the Tombigbee
River. With the exception of Gorgas, which
is connected to its own mine, all were orig-
inally equipped with their own coal termi-
nal to receive coal from nearby Alabama
mines. Under constant environmental
pressure many of the original coal trans-
portation systems have experienced obso-
lescence or radical change.
The Miller plant no longer takes barge
coal from Alabama mines; in fact it no longer
has a barge dock. It strictly takes rail coal
from the Powder River Basin (PRB). The
Barry plant takes imported coal from
Colombia, which is transferred from ship to
barge at McDuffie Terminal, then delivered
by barge to the plant. One cannot predict
when or if the Barry plant will ever return to
locally-produced coal, but it seems reason-
ably certain that the Miller plant will not
abandon its expensive capital commitment
to PRB coal.
Other factors have produced temporary
or even permanent change in the transporta-
tion and coal production system. Barge deliv-
eries of coal have been markedly curtailed as
natural gas prices have been so low that utili-
ties have purchased gas instead of coal.
Fortunately much of the lost utility coal busi-
ness has been replaced by barge shipments
of export coal to McDuffie Terminal. The pri-
mary stimulus for this was the 2011 torrential
rains in the coking coal production region of
Australia, so it is difficult to predict how long
the spot coal demand for Alabama coal will
last. Coal imports at McDuffie Terminal have
been sharply reduced by the effect of lower
gas prices. Whereas McDuffie recently
imported about 12 million tons per year, it
now expects imports in 2012 to be about 3
million tons.
20 www.coalage.com February 2012
t r a n s p o rt t i p s
Alabama Coal Transportation—A System in Change
B Y D A V I D G A M B R E L
Figure 1: Coal Terminals on the Inland Waterways of Alabama
Name Mile Town Railway Depth Berth Storage Capacity, Purpose Notes
Short Tons
Black WarriorAlabama Power, Greene Co. Plant 227.7 R Forkland BNSF 10’-12’ 2,600’ 1,000,000 Receipt of Coal
for plantPowell Sales 338.5 L Tuscaloosa None 9’ 200’ 40,000 Shipment of coalJim Walter Resources 534.0 L Brookwood None 10’ 200’ 20,000 Shipment of coal Exports met coal.Kellerman Dock (Drummond 355.0 L Brookwood None 10’ 200’ 500,000 Shipment of coalDrummond Big Soal Creek Dock 372.0 R Oak Grove None 10’-12’ 680’ 200,000 Shipment of coal Exports met coal.
Locust ForkPort Birmingham 397.4 L Port Birmingham Birmingham 10’ 800’ 200,000 Shipment of coal Owned by Watco.
TerminalLiberty Stevedoring 398.6 R Port Birmingham None 15’ 400’ 50,000 Shipment of coal Inactive.Liberty Stevedoring 398.8 R Port Birmingham None 15’ 400’ 150,000 Shipment of coal Inactive.Birmingham Marine Terminal 399.2 R Port Birmingham None 10’ 188’ 15,000 Shipment of coal Owned by Parker Towing.Alabama Power, Miller Plant 405.6 L Porter CSXT, BNSF 14’ 1,800’ 600,000 Receipt of coal Strictly takes PRB coal
for plant now. No longer have dock.
Mobile RiverAlabama Power, Barry Plant 30.5 R Bucks None 13’ 2,000’ 1,300,000 Receipt of coal for plant Takes import coal.
Mulberry ForkAlabama Power, Gorgas Plant 397.8 R Gorgas Captive to mine 12’ 420’ 1,000,000 Shipmwnt of coal Company mine.Alabama State Docks 416.5 R Cordova BSNF 9’-12’ 200’ 150,000 Shipment of coal No longer handles coal,
general cargo only.
Tennessee RiverPort of Guntersville Bulk Dock 0.5 L Guntersville CSX 10’ 240’ ? Receipt/shipment of coalACT Port of Gunterstille Dump 0.6 L Guntersville None 12’ 195’ ? Receipt/shipment of coalTVA Colbert Plant 245.3 L Pride None 15’ 4,130’ 800,000 Receipt of coal for plantBlack Eagle Minerals Pride Transloader 247.5 L Pride NS 22’ 1,250’ 300,000 Receipt of coalPort of Florence 256.6 R Florence CSX 16’ 500’ ? Shipment of coalMonsanto Coal Dock 302.0 L Decatur NS 12’ 1,160’ 50,000 Receipt of coal for plantTVA Widows Creek 407.2 R Stevenson CSX 10’ 1,650’ 1,000,000 Receipt of coal for plant
Tombigbee RiverRiver City Industries 214.8 Demopolis none 12’ 600’ 14 acres Receipt of coalAlabama Electric Coopertive 89.5 R Leroy NS 10’ 780’ 500,000 Recept of coal for plant
Tennessee-Tombigbee WaterwayPickens County Port 308 Pickensville None Shipment of coal Owned by Parker Towing.
In the midst of confusing worldwide coal
demand signals McDuffie finds itself in the
process of increasing throughput. It has
ordered a new shiploader which will be
installed later this year. Also within the termi-
nal boundaries Jim Walter Resources pur-
chased a privately-owned coal terminal from
Transtar’s Warrior & Gulf for $35 million, and
intends to convert it from an iron ore import-
ing terminal to a coal exporting terminal for
its own production. These are but a few of the
capital expansions under way.
WATCO, a Kansas-based corporate own-
er of Class II and III railroads, recently pur-
chased the Birmingham Southern Railway,
and will operate it as the Birmingham
Terminal Railway. The Birmingham
Southern (BSRR) had operated under vari-
ous names for decades, but was always the
railroad with the primary responsibility for
hauling coking coal to U.S. Steel’s Fairfield,
Ala., plant. Currently, it hauls coal from
Cliffs’ Oak Grove mine about 25 miles
southwest of Birmingham. However, the rail
system goes to Port Birmingham on the
Black Warrior River, and is capable of taking
coal that has been barged to the Port
Birmingham terminal.
The 75-mile BSRR serves Alabama’s
largest steel-making and manufacturing
region, and provides service to the Port of
Birmingham and a rail-to-barge/barge-to-
rail facility on the Black Warrior River. The
short line interchanges with BNSF Railway
Co., CSX Transportation and Norfolk
Southern Railway.
“This acquisition fits nicely with our con-
tinued business expansion in Alabama,” said
Watco Chief Commercial Officer Ed
McKechnie. “Birmingham Terminal will join
our Alabama Warrior Railway, Autauga
Northern Railroad and the Alabama
Southern Railroad that operate in Alabama.
Combined, these four railroads will move
more than 100,000 rail cars a year.” All but
Autauga Northern are involved in coal
haulage.
Watco currently owns 23 short lines in
the United States. It also provides
transloading, warehousing, intermodal
and other services. This includes the ter-
minal at Port Birmingham, which is capa-
ble of unloading barges to unit trains and
vice versa.
The Birmingham Southern Railroad Co.
was organized on March 3, 1899. The line
was originally built between 1878 from
Birmingham to Pratt City, Ala., to haul coal to
the steel mills in Birmingham. This purchase
by Watco represents the first time in 113
years that the railroad was not controlled by
U.S. Steel or one of its subsidiaries.
It is nearly impossible to chronicle all of the
ownership changes in coal terminals on the
inland waterways, but Figure 1 is a chart of
current terminals as recently reviewed with
Alabama River veteran Parker Towing. Several
of the Locust Fork terminals are known to be
inactive, and one of the Mulberry Fork termi-
nals no longer handles coal. Beyond that, we
suspect that several other terminals are inac-
tive due to declining Alabama production and
rising coal imports from other states.
One is reminded that terminals and power
plants on the Tennessee River, while located
within the northern counties of Alabama, are
physically isolated from the other terminals
and power plants within the state except for a
lengthy trip via the Tennessee-Tombigbee
Waterway, a route rarely if ever used for coal
haulage from Alabama mines.
Dave Gambrel is a consultant to the coal
mining and transportation business. He may
be reached at bunkgambrel@earthlink.net.
t r a n s p o r t t i p s c o n t i n u e d
February 2012 www.coalage.com 21
Even though the ownership in some cas-
es may have changed, the fleet of U.S.
longwalls remained intact and two new
longwall mines, Tunnel Ridge and Sugar
Camp, were added to the list this year.
The total number of longwall mines,
according to Coal Age’s annual U.S. long-
wall census now stands at 43 and, with
five mines operating two faces, the total
number of faces is 48. Two of the mines
are operating in soft rock in Wyoming.
The rest are cutting coal using the most
productive underground technique,
longwall mining.
The other major change that readers
will note on the census is the emergence
of the Caterpillar brand name. Last year,
Caterpillar entered the underground coal
business in a big way when it acquired
Bucyrus. Seeing the Cat brand in the
longwall census may seem odd, but no
more peculiar than when the Bucyrus
name first appeared after the company
acquired Deutsche Bergbau Technik
(DBT). As far as equipment, this was a
change in name only. The industry is still
waiting to see which operator will be the
first to purchase major pieces of yellow
longwall equipment.
CONSOL Energy remains the leading
U.S. longwall producer with 11 faces. Arch
Coal and Murray Energy operate five long-
wall mines. Last year, Alpha Natural
Resources acquired Massey Energy and
the Revolution longwall mine in West
Virginia. Likewise, Walter Energy acquired
the North River mine in Alabama from
Chevron Mining. Alpha Natural Resources
and Walter Energy each have one mine
operating two longwall faces. Both com-
panies operate three longwall mines and
four longwall faces.
Alliance Resource Partners commis-
sioned the Tunnel Ridge longwall mine
in West Virginia. Tunnel Ridge is the
company’s second longwall. It also oper-
ates the Mountain View mine in West
Virginia.
Cline Resources reorganized its Illinois
Basin coal mines and ancillary assets as
Foresight Energy. Foresight Energy owns
Mach Mining, which operates the most
productive longwall mine in the U.S.
MClass Mining operates the Sugar Camp
mine, which has been designed to accom-
modate four longwalls. The mine began
operating its first longwall last year.
With 13 faces, West Virginia remains the
longwall leader, followed by Pennsylvania
(7), Alabama (6), and Utah (5).
Looking at the numbers, the average
U.S. longwall mine has a cutting height of
94 inches, a panel width (or face length) of
1,086 ft, and a panel length of 10,321 ft.
Last year, those numbers were 88 inches,
1,055 ft and 10,724 ft respectively. A total
of 17 longwalls operate in the Pittsburgh
No. 8 seam. The maximum overburden on
average reaches 1,206 ft. Except for a few
mines in Utah, most are developed with 3-
entry gates. Using a 1,734-hp double-
drum, ranging-arm shearer, they take a
38-inch cut. The average yield setting on
the shield is 988 tons. Most (41 faces) are
high voltage (4,160 volts).
As far as extremes, the deepest longwall
mine is the West Ridge mine in Utah,
operating at a depth of 3,000 ft. CONSOL
Energy’s Bailey Enlow Fork Complex oper-
ates the longest faces, four 1,500-ft faces.
At 21,500 ft, Signal Peak Energy’s Bull
Mountain mine has the longest panel.
Arch Coal’s West Elk and SUFCO mines
are operating 2,805-hp shearers.
The Year in Review
During October, Blue Mountain Energy’s
Deserado mine was recognized by the
Colorado Mining Association (CMA) for
achieving a historic safety milestone,
completing 365 days without a lost time
accident. During the one-year period, an
22 www.coalage.com February 2012
u. s . l o n g wa l l c e n s u s
Longwall Population Grows Amid
Further M&A Activity
B Y S T E V E F I S C O R , E D I T O R - I N - C H I E F
Two new installations and a new supplier, Caterpillar, highlight the changing landscape
of longwall mining
Foresight Energy’s Sugar Camp mine began longwall production and could become a major longwall complex
in the Illinois Basin.
average of 167 miners worked with care
over 300,000 hours producing more than
2.5 million raw tons of coal without a sin-
gle reported lost time accident. This is
only the second time in the mine’s 29-
year history that workers completed 365
days with no lost time injuries, the last
during the years 2002-2003.
At a celebration held during October 24,
2011, CMA President Stuart Sanderson
read a proclamation commending the
company, its management and employees
for the successful creation of a culture of
mine safety. And the company sweetened
the pot with bonuses including $365 for
working an entire year injury free. “Our
safety record begins with the support of
top management, including the board of
directors, and works its way through our
whole team of miners,” said Al Hillard,
mine manager, Deserado mine. “We have
great people that not only look out for
themselves, but for the other guy as well.”
Peabody Energy operates only one U.S.
longwall, the Twentymile mine, but it’s one
of the best. The company recently
announced the mine received a 40-million-
ton long-term coal supply agreement for a
planned extension. The Twentymile exten-
sion is being developed to supply coal to
power plants, industrial and export cus-
tomers, including a 16-year agreement with
the nearby Hayden Generating Station.
The project involves developing the
new Twentymile Sage Creek portal in the
existing Wadge coal seam and moving
the longwall. The new portal will access
an additional 105 million ton northern
reserve block of high-Btu, low-sulfur
coal. Permits are in place for develop-
ment of the longwall panel, with devel-
opment work expected to begin in May
2012. Longwall production is anticipated
in the second half of 2015. The capital
investment for the extension is expected
to total approximately $200 million.
CONSOL continues permitting and
development of its planned Bailey mine
expansion (BMX) longwall mine in
Western Pennsylvania. This mine would
add a fifth longwall to the Bailey/Enlow
Fork complex, which is currently the
largest underground complex in the
United States. A single development sec-
tion is presently driving main entries and
full production is expected to be 5 mil-
lion tons per year beginning in late 2013.
Signal Peak Energy had a rough year.
After starting its second longwall panel at
the Bull Mountain mine in Montana, the
mine experienced several roof falls that
interrupted production. The mine was
then idled in December due to high car-
bon monoxide (CO) concentrations and
had to declare force majeure. The com-
pany lifted the force majeure in January
and is hoping for a better 2012. When it
reaches full capacity, the mine, one of
America’s newest longwall installations,
is expected to produce as much as 12.5
million tons per year.
Cliffs Natural Resources reported high
production volumes from America’s only
plow longwall at the Pinnacle mine in
West Virginia. Cliffs brought the Pinnacle
mine back online during October. It had
suspended operations in May when the
mine noticed elevated CO levels. The
company’s Oak Grove mine was com-
pleting repairs to surface structure that
was damaged by the deadly tornadoes
that struck Alabama early last year.
Arch Coal’s Canyon Fuel subsidiary
announced last fall it would scale back
production at the Dugout Canyon mine
near Wellington, Utah, in response to
continuing weakness in coal demand in
the region. The company will suspend
longwall operations at the end of the cur-
rent panel, currently planned for the first
half of 2012. Coal sales from Dugout
Canyon totaled 2.3 million tons in 2010.
Arch Coal also brought the Mountain
Laurel longwall back online. It had been
idled due to geologic challenges. During
2011, Arch Coal acquired ICG and its plans
to develop the Tygart River longwall mine
in West Virginia. It recently said it was
accelerating Tygart Valley’s longwall start-
up by six months to mid-2013.
Looking toward the future, if Foresight
Energy’s plans come to fruition, the
industry could see at least two more
longwalls come online. At least one addi-
tional longwall could be installed at the
company’s Sugar Camp mine. The com-
pany’s Patton Mining division is also
opening the Hilsboro mine which will
operate at least one longwall. The num-
ber of U.S. longwalls could once again
climb comfortably above 50 by 2013.
u . s . l o n g w a l l c e n s u s c o n t i n u e d
February 2012 www.coalage.com 23
Table 1—Longwall Installations, by Parent Company (2011-2012).
Company Ala. Colo. Ill. Mont. N.M. Ohio Pa. Utah Va. W.Va. Wyo. Total
Alliance Resource Partners 2 2
Alpha Natural Resources 3 1 4
AmCoal 2 2
American Energy 1 1
Arch Coal 1 3 1 5
BHP Billiton 1 1
Blue Mountain Energy 1 1
Bowie Resources Ltd. 1 1
Cliffs Natural Resources 1 1 2
CONSOL Energy 4 1 6 11
Drummond 1 1
Energy West 1 1
FMC Corp. 1 1
Foresight Energy 2 2
Ohio Valley Coal 1 1
Oxbow Mining 1 1
Pacific Minerals 1 1
Patriot Coal 2 2
Peabody Energy 1 1
Signal Peak Energy 1 1
Solvay Chemicals 1 1
UtahAmerican Energy Inc. 1 1
Walter Energy 4 4
Total 6 5 4 1 1 2 7 5 1 13 3 48
u . s . l o n g w a l l c e n s u s c o n t i n u e d
24 www.coalage.com February 2012
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u . s . l o n g w a l l c e n s u s c o n t i n u e d
26 www.coalage.com February 2012
NEW
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u . s . l o n g w a l l c e n s u s c o n t i n u e d
28 www.coalage.com February 2012
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ehe
ight
heig
htw
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rden
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of c
utHa
ulag
eyi
eld
type
wid
th (m
m)/
Stag
eloa
der
type
Elec
tric
alto
Com
pany
(par
ent)
Seam
(inch
es)
(inch
es)
(ft)
(ft)
(ft)
entr
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(inch
es)
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rer
syst
em(t
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d (f
pm)
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th, s
peed
Crus
her
cont
rols
face
s u p p o rt e q u i pm e n t
February 2012 www.coalage.com 29
The capabilities of bulldozers and wheel loaders are, literally, yards
apart. With one designed to push and the other designed to lift, they
appear to have little in common. In the mining sector, however,
these two types of machines are linked by some mutual characteris-
tics: they both fall into the category of support equipment, lending
their specialized design strengths to the goal of making life easier for
primary production machines such as shovels and trucks; and in
mining applications, they rely mostly on power and mass to move
large volumes of material, thus posing a challenge to OEMs facing
customer expectations for improved economy of operation in each
new model. In the simplest terms, you can’t move a lot of dirt with-
out a lot of machine.
Despite the constraints posed by the need for machine mass
to move mountains, dozer and loader suppliers continue to find
ways to improve fuel economy, reliability, operational flexibility
and driver ergonomics. Not only do equipment designs contin-
ue to evolve, but the sector itself has seen notable changes in
brand ownership as well as the entry of new players in the glob-
al market. At the top end of the loader-capacity spectrum, for
example, LeTourneau Technologies, builder of the largest pro-
duction wheel loader in the world—the 587,800-lb (266 622-kg),
2,300-hp (1715-kW) L2350 ‘Gen 2’—was acquired by Joy Global
in 2011. And more recently LiuGong, a large Chinese construc-
tion equipment supplier, acquired a well-known Europe-based
dozer manufacturer, seeking increased exposure in a wider
market landscape.
The new-product stage has been quiet in recent months, as
manufacturers hold back on potential rollouts until later this
year when MINExpo 2012, the world’s largest all-mining equip-
ment exposition, draws near. However, mining-class units
introduced over the past year or so are, in some cases, making
their opening appearance in various market regions. Komatsu,
for example, recently shipped the first unit of its updated
WA1200-6 wheel loader to go to a North American mining oper-
ation. According to Des Jarvis, product marketing manager for
Komatsu’s mining-class loaders, this machine will be delivered
to a Canadian customer. The -6’s are built at Komatsu’s Ibaraki
plant in Japan, which opened in 2007 and is dedicated to pro-
duction of large wheeled equipment, mostly for export.
The WA1200-6, Komatsu’s largest loader, was announced in
September 2010 and officially entered the market in early 2011.
The new version included improvements such as 26.2-yd3 stan-
dard bucket capacity; a new, EPA Tier 2 emissions-compliant
diesel, better integration of engine and transmission for perfor-
mance and economy; higher reliability of major components;
and enhanced operator environment and serviceability. Other
notable features included a switch to variable displacement
steering pumps for more efficient power management, and the
standard equipment list was expanded to include a payload
meter with register and tracking functions.
Service weight for the WA1200-6, at 216,000 kg (476,000 lb) is
about 5% more than its predecessor, the WA1200-3. A new boom
design provides increased dump clearance, and although its rated
breakout force rating is the same as the -3, Komatsu claims the -6 is
considerably more stable, with static tipping load rating increasing
by several thous-and kilograms. The WA1200-6 also offers signifi-
cantly higher air cleaner capacity, along with ground-level service
points. Komatsu’s wireless VHMS (Vehicle Health Monitoring
System) has been renamed Komtrax Plus throughout the product
line and is included on the -6, accompanied by a new, more intu-
itive operator display inside the cab.
The loader is powered by a Komatsu SSDA16B160E-2 diesel, a
product of the Komatsu/Cummins Industrial Power Alliance engine
joint venture. It is equivalent to the Cummins QSK60 Tier 2 diesel
used in other mobile equipment applications.
The most recent dozer model from Komatsu is the D375A-6,
introduced in 2010 with new technology that enables higher pro-
ductivity—in the case of the -6 version, an estimated 8% more than
its predecessor.
The D375A-6’s lockup torque converter feature provides a
direct-drive connection between the engine and transmission for
more efficient use of engine power, particularly on long passes. For
utility dozing in which maximum power isn’t necessary, an econo-
my work-mode setting reduces engine output to save on fuel con-
sumption. For general dozing, the operator can use the
transmission’s automatic gearshift mode which downshifts on its
Tracks & Treads: Dozers and Loaders
Dig into Production Support Roles
Mining requires massive machines, capable of continuous operation in tough conditions. The newest loader and dozer models offer performance levels designed to meet the challenge.
Komatsu WA1200-6 loader.
B Y R U S S C A R T E R , W E S T E R N F I E L D E D I T O R
own when a load is applied and upshifts to a preset when the load is
removed. When ripping, the operator can select manual shifting,
which again downshifts automatically when load is applied but
does not upshift when the load lightens.
The dozer senses when the track shoes start to slip under
heavy load while ripping, and adjusts engine output accordingly
to avoid the damaging effects of slippage, which can accelerate
undercarriage wear. This feature also eliminates the need for the
operator to constantly work the deceleration pedal during rip-
ping and consequently reduces operator fatigue during extensive
ripping operations.
Drive-train parts are strengthened to handle the increased
horsepower on the -6, and primary power train components are
sealed in a modular configuration that allows them to be removed
and replaced without oil spillage. The undercarriage employs the
improved eight-roller, “K-Bogie” design used on the larger D475
series, which increases the length of track on the ground and also
provides an extended range of track-roller vertical travel.
The -6’s blade profile was modified to more closely resemble
that used on the D475 series, and the blade shoulder angle raised to
reduce spillage over the blade corners. Cross joints used at the con-
nection point of the lift cylinder and blade improve machine relia-
bility and speed field assembly of the equipment. The -6’s hydraulic
system has the higher efficiency, more reliable piston-type pumps
used on the D475 series rather than gear pumps.
Other improvements on the -6 range from latching, dual insulat-
ed gull-wing engine side covers for better maintenance access, to an
LCD color monitor in the pressurized, hexagonal-shaped cab.
Mining-specific features include items ranging from standard work
lights at the front, back and engine bay of the machine, to an unin-
terruptible power source in the cab that allows radio communica-
tion at all times. Manual engine shutdown switches are located in
the cab and at the rear of the machine, and a battery/starter isolator
box on the side of the dozer also includes a jump-start connection.
The -6’s built-in versatility allows it to handle a wide variety of
dozing tasks ranging from trap loading to a shovel, dragline and
dump assistance, stripping and roadbuilding to stockpile mainte-
nance, and Jackie D. Haney, product marketing manager for min-
ing-class dozers, confirms the -6 has found broad popularity in
stockpile applications, as well as appreciation from operators who
find the new machine easier to run and more comfortable than its
predecessor.
The D475A is the next model of Komatsu’s mining-class dozers
scheduled for an upgrade, according to Haney.
Cat’s Loaders & Dozers UpdatedCaterpillar has carried out a series of updates to its loader and dozer
lines, starting in May 2010 with an Extended High Lift Option (EHL)
for its model 994 loader. The EHL linkage provides 42 in. (1,075 mm)
more dump clearance than the High Lift linkage option, and
includes new lift arms, lift and tilt cylinders, tilt links and counter-
weight material. The additional lift height allows the operator to
back away from a truck without racking back the bucket, providing
the potential for faster cycle times. The additional lift also enables
the operator to dump the last pass without pushing material. The
latest version in the 994 series is the 430,858-lb (195 434-kg) 994H,
which when equipped with EHL linkage is rated at 35 tons (32 met-
ric tons) payload.
Cat followed up later in 2010 with a High Lift option for its 992K
loader, adding 24 in. (610 mm) of dump clearance over the standard
configuration. Equipped with a 14-yd3 (10.7-m3) bucket, a High-Lift
992K offers dump clearance of 17 ft 2 in. (5,232 mm). The High Lift
option reduces payload to 21.4 tons (19.1 mt) from the standard
unit’s 24-ton rating but enables the 992K to efficiently load 100- and
150-ton-capacity trucks—possibly eliminating the need to move to
a larger loader, which in the Cat product line would be the 993K
with a payload rating of 27.5 tons (24.9 mt) for the High Lift version
and 30 tons (27.2 mt) in the standard configuration.
Cat’s newest large loader, the 980K, was unveiled in March 2011
and, as the smallest of its mining-class wheel loaders with bucket
capacities ranging from 5.25–16 yd3 (4–12 m3), is not typically found
in high-production hardrock operations. However, it does offer a
wide range of performance, ergonomic and application-flexibility
features that make it well-suited for aggregate or small-mine duty
and various utility-loading tasks. Notable improvements featured
by the K version over its H-series predecessor include a new cab,
load-sensing hydraulics, a 25% increase in lift force and a 16%
increase in tilt force, along with new electro-hydraulic steering with
either joystick or steering wheel control, plus Performance Series
Buckets and an optional lock-up torque converter.
In mid-2011, Cat introduced upgraded versions of its popular
D11 bulldozer models. The new D11T and D11T CD offer design
refinements that include Enhanced Auto Shift, Dynamic Incli-
nation Monitor, automatic climate control and available automated
ripper control. The D11T and D11T CD’s 850-net-hp (634-kW) C32
engine, according to Cat, allows the machines to work fuel-effi-
ciently anywhere in the world, with blades ranging in capacity up to
57 yd3 (43.6 m3) and operating weights up to 248,456 lb (112 698 kg).
The engine is configured to meet U.S. EPA Tier 4 Final emissions
standards for those geographical areas requiring stringent emis-
sions control; for less-regulated areas, it will be configured to meet
U.S. EPA Tier 2 equivalent emissions standards.
The T-Series D11s feature a new cooling package that uses a
two-part radiator with aluminum bar-plate cores which contribute
to durability, efficient heat transfer and corrosion resistance. The
s u p p o r t e q u i p m e n t c o n t i n u e d
Komatsu D375A-6 dozer.
Caterpillar D11T dozer.
30 www.coalage.com February 2012
new oil-to-air hydraulic-oil cooler uses similar construction, and a
hydraulic variable-demand fan uses less power, reduces fuel con-
sumption and decreases noise.
New for the D11T and D11T CD is the Enhanced Auto Shift (EAS)
system, designed to conserve fuel by automatically selecting the
optimal reverse gear and engine speed, based on load and desired
ground speed. When EAS is not activated, an Auto Downshift fea-
ture automatically changes gears to most efficiently handle loads.
Inside the cab, a Dynamic Inclination Monitor provides a readout of
tractor pitch angle and side-to-side slope angle, and Automated
Blade Assist Control uses preset blade-pitch positions to simplify
positioning. An optional Autocarry system automatically controls
the blade during the carry segment. A new operator-presence sys-
tem locks out the power train and hydraulic system to avoid unin-
tentional machine movement when the operator is entering or
leaving the cab, which can be done via an optional hydraulically
actuated access ladder.
The D11T and D11T CD feature an “OK-to-Start” system that
electronically checks critical fluid levels. Routine maintenance is
facilitated by easily accessible filters, an optional automatic lubrica-
tion system, high-speed oil change for engine and power train sys-
tems, and ecology drains for capturing fluids for proper disposal or
recycling. A fast-fill fueling system incorporates a positive shutoff to
prevent spills.
Another dozer upgrade—the D9T—was announced in
November 2011. The 110,000-lb (49 900-kg) operating-weight D9T
is powered by a C18 diesel rated at 410 net hp (306 kW). For
improved comfort and efficiency, a low-effort electronic control
handle gives the operator single-hand control of all dozer functions.
For added safety, a Dynamic Inclination Monitor provides readouts
of the tractor's pitch angle and side-to-side slope, and an operator-
presence system locks out the power train and hydraulic system to
avoid machine movement when the operator is entering or leaving
the cab, assisted by redesigned steps, handles and guardrails. An
available visibility package includes mirrors on the lift cylinders and
a ROPS-mounted camera system with a color monitor mounted
near the rear view mirror.
In line with the improvements made to the D11T dozers, the
D9T also features EAS, cooling system enhancements, and the OK-
to-Start system.
Liebherr, Volvo: High-tech Performance, with EconomyLast year’s CONEXPO/CONAGG construction equipment exhibi-
tion in Las Vegas, Nev., provided a stage for OEMs offering
machines in the lower range of potentially useful capacity for min-
ing applications to highlight their latest models. Liebherr, for exam-
ple, which lays claim to the title of building the world’s largest
hydrostatic-drive dozer and wheel loader, showcased its flagship
PR764 Litronic, a 422-hp (310-kW) dozer with an operating weight
of approximately 116,150 lb (52.5 metric tons).
As with all its hydrostatic-drive machines, the PR764’s diesel
engine provides power to variable-displacement pumps and
motors in closed circuit. According to the company, this stepless
system allows the dozer to constantly provide an optimum drive
ratio for any dozing job, including heavy-duty ripping. Because the
engine always operates within its optimum rpm range, fuel con-
sumption is reduced, engine wear is decreased and the low engine
speed provides a quieter running machine.
The PR764 Litronic has the same profile and ergonomic features
common to all Generation 4 Liebherr dozers. With a redesigned
operator’s cab and sloping outer edges, it provides the operator
with high visibility of the working area as well as the blade and rear
ripper. The dozer also features demand-controlled cooling, wear-
free braking via the hydrostatic drive system and a long list of
options.
In a similar vein, a characteristic feature of Liebherr’s range of
large wheel loaders is the optimized hydrostatic drive concept,
based on two directly coupled hydraulic motors of different sizes,
each with a separate clutch. Because at least one of the two motors
is active when the wheel loader accelerates and decelerates, the
loader can adjust to any working condition regardless of travel
speed required and without the need for the operator to shift gears.
With an operating weight of 69, 180 lb (31 mt) the L586 Litronic is
the flagship of Liebherr’s wheel loader line and is the largest wheel
loader in the world with hydrostatic drive. The L586 displayed at Las
Vegas had a 7.8 yd3 bucket with a v-pattern overflow plate and teeth.
The exhibit model was also equipped with a rear collision guard,
undercarriage protection and twin LED work area lights at the front
and rear. Other equipment included an audible warning signal when
reversing and camera monitoring of the area behind the vehicle. The
L586 is powered by a Liebherr six-cylinder, turbocharged diesel
engine with a charge air intercooler, and develops 340 hp (250 kW).
Volvo Construction Equipment does not have a dozer product
line, but offers a wide selection of wheel loaders, with the L350F at
the top of the line’s payload rating range. When introduced several
years ago, Volvo CE reported that the new model provided an 18%
increase in productivity and 46% better fuel economy over its pre-
decessor, when tested in load and carry operations. The source of
these improvements, said Volvo CE, resided in the combination of
the L350F’s new Tier 3/Stage IIIA Volvo engine, stronger hydraulics,
an improved lift arm, a new transmission with lock-up and new
axles.
The L350F’s Volvo D16E engine produces most of its 532 hp (397
kW) and torque at low engine speeds, reducing the need for over-
revving as well as providing better fuel economy, reliability and low
noise and emissions. The engine is mated to the latest transmission
from Volvo—the HTE400—with automatic lockup in third and
fourth gears. The transmission features automatic power shifting
that offers a selection of shift programs to suit the application as
well as operator work style. The system also can be activated to
automatically downshift to first gear, leaving the operator only hav-
ing to select between forward and reverse gears.
Stopping power comes in the form of outboard-mounted wet
disc brakes with oil cooling. Powered by a hydraulic dual circuit
brake system, the parking brake automatically applies when the
engine is switched off or if brake pressure too low. Brake condition
can be monitored by wear indicators on each hub and a brake test
can be done from inside the cab.
s u p p o r t e q u i p m e n t c o n t i n u e d
February 2012 www.coalage.com 31
Liebherr PR764 Litronic dozer.
The load sensing hydraulics system on the L350F also were
improved, with variable displacement pumps providing exact flow
and pressure on demand. Bucket capacity for the L350F ranges
from 8.1 to 16.6 yd3 (6.2 to 12.7 m3). Breakout force is rated at
106,290 lb-ft (472.8 kN).
The L350F’s lift arm features improved geometry that is claimed
to provide good rollback angles as well as better attachment visibili-
ty. The loader also can be specified with boom options: the long
boom gives additional dump height while a Boom Suspension
System features heavy duty shock absorbers that reduce bucket
spillage and allow faster, more comfortable, work cycles.
East Meets West in the Dozer Market
LiuGong Machinery Corp., Liuzhou, China, recently finalized an
agreement to acquire Polish heavy equipment manufacturer HSW
(Huta Stalowa Wola) and its distribution subsidiary, Dressta Ltd.
The transaction is LiuGong’s first outright acquisition outside its
domestic market.
HSW manufactures bulldozers, loaders and other crawler
machines, and is one of only seven manufacturers worldwide pro-
ducing a complete line of bulldozers from 74 hp to 520 hp. The
Polish government, which owned HSW, had agreed in principal to
sell to LiuGong earlier this year with the signing of a preliminary
enterprise acquisition agreement in Beijing, China.
The roots of HSW/Dressta earthmover technology can be
traced back to 1972, when HSW entered into a licensing agree-
ment with the U.S. agricultural equipment builder International
Harvester, which had formed a Construction Equipment Division
in the mid-1940s and was eager to expand market scope for its
dozers and loaders into Eastern Block countries. International
Harvester, however, encountered rough economic waters in the
early 1980s and the construction division was acquired by Dresser
Industries, which later struck a joint agreement with Komatsu for
manufacture of dozers, loaders and other equipment. Komatsu
took control of the entity in the mid-1990s and carried on the
longstanding arrangement with HSW, eventually establishing
Dressta as a joint venture. Komatsu’s participation in the venture
ended in 2005.
LiuGong’s acquisition of HSW is a strategic step for the Chinese
company, which has a stated goal of becoming a top-10 construc-
tion equipment manufacturer by 2015. The HSW transaction,
according to LiuGong, opens an avenue to obtain core technologies
that will help it advance some of its product designs, supplements
LiuGong’s product lines, provides a manufacturing and logistic
footprint in Europe and expands LiuGong’s penetration into market
and product segments.
Dressta TD-40E Extra dozer.
32 www.coalage.com February 2012
s u p p o r t e q u i p m e n t c o n t i n u e d
LiuGong currently offers a full line of construction equipment
that includes wheel loaders, bulldozers, skid steers, forklifts, motor
graders, excavators and mining trucks, among others. The compa-
ny sold 75,000 machines in 2011 and has one of the largest global
dealer networks of any of its Chinese competitors, consisting of
nearly 280 dealers in more than 95 countries, supported by nine
subsidiary offices and 10 parts depots.
HSW was established in 1937 and builds dozers at its plant in
southwestern Poland. HSW also produces wheel loaders, log-
gers, pipe layers, conveyer belt shifters, motor graders and
machines customized for landfill applications, also for global
markets.
David Beatenbough, currently vice president of research and
development for LiuGong, has been named chairman of the board
of the new entity, LiuGong Machinery (Poland) sp z o.o.
Beatenbough commented on how HSW will fit into LiuGong’s plans
and product lines: “We will acquire proven technology within the
bulldozer segment, as we will now own all the technology and
designs, including undercarriages and driveline components,” he
explained, adding that LiuGong will benefit from HSW’s experience
with large machines, and from HSW’s plant location in central
Europe—closer to European customers.
LiuGong intends to move rapidly to integrate processes and
production. A talent exchange will bring Chinese engineers to
Poland, and send Polish engineers to China for training. The
first fast-track project will be an investment into production line
equipment and retooling at the Podkarpackie plant, enabling it
to produce LiuGong excavators and wheel loaders. LiuGong also
will quickly leverage the combined distribution network to
bring the expanded product line to dealers—HSW products to
LiuGong dealers, and LiuGong products to HSW/Dressta deal-
ers. Relative to brand names, Beatenbough said, for the near
term all three brands will be retained in certain markets.
The largest dozer model in the Dressta line is the TD-40E Extra,
powered by a Cummins QSK19 Tier 3 engine delivering 515 net hp
at 2,000 rpm, linked to a transmission that provides six forward and
six reverse speeds. Equipped with a semi-U blade and single-shank
ripper, the TD-40E Extra weighs approximately 67.7 metric tons
(149,000 lb), which makes it about two tons lighter than a Komatsu
D375A and more than a ton heavier than a Cat D10T. Capacity
when equipped with a full-U blade is 22.8 m3.
Dressta said it has engineered the dozer’s hydraulic control sys-
tem with advanced solid-state electronic circuitry to provide an
electro-hydraulic system in which all control functions are activated
by movement of the joystick or by selecting control buttons on the
face of the joystick. The joystick control handles up- and down-
shifting of the transmission, low or high range selection of left and
right track drives or full-power geared turns.
A rear platform located below the fuel tank aids in refueling, air-
conditioning filter changes and cab rear window cleaning to
enhance serviceability. Maintenance includes a 500-hour oil change
interval. The cab is sealed and has a built-in air-recirculation sys-
tem. An air-suspension operator’s seat swivels at an angle to pro-
vide better visibility of the ripper when necessary.
Dressta’s largest wheel loader, the 92,000-lb (41 650-kg) 560E
Extra, also is powered by a Cummins diesel, in this instance a 427-
hp (319-kW) QSX15. Available in both standard boom and high-lift
configurations, the loader offers bucket capacity of 7.5 yd3 (5.7 m3)
in the standard version and 7 yd3 in high-lift. Depending on bucket
style, dump clearance at maximum height ranges from 10 ft 11 in. to
11 ft 6 in, (3.34 m to 3.59 m); breakout force also varies with bucket
style, ranging from 71,149 lb to 78,950 lb (318 kN to 351 kN).
s u p p o r t e q u i p m e n t c o n t i n u e d
February 2012 www.coalage.com 33
Endless foreign wars, endless Federal budget cuts and endless politi-
cal debates are starting to take a collective toll on the health and via-
bility of our nation’s crumbling infrastructure, once the envy of the
world. While most taxpayers are familiar with the limitations of the
nation’s highway system, far fewer understand the problems now
commonplace along the U.S. inland waterways system. Traversed
daily by thousands of barges and tows owned by dozens of operators,
industry and government stakeholders are becoming increasingly
frustrated as the locks and dams that comprise much of the water-
ways infrastructure continue to fail at accelerating rates. As funds dry
up from the Federal level, it will be left to industry, labor and local
governments to shore up the liquid arteries of commerce that bind
this nation together.
Unique among the network of rivers that make up the U.S. inland
waterways, the Ohio River would be considered a major coal river.
Hundreds of millions of tons of coal travel through the Ohio River’s
many locks and dams annually going from mine to power plant, and
increasingly from mine to export facility. As domestic utilities reduce
the collective coal burn, now more than 10% of the combined steam
and thermal coal produced in the U.S. is heading overseas. With coal
traffic patterns changing as a result of this market shift, larger
amounts of river-borne coal are seeking new outlets, especially as
existing rail-served coal ports become clogged with other traffic.
Complicating transit is the fact that many locks and dams on the
Upper Mississippi and particularly the Ohio River are ancient, some
over a century old, and quite a few are way past their design life. As
each day passes, the threat of a significant or catastrophic lock or dam
failure becomes more imminent. While America has so far dodged
that bullet, the right bolt breaking lose at the wrong time in the wrong
place could wreak havoc on coal markets.
The Federal Government continues to invest funds in various riv-
er improvement projects. Tremendous amounts of money have been
tied up for years in one of the biggest boondoggles in modern times:
the Olmstead Lock and Dam on the lower Ohio. Initially budgeted at
$775 million, projected costs have today climbed to more than $2.1
billion and there’s no end in sight. Moreover, according to the way in
which money has been allocated and prioritized, under existing law,
dozens of other projects are being held up while Olmstead is “fin-
ished.” Meanwhile, the inland waterways become more fragile.
According to the Waterways Council, a Washington-based indus-
try group, moving coal and other freight via barge through the
nation’s river system is the most energy efficient mode of transporta-
tion. On average, barges move a ton of cargo 576 miles per 1 gallon of
fuel. A rail car, by contrast, will move the same ton of cargo 413 miles
per gallon. Trucks are the worst, averaging only 155 miles travel per
that 1 gallon of fuel. One of the largest river shippers, American
Electric Power (AEP) is able to do better: squeezing an average of over
642 miles traveled per gallon of fuel used. But in our increasingly car-
bon constrained and supposedly “greening” economy, America’s
inland waterways are actually becoming less efficient and reliable. As
Congress debates how much to fund the waterways through this win-
ter, shippers wonder how the inevitable spring floods will affect them
and their customers later this year.
The Ohio: America’s Real Coal River
In a presentation delivered at the Coal Handling & Storage confer-
ence, which was held during November in St. Louis, Keith Darling,
president of AEP’s River Operations, discussed how fragile the Ohio
River system’s lock and dam infrastructure has become.
Headquartered in Chesterfield, Mo., AEP’s River Operations sub-
sidiary is the second largest dry bulk barge company on the inland
waterways transporting more than 71 million tons of commodities
each year. Traversing almost all of the nation’s river systems, AEP
moves about 32 million tons of coal annually into AEP power plants
as well as another 3 million tons of limestone and urea, which is used
in emission control systems, also traveling by barge.
Throughout the nation’s heartland, the Ohio, Illinois, Green,
Tennessee, and the Upper and Lower Mississippi rivers and other
rivers carry millions of tons of cargo to hundreds of industrial facili-
ties. While the Lower Mississippi does not have any locks and dams,
i n l a n d wat e rways
LOCKED Out: Aging Locks and Dams
Jeopardize Inland WaterwaysIs a catastrophic cascading systems failure about to occur along the Ohio River?
B Y L E E B U C H S B A U M , A S S O C I A T E E D I T O R A N D P H O T O G R A P H E R
36 www.coalage.com February 2012
Transporting coal along the inland waterways makes sense, but the system has been pushed beyond its limits.
some of the oldest in the nation are on the upper Mississippi. But, in
terms of cargo, it’s really a grain river as is the Illinois. “If you really
want to talk about a coal river, we’re talking about the Ohio,” Darling
said. With almost 40 locks and dams throughout a system comprising
both the Monongahela and Allegheny rivers as well as the Ohio River,
Darling explained, more coal flows over these waters than any where
else in the nation.
For hundreds of miles from Pittsburgh, Pa., to Cairo, Ill., where it
meets the Mississippi, the Ohio River valley is dotted by factories,
chemical plants, power plants and other industrial facilities. Over the
course of a year more than 200 million tons of cargo move through its
locks and dams, and no cargo is more plentiful than coal.
Lock Outages on the OhioAs the Inland River system ages, Darling likened the situation to a
form of Russian roulette, pulling the trigger each time the system
locks another tow, and hoping there’s no bullet in that chamber.
Most of the dams’ “design life were exceeded 50 years ago and it’s
heroic to keep those structures operating. As they get older and we
don’t do proper maintenance and we don’t modernize them, their
reliability has become challenged,” said Michael Toohey, president
and CEO of the Waterways Council, the primary industry group asso-
ciated with protecting that viability.
As compiled by AEP and the Army Corps of Engineers, since 2000,
more locks are closing for repair or maintenance every year. And as
the system continues to fatigue, the amount of time locks are out for
repairs grows each year as well. “Lock outages have increased three-
fold in a 10-year period. Throughout 2009, there was a lock out some-
where on the Ohio River roughly 25% of the year,” said Darling.
Over the next 20 years lock gate failures will continue steadily.
“Lock gate failures will occur at increasing rates over the next couple
decades. Indeed by the year 2020, the Corps predicts that all 40 lock
gates on the Ohio will fail at some point in time. That’s the Corps’ pre-
diction. And amazingly they’ve been about 100% at predicting lock
failures,” Darling said.
Those lock failures have major impacts to the traffic on the Ohio
River. When a main chamber on the Ohio River fails, all traffic must
use an auxiliary lock chamber instead. Generally the auxiliary cham-
bers are only half the size of the main chambers, forcing barge lines to
break tows in half and move a tow through in two or more pieces.
“This adds time and it creates queues. Locks you typically drive up to
and lock directly through, you’ll sit at for two, three, even four days
while waiting for your turn to move through. And, time is money,”
said Darling. The extra costs the shippers bear generally translate into
higher costs per delivered ton and increased costs for ratepayers. All
of this translates to higher costs for coal, which only prices it further
out when compared to natural gas.
Using the Corps and AEP’s data, in three years—by 2015—the
main chambers of five dams, which currently lock through a com-
bined 72.2 million tons per year (tpy), will fail (Hannibal L&D, 17.4
million tpy; Willow Island L&D, 17 million tpy; Belleville L&D, 16.5
million tpy; Lock 52, 17.9 million tpy; and Lock 53 3.4 million tpy).
In fact, by 2020, both the main and auxiliary locks will have failed
on four dams along with the mains on four others. Millions of tons
would be displaced. Essentially, that amount of cascading lock and
dam failures would clog up the river, perhaps rendering it uneco-
nomical compared to competing modes as dwell times and costs
rise precipitously.
Too much hyperbole? Perhaps. But Darling and AEP believe that
even today, one key installation failure could have tremendous reper-
cussions. In his presentation, Darling discussed the ramifications of a
hypothetical lock failure at the Belleville lock and dam, located at
milepost 203.9 on the Ohio River. A team at AEP studied what the sys-
tem-wide ramifications would be if a gate failure occurred at
Belleville, essentially in middle of the Ohio River system. Belleville is
one of six dams (out of 40) that has earned a “D” condition rating by
the Corps. It is expected to fail sometime between today and 2015—
along with four others.
When, not if, Belleville fails, roughly 16.5 million tons of through-
put could be affected, causing a displacement of well more than 1.3
million tons. That failure alone could “add about 6.8 cents per kilo-
watt-hour to the average customer. And the average customer uses
about 100 kilowatts per day. Though $6.80 per day doesn’t sound like
a lot, in a month that’s about $204 more that every electric utility cus-
tomer of AEP would have to pay. And AEP is only one of many utilities
along the Ohio River,” said Darling.
Of course, any increased transportation costs will be further
heaped upon the mountain of other costs from a whole slew of expen-
sive environmental regulations and other burdens conspiring to drive
up the cost of coal-fired generated electricity.
How the Corps of Engineers Spends Its FundsSo why are America’s dams failing and how well has Congress pre-
pared the country by allocating the resources to prevent this looming
systems failure? Not well. Think “neglect.” But, Darling cautioned,
this long-term neglect “didn’t happen under this recession. It didn’t
happen under Obama. This has been occurring over decades.
Congress is not funding lock and dams,” he said. So what you have is
a system constructed for a 50-year life that, through neglect, has seen
its life expectancy actually decrease. However, industry will continue
to use these same locks and dams longer than those planned 50 years.
“It’s a situation that we can’t sustain without some investment,”
Darling said.
Currently maintenance of the Inland Waterways system comes
from both funds allocated by Congress and from a variety of user fees
administered by the Inland Waterways Trust Fund (IWTF). Currently
the barge industry pays a $0.20/gallon diesel fuel tax into the IWTF.
That adds up. AEP alone paid more than $10.2 million into the fund in
2010. A cost-sharing formula was established in 1986 so that half the
lock and dam construction costs are paid out of the IWTF and the bal-
ance from general revenues. This includes construction and major
rehabilitation initiatives.
The Inland Waterways Users Board was also established in 1986 to
advise Congress and the Secretary of the Army about inland water-
ways system priorities and spending levels. Currently the Trust Fund
generates roughly $70-$90 million annually, far less than what is nec-
essary. The modernization needs of the system, as projected by both
AEP and the Corps, far exceeds the annual IWTF revenues. And cur-
i n l a n d w a t e r w a y s c o n t i n u e d
38 www.coalage.com February 2012
rently far too much of those meager revenues are being sucked up by
just one project: the infamous Olmsted Lock and Dam.
Olmsted Lock and Dam: Boondoggle on the OhioThe Olmsted Lock and Dam construction project is actually two pro-
jects at once. One is the actual construction of the new locks and
dam, but also the phasing out of the busy locks 52 and 53. Located
just up-stream of the confluence of the Ohio and Mississippi at Cairo,
Ill., Olmsted replaces these older dams with the one new one. “It’s just
become an enormously expensive proposition,” said Toohey.
In 1988, Congress authorized the Olmstead project at $775 million
for a 12-year construction period. Because of the cost sharing formula
for the initial funding authorization, about half of the cost was to
come out of the IWTF, roughly $387 million over those 12 years.
“What that worked out to was about $32 million a year spread over 12
years to come out of that fund for one project. But the fund is still sup-
posed to fund all of the major projects on all the locks and dams on all
the rivers in the U.S.,” Darling said.
However, the Olmsted project quickly fell behind schedule. After
spending more than $1.3 billion so far, there continue to be problems,
delays, and more delays. Over this time, Olmsted’s project cost has
ballooned to more than $2.1 billion. And now, instead of a 12-year
project, it will take at least 26 years to complete. Worse for the IWTF,
“using the same cost sharing formula, 50% or $1.05 billion will come
out of the fund. That’s $40.3 million per year for at least 26 years. And
the sad part is, the Corps says it doesn’t think it can meet that. So
Olmsted is going to be higher in cost than even this and it’s going to
be a longer timeline to completion. The business model for financing
our navigation infrastructure just isn’t working,” Darling said.
There’s a growing sense of frustration and almost helplessness in
the industry because no other projects can be prosecuted or imple-
mented until Olmsted is back on schedule or completed—or the rules
are changed. “We’re very concerned because the project is com-
manding all the money for this modernization build out, even though
we have 25 other authorized projects. That’s more than $8 billion of
backlogged work that we can’t get to because of the priority Congress
has established for the appropriation of funds,” said Toohey.
So in essence, as those contractors fritter away the time, and
increase the price of the project, Congress has put all other major
waterways projects on hold. “In its defense, Olmsted has great ben-
efits. It returns $8 back to the community for every dollar invested.
It’s a good project, but it’s just become an enormously expensive
project. That’s probably because of the use of experimental engi-
neering technology. They are trying to build a dam in the wet rather
than use traditional structures,” said Toohey.
Then again, the other projects on the drawing boards would gen-
erate lots of revenue and jobs as well. “In the short term we have $8
billion of family wage construction work being held up. The Corps fig-
ures 30,000 jobs per every $1 billion spent, so that’s 240,000 jobs.
Those projects are already authorized, but we need federal funding,”
said Toohey. The majority of them will be located along the Ohio.
Just as importantly, modernization of the waterways will attract
more investments along it, and thus more jobs. “Facilities that are
located along the waterways, precisely because of their ability to
transport goods in a reliable, efficient and environmentally friendly
manner, are now in jeopardy, especially new build outs. “Shell Oil Co.
stated it wants to locate a plant along the Ohio River. It has
announced that it will either be in Ohio, West Virginia or
Pennsylvania to take advantage of the crude oil production in the
Marcellus shale gas. With the multiplier effect factored in, they esti-
mate this plant, including construction, will create another 17,500
jobs,” said Toohey.
Solutions to Difficult and Expensive ProblemsIn an effort to try to fix this failing model, a group of industry stake-
holders including the Coast Guard, the Waterways Council and oth-
ers sat down and hammered out a plan. Titled the “Inland Marine
Transportation Systems Capital Projects Business Model,” the plan
“would allow us to complete 25 projects in a 20-year period as
opposed to seven projects over a 20-year period if we go down the
current path. And I have serious doubts that they’ll even be able to
accomplish the seven projects at the pace they’re going,” said Darling.
The new plan provides for additional revenues for the trust
fund, it re-prioritizes the nation’s investments, and recognizes and
accounts for all the beneficiaries of the water systems, and “it pro-
tects commercial users that cost-share the construction projects,”
said Darling.
The development plan has five elements. The first is to increase
Federal funding for the program from the current $160 million a year
to $380 million. Second, it suggests a way to prioritize the projects so
that those that are ready to go and provide the most benefit would be
funded first. Third, it proposes reforming the core project delivery
process that now takes 40 years to achieve “what we used to be able to
achieve in four years. And finally, it proposes to increase the current
diesel fuel tax of $0.20 a gallon to $0.69 a gallon to help pay for these
projects,” said Toohey.
Indeed, the waterways users would “volunteer to pay more money
for an increased fuel tax,” said Toohey. Stakeholders hope that by tak-
ing a page out of the Warren Buffet playbook and showing a willing-
ness to increase their collective exposure, maybe the government will
follow suit. But so far, as the Great Recession wanes on, Congress’
reception has been decidedly mixed. “Members that understand the
importance of investment and infrastructure support it and those
that are just, ‘no new taxes,’ of course oppose this,” said Toohey.
While industry is prepared to raise its stake, the only thing that
can really save the existing system are more Federal funds. “It really
is going to take convincing Congress that we need more infrastruc-
ture investment. This is not a discussion about raising taxes. It’s
about having the resources to invest so that our economy can thrive.
Congressman Ed Whitfield (R-KY) has agreed to be a champion for
the proposal in House of Representatives. For the sake of the Inland
Waterways system and to maintain the health and viability of our
nation’s industrial heartland, we need to pass the Whitfield bill,”
said Toohey.
i n l a n d w a t e r w a y s c o n t i n u e d
40 www.coalage.com February 2012
Responding to a competitive bid from
Weir, FLSmidth increased its offer to
A$10/share for Ludowici during mid-
February, which values the company at
A$358 million ($384 million). Headquar-
tered in Brisbane, Australia, Ludowici is a
leading provider of vibrating screens, coal
centrifuges, and complementary wear
resistant products and services for the
minerals industries.
During January 2012, FLSmidth sur-
prised many in the mining business when
it announced it had entered into an
agreement with Ludowici offering
$7.20/share. Under that agreement,
Ludowici’s board had granted FLSmidth
access to perform a confidential due dili-
gence. At the time, Ludowici Investments
Pty Ltd. and Julian Ludowici and the
other Ludowici directors, who together
control approximately 22% of the out-
standing shares of Ludowici, said that, in
the absence of a superior proposal,
they would support the deal. In the
meantime, they received a competitive,
non-binding bid of A$7.92/share from
Weir Group plc. They are saying the same
thing again. FLSmidth’s original offer was
also subject to due diligence, but that is
no longer the case.
“Ludowici is a well-known and
respected brand in the coal processing
sector,” said Keith Cochrane, chief execu-
tive, Weir Group plc. “The potential
acquisition would extend Weir’s offering
in minerals processing and expand our
exposure to the attractive and fast grow-
ing coal sector where Weir is relatively
unrepresented. As a part of the global
Weir Minerals business, we would look to
accelerate the growth of Ludowici, con-
sistent with Weir’s 2010 acquisition of
Linatex.”
Acquiring Ludowici would allow both
companies to add to their respective pro-
cessing flowsheets. Weir would gain more
access to coal and FLSmidth would
improve its copper and iron ore offerings.
With 450 employees and approximately
65% of its turnover in Australia, the acqui-
sition of Ludowici would significantly
expand both companies’ presence in an
important mining region. Another impor-
tant aspect of the transaction would be
customer service. Approximately 60% of
Ludowici’s turnover relates to customer
services activities, including spare parts
and consumables.
Vendors Form Global Screening AllianceGermany’s Haver & Boecker, owner of
Ontario-based W.S. Tyler Canada Ltd.,
and Quebec-based Major Wire Industries
Ltd., have reached an agreement to
establish a global screening alliance.
Bringing together their collective experi-
ence of more than 250 years in screening
and a broad product line involving vibrat-
ing screens, washing and pelletizing
equipment and screen media, the
alliance seeks to expand growth opportu-
nities while further strengthening their
current capabilities with customers
throughout North America and globally.
Representing its parent company
Haver & Boecker, W.S. Tyler acquired a
40% share of Major Wire Industries
January 1, 2012, and will purchase the
remaining 60% in 2016.
In North America, W.S. Tyler has
Canadian facilities in St. Catharines,
Ontario, and Edmonton, Alberta, and a
U.S. facility in Salisbury, N.C., while
Major Wire has operations in the
Montreal area, and a U.S. facility in
Puyallup, Wash.
W.S. Tyler management has asked
Major Wire to manage its Salisbury
woven wire facility with the intent to
serve Major Wire’s extensive dealer net-
work throughout the U.S. and in Latin
America. All remaining operations for
both companies within North America
and globally will continue to operate
independently. W.S. Tyler and Major
Wire dealers and representatives
throughout the world will also continue
serving their respective customers and
prospects as they do today.
“Our alliance with Major Wire will
prove to be a unique opportunity for two
family-owned manufacturers to effec-
tively employ their combined strengths
and expertise to the benefit of the North
American and global mining, mineral
and aggregate markets,” said Walter
s c r e e n m ac h i n e s u p dat e
FLSmidth Ups the Ante for Ludowici
42 www.coalage.com February 2012
Ludowici manufactures some of the largest screening machines, such as the multi-slope banana shown here.
Haver, joint owner of Haver & Boecker.
“It is clearly a win-win for all personnel,
sales channels, vendors and most of all,
the customers we serve.”
“A few years ago, I began developing a
succession plan that would ensure that
Major Wire would continue to expand
and provide a long-term opportunity for
our employees after I retire,” said Jean
Leblond, president and owner, Major
Wire Industries. He added that he has
found a partner that shares the same val-
ues, desire to invest in the future, and
focuses on the customer first.
W.S. Tyler pioneered many of the
standards the mining, industrial mineral
and aggregate industries operate under.
The company has specialized in design-
ing, manufacturing and servicing custom
screening technology for more than a
century. It also has an Architecture &
Design division that creates unique
design solutions made out of woven wire.
Since being purchased by Haver &
Boecker in 1997, W.S. Tyler has intro-
duced a new wave of innovation in
screening technology while also branch-
ing out into environmentally friendly
technologies, including washing and pel-
letizing. Major Wire is a leading manu-
facturer of innovative screen media,
including Flex-Mat 3 Tensioned and
Modular and OptimumWire Woven Wire.
Major Wire recently celebrated the
15th anniversary of Flex-Mat indepen-
dently vibrating wire technology, now in
its third generation with Flex-Mat 3
Tensioned and Modular versions. Since
its introduction in 1996, Flex-Mat tech-
nology has revolutionized the screening
industry, providing solutions to common
screening challenges and a way to
increase product value and return on
investment. Previously, self-cleaning
screen media was mostly available
through European manufacturers, result-
ing in long lead times and high costs for
North American screening operations.
Leblond solved this problem when he
began locally manufacturing tensioned
self-cleaning screen media produced
without cross wires that lasts up to three
times longer than traditional woven wire.
Since then, Major Wire has been able to
manufacture the product cost effectively
with competitive lead times for screening
operations throughout the world.
Unique in design, Flex-Mat technolo-
gy is made of crimped wires assembled
side-by-side and held together by dis-
tinctive lime-green polyurethane strips.
Because each wire vibrates independent-
ly, it increases material screening action
and in-spec material throughput, virtual-
ly eliminates blinding, pegging and clog-
ging and reduces downtime spent
cleaning or replacing screen media.
Major Wire further advanced Flex-Mat
technology by introducing 1-foot x 1-foot
(305 mm x 305 mm) panels for modular
screen decks in 2007 and 1-foot x 2-foot
(305 mm x 610 mm) modular panels in
2011. To date, Flex-Mat vibrating wire
technology has been proven in more than
20,000 aggregate, mining and recycle
applications worldwide.
Initially available in Series D and T ten-
sioned panels, Flex-Mat technology was
offered in Series S in 1999 and LFM Harp
Wire in 2001. Introduced in 2005, its third
generation, Flex-Mat 3 Tensioned, provides
more open area and screening capacity
than woven wire. Now available in Flex-
Mat 3 Modular, it also provides more open
area and screening capacity than tradition-
al polyurethane and rubber panels. In both
versions, the technology increases product
throughput by up to 40%. Flex-Mat 3 pro-
vides benefits on every screen box deck:
eliminating near-size pegging on top decks,
producing cleaner retained product
through the middle decks and preventing
fine material blinding on bottom decks.
For tensioned screen decks, Flex-Mat
3’s signature lime-green polyurethane
strips align to the screen box’s crown bars
and hold individual wires in place as they
run from hook to hook. It is available in the
industry’s broadest range of opening
sizes—30 mesh to 4 inches—and with the
widest range of application-specific wire
diameters.
On modular screen decks, Flex-Mat 3 is
available in 1-foot x 1-foot (305 mm x 305
mm) and 1-foot x 2-foot (305 mm x 610 mm)
panels to replace existing polyurethane and
rubber panels on each deck wherever
throughput is compromised or the entire
deck for maximum production. Flex-Mat 3
Modular is available in a variety of attach-
ment systems to fit virtually any flat-surface
deck.
Double Force Rotary Electric VibratorsFor heavy-duty mining and industrial
screener applications, Cleveland Vibrator
Co. coupled rotary electric drives deliver
consistent, reliable force outputs up to
80,000+ lb. These double force rotary
electric vibrators are ideally suited for
applications where more force is needed
than one vibrating motor can generate,
and where division of vibrating force is
essential for the maintenance of equip-
ment intensity.
Coupled Cleveland Vibrator RE-54-8
units have 900 rpm rotary electric vibra-
tor motors that are available in 230, 460,
380 or 575 Volt 3-phase versions. All of
the 900 rpm rotary electric vibrator
motors are rated for continuous duty at
the maximum force setting.
The 10-hp coupled rotary electric RE-
54-8 460V vibrators exert a maximum
s c r e e n i n g m a c h i n e s u p d a t e c o n t i n u e d
44 www.coalage.com February 2012
On modular screen decks, Flex-Mat 3 is available in 1- x 1-ft panels.
force of 10,800 lb with an unbalanced
moment of 1,220 inch-lb. The units draw
29.2 amps at 230 volts and 17.2 amps at
460 volts. The mechanism weighs 1,505
lb, including connecting gear. For spe-
cialized equipment needs, coupled rotary
electric heavy-duty industrial vibrators
can be customized.
In addition to double force rotary elec-
tric vibrators, Cleveland Vibrator also
offers a large stock of more than 50 models
including four frequency ranges, 3,600,
1,800, 1,200 and 900 rpm, and force out-
puts from 30 to 40,000+ lb. The durable
rotary electric line offers the lowest noise
level of any type of vibratory device—an
average of 58bdbA at 4 ft. Permanently
greased bearings require no maintenance.
Continuous duty design allows opera-
tion at maximum force setting in the worst
environments, and without aggravation of
periodic shut down. A simple mechanical
adjustment on the eccentric weights allow
adjustable force outputs. Rotary electric
vibrators from Cleveland Vibrator permit
the eccentrics to be set at any point from
0% to 100% of full force output. The units
are pre-set from the factory at 40%.
The terminal box and cabling have
been designed to withstand vibration,
dust and humidity. The terminal box
itself is packed with a specially devel-
oped compound which is non-hardening
and has high adhesion to protect the
motor leads. The lead cable is an anti-
vibration, butyl rubber insulated, chloro-
prene cabtire cable which guarantees
long life.
s c r e e n i n g m a c h i n e s u p d a t e c o n t i n u e d
February 2012 www.coalage.com 45
The Coupled Cleveland Vibrator RE-54-8 generates motion at low noise levels.
Mining tools, such as conical bits, roof bits, flats radials, etc., have
evolved over the years. Currently, these tools consist of cobalt-
bonded, tungsten carbide bits brazed to steel shanks. When proper-
ly processed, long-lasting tools are produced which combine great
strength, toughness and high hardness.
Early coal mining tools were made of steel, eventually leading to
different types of hardened steel. Then came the carbide revolu-
tion, which began in the 1920s, but really took off after World War
II. The earliest tools with cemented carbide bits increased the life-
time of rock drills by at least a factor of 10 over steel-based drills.
With improvements in cemented carbide technology, this advan-
tage has increased.
Cemented carbides, or hard metals as they are also called, are
produced by cementing ultra-hard tungsten carbide (WC) grains
in a binder matrix of cobalt metal by liquid-phase sintering. The
high solubility of WC in cobalt at elevated temperature and the
excellent wetting of WC by the liquid cobalt results in superior
densification during liquid-phase sintering, and a pore-free struc-
ture. As a result, material is produced which combines great
strength, toughness, high hardness and wear resistance, and is
also readily brazed, which is not the case for pure tungsten car-
bide. The high hardness is necessary for the tools to function
effectively in their working environment. While the various vari-
eties of coal are generally soft, many of the associated minerals are
abrasive, causing excessive wear to metal tools.
Carbide mining tools are produced by a joining process called
brazing, which is a well-established commercial process capable of
producing strong joints. It is widely used in industry because of its
ability to join most metallic materials, including dissimilar metals.
The American Welding Society (AWS) defines brazing as a group of
joining processes that cause the coalescence of materials in the
presence of a brazing filler metal that has a liquidus temperature
above 840°F/450°C, but below the solidus temperature of the base
materials. The filler metal is distributed between the closely fitted
faying surfaces of the joint by capillary action. The term brazing
temperature refers to the temperature to which a material assem-
blage is heated to enable the filler metal to spread and adhere to or
wet the joining metals.
The mining tool parts to be brazed are the steel shank and the
cemented carbide bit. The most common brazing filler alloys used
are shown in Table 1. These melt in the temperature range suitable
for joining of the tools. All three contain manganese, in addition to
nickel, copper and other minor constituents. Manganese is impor-
tant for bonding to cemented carbides. The most common form for
the filler metal is a flat coupon or shim, which is placed between the
steel and the cemented carbide at the bottom of the formed pocket.
Sometimes, additional alloy wire is added to the upper part of the
carbide at peak temperature for additional strength.
Prior to final assembly the carbide bits are coated with flux, by
putting them in containers filled with water-based flux. The coated
bits are then placed on top of the alloy shims within the formed
pocket. Recently a new dispensing machine has become available
specifically for water-based flux; this allows precise and automated
deposits up to 3,600 per hour. The system provides superior resis-
tance to high abrasive constituents, and maintains the flux in opti-
mal condition. Just such a system provides the user with a
successful alternative to petroleum-based product.
o p e r at i n g i d e a s
Brazing of Carbide Mining Tools
46 www.coalage.com February 2012
A miner changes conical bits on a continuous miner. (Photo courtesy of Kennametal)
B Y D R . Y E H U D A B A S K I N
Cemented carbide bits are brazed to a steel shank. (Photo courtesy of Kennametal)
Table 1: Filler Alloys Used in Mining Tools
Composition
Aloy %Ni %Cu %Mn %Zn Solidus Liquidus
Nicuman 23 9.00 67.50 23.50 — 1,700°F/925°C 1,750°F/955°C
Nicuman 37 9.50 52.50 38.00 -— 1,573°F/855°C 1,680°F/915°C
Alloy 548 6.00 55.00 4.00 35.00 1,620°F/880°C 1,691°F/920°C
The fluxes designed for mining tools are water-based, high-tem-
perature brazing paste products, two of which are shown below.
Flux Type Active Temperature RangeWhite Paste Flux 1,400°F/760°C - 2,100°F/1160°C
Boron-Modified Paste Flux 1,400°F/760°C - 2,250°F/1230°C
Both fluxes work exceptionally well in this application, and are per-
fectly matched with the filler alloys used. The white flux performs
best on smaller tools, while the boron-modified flux works well on
larger tools, owing to its ability to withstand higher temperatures
and longer heating cycles. Fluxes are essential when joining metals
in ambient air. Filler metals only wet clean metallic surfaces, and
flux facilitates this.
When heated, fluxes perform five critical tasks:
1) Dissolve or react with surface metal oxides;
2) Protect the cleaned surfaces against re-oxidation;
3) Help transfer heat from the heat source to the joint;
4) Lower the surface tension of the filler metals and the joining sur-
faces; and
5) Remove surface oxides, allowing the filler metal to flow and wet
the joining surfaces.
Finally, when all of the parts are properly arranged within the
pocket, the tools are set on a conveyor system, which moves them
slowly into the heat zone. Induction heating is the preferred
method for brazing the mining tools, and is done in ambient air.
Brazing temperatures in the range 1,900°F/1,047°C –
2,100°F/1,140°C are used. Various techniques are employed to
make sure that optimum bonding occurs between the steel shanks
and the carbide bits. Excellent wetting is a necessary pre-requisite
for achieving the tool strength needed for prolonged operation.
After heating, the brazed tools are generally quenched in water.
Flux residues either come off in the quenching process or when
the tools receive their final cleaning.
Dr. Baskin is president and technical director for Superior Flux &
Mfg., which is based in Cleveland, Ohio. He can be reached at 440-
349-3000 (Email: info@superiorflux.com).
AcknowledgmentThe writer gratefully acknowledges the assistance of Dr. Jonathan
Baskin.
o p e r a t i n g i d e a s c o n t i n u e d
February 2012 www.coalage.com 47
Miners also rely heavily on carbide bits for roof drilling. (Photo courtesy of Kennametal)
Based in Fort Wayne, Ind., Deister Machine Co., Inc. is celebrat-
ing its 100th anniversary as a leading manufacturer of high-qual-
ity feeding, scalping and screening equipment. Deister has
remained a family-owned business since its founding in 1912.
“We continue to build upon our century of service via solid
engineering and customized screening solutions that allow
operators to efficiently meet the most stringent specifications,”
said Deister Chairman and Co-CEO Irwin F. Deister Jr., who
recently marked 60 years of service with the company. Irwin and
E. Mark Deister, president and co-CEO, represent the family’s
third generation at the company’s helm. The company’s dedica-
tion to the industry began with their grandfather, Emil Deister,
the company’s founder.
In the early 1900s, Emil Deister took up the study of ore sep-
aration; and eventually, he would patent his own equipment,
starting with a centrifugal separator that extracted gold from
mercury amalgam, and continuing on to develop ore separating
tables. His table is praised in Taggart’s Handbook of Ore
Dressing, the official textbook at many mining schools, as the
first serious competition to the only other kind of ore separating
table available at the time.
Emil established his business in 1906 as the Deister
Concentrator Co. In 1912, Emil sold his interests in Deister
Concentrator Co. and established Deister Machine Co., Inc.
Deister Machine Co. began manufacturing operations at its
current location. The original building, a 5,500 sq-ft plant, is still
in active use amid a total operation that today spans more than
360,000 sq ft and four plant locations in Fort Wayne. Its line of
equipment includes heavy-duty inclined screens, high-speed
screens, horizontal screens, dewatering screens, and vibrating
feeders and grizzlies. Additionally, Deister recently introduced
its new Ultra-Fines Recovery System, as well as its new line of
Deister Premium Portable Screening Plants.
Deister equipment is in operation in all 50 states, Canada,
and in many countries throughout Latin America, as well as
Europe, Asia and Australia. According to its engineers, Deister
equipment is designed to integrate with all components of the
production system, while delivering maximum performance
and productivity. In fact, some of the earlier models of Deister
vibrating screens are still in operation due to their rugged con-
struction and continued high efficiency.
Additionally, Deister Machine supports its industry by being
active participants in a variety of key organizations. Today,
Irwin F. Deister Jr. and E. Mark Deister are life members of the
NSSGA board, both having served as chairman of its
Manufacturers and Services (M & S) Division. In the recent past,
Deister Vice President of Marketing and Sales Joe Schlabach
served as the chairman of M & S Division.
McLanahan Launches New WebsiteEasy to navigate and designed with the focus to support its cus-
tomers worldwide best describes the new McLanahan Corp. web-
site: www.mclanahan.com. The redesigned site reflects the
company’s new corporate look. The website’s user-friendly nature
provides viewers with more efficient access to information regard-
ing equipment lines, upcoming events, corporate representatives
and more.
The website is divided into six main areas representing the
industries that McLanahan serves: Mineral Processing,
Aggregate Processing, Sampling Systems, Agricultural Systems,
Polymers, and Foundry and Machining. The new features of the
website include photo galleries, representative locators, videos,
animated/still drawings and a McLanahan apparel catalog.
Additionally, visitors are now able to quickly access information
about upcoming news and events, sign-up for a company e-
newsletter, and gain access to its social media sites.
“We are very excited about the launch of the website. The
new design and the interactive features will appeal to our cur-
rent customers and will also allow new customers to be educat-
ed on the equipment and systems that McLanahan is able to
provide as well as expand on the capabilities and continuous
innovations that our company has to offer,” said Sean
McLanahan, CFO, McLanahan.
Bridgestone Americas Establishes Mining Tire Business UnitBridgestone Americas Tire Operations announced the formation of
an integrated mining tire business unit and the reorganization of the
Bridgestone Commercial Group. The new business unit, Bridgestone
Mining Solutions, combines all mining tire sales, service and sales
engineering, as well as a select group of U.S. and Canadian stores,
into one integrated structure. Shawn Rasey will lead the new organi-
zation as vice president, Bridgestone Mining Solutions.
“We are very excited to begin this new chapter with our mining
tire business,” said Kurt Danielson, president, Bridgestone
Commercial Solutions. “The formation of Bridgestone Mining
Solutions will allow us to enhance our mining offerings and be
more responsive to our mining customers’ needs.”
ABB Integrates Mincom as Ventyx Ventyx, an ABB company, recently completed the organizational
integration of Mincom, a leading supplier of enterprise asset and
work management software, following the company’s acquisition
s u p p l i e r s n e w s
Deister Machine Celebrates 100 Years
48 www.coalage.com February 2012
Standing, from left to right: Joe Schlabach, vice president of marketing and sales; Greg
Wood, vice president of manufacturing and production; Dale Loshe, vice president of
engineering; Richard Deister, vice president of customer relations. Seated, from left to
right: Irwin F. Deister, Jr, chairman; E. Mark Deister, president.
last year. The new organization merges the complementary tech-
nologies of three market-leading businesses, Ventyx, Mincom and
ABB Network Control, under ABB.
“Going forward we are strongly positioned to lead the industrial
enterprise software market, which will be mission critical for essen-
tial industries in achieving real-time communication and enterprise-
wide system management to enhance reliability, efficiency and
productivity,” said Jens Birgersson, CEO, Ventyx. “The powerful
capabilities brought together in the new Ventyx portfolio will help
our customers to effectively address strategic initiatives such as the
smart grid, e-mobility, mining and logistics, and new legislation
around safety and cyber security.”
Under one banner, Ventyx will deliver a number of advantages
for customers:
• A broader breadth and depth of solutions and services;
• An expanded global footprint, with increased presence in all
major markets worldwide;
• Comprehensive solutions addressing the full range of core
asset-intensive industries;
• A better model of enterprise business
solutions, one that takes a whole-sys-
tems approach to enterprise asset
health; and
• Increased integration between infor-
mation and operational technologies.
“The Ventyx organization combines
more than 120 years of collective experience
in delivering enterprise solutions to asset-
intensive organizations, and a combined
portfolio offering an unparalleled range of
innovative solutions for our customers,” said Birgersson. “Having
completed the organizational integration of Mincom, Ventyx moves
forward this year as a unified, cohesive operation across all key
functions worldwide—including sales, customer support, R&D,
product management and managed services.”
Eriez Reports Records for Orders & Shipments Tim Shuttleworth, Eriez president and CEO, said the company’s
Erie, Pa., headquarters facility closed 2011 with more than $100
million in orders while Eriez-Japan, the company’s affiliate in
Japan, finished the year with more than $1 billion yen or US$12
million in shipments.
“It’s been a banner year for Eriez across the globe,” said
Shuttleworth. “In addition to exceptional sales and shipment
numbers from Eriez HQ and Eriez-Japan, all Eriez divisions
showed strong performances in 2011. For the first time in our his-
tory, we have exceeded our previous record year worldwide by
more than 40%.”
Increased demand in 2011 prompted Eriez to expand its opera-
tions in five countries. Eriez purchased an additional building in
Erie, approximately 15 miles from its World Headquarters.
Internationally, the company is also expanding in Canada, China,
India and the United Kingdom.
“Eriez is known around the world for unmatched customer ser-
vice and cutting-edge product offerings,” said Shuttleworth. “As we
enter 2012, our 70th year in business, we foresee ongoing growth
through our continued dedication to investing in new products and
technologies for the many industries we serve. We also plan an
increased emphasis on customer training and education through
our Orange University Mobile Education Resource Center.”
s u p p l i e r s n e w s c o n t i n u e d
February 2012 www.coalage.com 49
Jens Birgersson.
A safe, strong, tight-sealing ventilation-con-
trol man door is reducing personnel risk,
maintenance work and energy costs in a
growing number of mines. Designed and
built by mining-industry veterans, the
patented Zero Man Door stands up to con-
vergence and heaving that cause conven-
tional mine doors to leak, warp and jam.
“These things are solid as a rock,” said
Western Pennsylvania Mine Foreman Larry
Cassidy. He has installed hundreds of Zero
doors at CONSOL Energy’s Bailey mine in
Wind Ridge, Pa. “Ventilation leakage was
costing us a lot,” Cassidy said. “Now our air-
flow is better than it’s ever been, and we’re
saving money on maintenance. Zero doors
seal tightly, stay tight and don’t have to be
replaced as often as other doors.”
According to Allan Bunner, vice presi-
dent, Zero Man Door in Pittsburgh, the
Zero design is a response to real-life chal-
lenges. “We spent months talking to mine
operators, ventilation people and individ-
ual miners. They showed us mine doors
that folded up under pressure, were diffi-
cult and dangerous to operate, and wasted
air and energy.”
“We engineered a whole new solu-
tion, from the ground up.” The result, he
said, is the toughest man door, with
heavy, galvanized, 10-gauge steel-tube
frames and 16-gauge door panels. In the
field, our customers are seeing much
higher reliability and productivity, and
much less downtime,” said Bunner
Standard Zero safety features include
rolled door edges that won’t snag skin,
clothes or equipment; high-visibility warn-
ing reflectors; and an exclusive auto-closing
mechanism that eliminates slamming and
keeps body parts out of harm’s way. For safe
travel between high- and low-pressure
spaces, each door is equipped with a built-
in equalizer port to minimize air-control
disruption. The port doubles as a conve-
nient rock-dusting access point.
“Our simple, modular design makes
installation a snap,” said Bunner. “Using
one simple tool, one or two men can
assemble several doors in a single shift.
For maximum flexibility, our standard
sizes range from 30- x 30-inches to 48- x
60-inches—all with adjustable frames that
fit 6-inch, 8-inch, and thicker stoppings.
“Zero doors seal better,” Bunner said.
“With sure-tight latching handles and extra-
durable fiberglass gaskets, they keep venti-
lation air where it belongs, more reliably
than conventional doors can.”
www.zeromandoor.com
Chain Monitoring SystemStrainstall Marine, a UK-based load cell
manufacturer, has launched a new sys-
tem for monitoring the tension in chains
used for longwall mining systems. It pro-
vides operators with data on the tensions
in the chains, and should the loads reach
pre-set limits, the system has the facility
to decrease/increase tension in the
chain, generate alarms to warn operators
to take corrective action before any
breakdown occurs or stop the conveyor.
“Operators no longer have to worry
about chain overloading and potential sys-
tem failure, which has the additional benefit
of providing significant cost savings from
both improved operation and increased
chain life,” said Adrian Coventry, engineer-
ing director, Strainstall. “Also, as it uses our
load cells and pins that have many years of
proven use in harsh environments, they are
can be assured our system will provide long
term, hassle-free operation.”
The system uses Strainstall load pins or
compressive load cells to measure the ten-
sion in the armored face conveyor chain.
Specifically designed to operate in extreme
temperatures and resistant to high moisture
levels, abrasive materials and vibration,
both the load pins and load cells are idea for
use in the harsh conditions found under-
ground. The load pins are also resistant to
the effects of metal fatigue, a condition
caused by being subjected to repeated
cyclic loads. www.strainstallmarine.com
Intrinsically Safe RadiosThe Kenwood TK-2360/3360 portable
radio will now has an Intrinsically Safe (IS)
50 www.coalage.com February 2012
p r o d u c t n e w s
Man Doors Keep Mine Air Where It Belongs
The new Zero Man Door is a tight-sealing vetilation conrol man door that reduces personnel risk, mainte-
nance work and energy costs.
option. The new KNB-40LCV IS battery is
an IS-certified 1950 mAh Lithium Ion bat-
tery for use with the TK-2360/3360 hand
held radios with the IS option.
www.kenwoodusa.com
Wireless Gateway Access PointLaird Technologies has released its new
APG BT W400 wireless access point gate-
way. The new gateway is ideal for M2M
wireless communications and for connect-
ing Bluetooth enabled devices in a Personal
Area Network to IP network via Ethernet or
WLAN interface. It offers four class 1 BT
modules, Ethernet and WLAN communica-
tion as a standard package. Built on an
embedded Linux operating system, the
device supports application development
and customization using Lua scripting lan-
guage and optional support for Python,
and Java. www.lairdtech.com
Multi-Use TiresThe new Double Coin REM-15 all-steel
radial off-road tires for designed specifical-
ly for loaders and large graders. “Double
Coin has designed the REM-15 to offer low-
er operating costs without compromise in
performance,” said Aaron Murphy, vice
president, China Manufacturers Associa-
tion. The REM-15 is engineered with a wide
footprint offering excellent traction, flota-
tion and ride. It is currently offered in the
17.5R25 size, but will be expanded to larger
sizes in the future. It is eligible for the stan-
dard Double Coin ROTR warranty.
www.doublecoin-us.com/dealers
Minibar Warning LightsECCO’s 5585 Reflex Class I LED minibars
provide a compact yet powerful warning
solution that offers the flexibility of either
permanent or vacuum-magnet mounting.
Featuring 12-24 VDC operation, the 5585
Series uses high intensity LEDs and reflec-
tive technology to maximize light output.
Users can select from 18 flash patterns,
either via trigger wire on permanent mount
models or cigarette plug switch on magnet-
ic models. Permanent mount models can
also be synchronized to operate multiple
lights alternately or simultaneously. The
5585 meets SAE J595 Class I and California
Title 13 requirements and has a three-year
warranty. www.eccolink.com
p r o d u c t n e w s c o n t i n u e d
February 2012 www.coalage.com 51
February 2012 www.coalage.com 53
COAL PREPARATION CONSULTANTS AND SERVICES
CONSULTANTS AND SERVICES
TARGET YOUR MARKET WITH
CLASSIFIED ADVERTISING!
For more information contact:
Norm Rose at(770) 664-0608 or
nrose@mining-media.com
FOR MORE INFORMATION ON CLASSIFIED ADVERTISING VISIT WWW.COALAGE.COM
54 www.coalage.com February 2012
CONSULTANTS AND SERVICES
Specializing in Preparation Plant and Material
Handling Design for the Coal and Aggregate
Industries, maintenance and upgrade of
existing systems, emergency projects and
"turn key" installations.
ROCK & COAL CONSTRUCTION, INC.
P.O. BOX 1457
CRAB ORCHARD, WV 25827
Phone: 304-683-5600 / Fax: 304-683-5601
E-mail: dsayre@rockandcoal.com
One Source Solution for All YourIndustrial Electrical Contracting Needs
“Leader in Industrial Electrical Design &
Installation That Constantly Exceeds Customer
Expectations in Quality and Performance”
Ashland, KentuckyPhone: 606/928-2074 Fax:606/928-0093
www.cwelectricinc.com
SILOS - STACKING TUBES
New construction, repairs & inspections
419-294-5609 419-294-6963 fax
www.san-con.com
e-mail: san-con1@san-con.com
Make an Impactwith Professional Industrial Photography & Media
Specializing In Undergroundand Mining Images
Please contact Lee Buchsbaum: lee@lmbphotography
303.746.8172 (cell) • 303.993.7290 (office)
www.lmbphotography.com
FOR MORE INFORMATION ON
CLASSIFIED ADVERTISING
VISIT WWW.COALAGE.COM
TARGET YOUR MARKET WITH
CLASSIFIED ADVERTISING!
For more information contact:
Norm Rose at
(770) 664-0608 or
nrose@mining-media.com
GO TO WWW.COALAGE.COM
FOR SALE
ADVERTISING INDEX
PAGE
Blastcrete Equipment Co ............................................................................................21
Caterpillar ..................................................................................................................11
Coal Handling & Storage 2012 ..............................................................................34-35
Coal Prep 2012............................................................................................................41
Derrick Corp ................................................................................................................47
Eickhoff......................................................................................................................2-3
Elgin Equipment Group/Tabor......................................................................................13
Henry Repeating Arms ................................................................................................37
Huesker ......................................................................................................................25
Inpro/Seal Co ..............................................................................................................BC
Jennmar ....................................................................................................................IBC
Joy Mining Machinery ..................................................................................................27
Komatsu ........................................................................................................................9
L&H Industrial ............................................................................................................15
Longwall Associates ....................................................................................................19
McLanahan..................................................................................................................17
Minasco ......................................................................................................................45
MINExpo 2012..............................................................................................................43
MTU ............................................................................................................................39
P&H Mining ................................................................................................................IFC
Polydeck Screen ..........................................................................................................33
Samson........................................................................................................................32
Social Media Connections............................................................................................51
United Mining..............................................................................................................49
Weir Slurry Group ..........................................................................................................5
February 2012 www.coalage.com 55
This index is provided as an additional service. The publisher does not assume liability for errors or omissions.
TARGET YOUR MARKET WITH CLASSIFIED ADVERTISING!
Norm Rose at(770) 664-0608 or
nrose@mining-media.com
For more information contact:
HELP WANTED
GO TO WWW.COALAGE.COM
During the last three years, the Secretary of
Labor has lived up to her self-described “new
cop on the street” persona. Industry readers
have not been surprised to see that enforce-
ment and penalties at MSHA and OSHA have
increased significantly. What may be shocking,
however, is the expansion of MSHA and OSHA’s
power through “executive fiat” by all levels of
the agencies, and by their inspectors in the
field. No better example exists than MSHA’s recent abuse of its clo-
sure order powers.
Since created by the 1977 Federal Mine Safety and Health Act,
closure orders applied only to areas affected by the violation or haz-
ard involved as described by the statute. Even when issued to close
specific affected areas, MSHA closure orders have always permitted
mine operator personnel to enter in order to evaluate and abate the
conditions identified by the orders. Such entry is allowed under the
Act. Under MSHA’s new view of its power, these restrictions on clo-
sure orders no longer apply, which has created vastly difficult oper-
ating circumstances, risks of massive and irreparable harm, and even
serious safety and health risks never intended by the statute.
Two recent examples illustrate the MSHA power grab, its illegali-
ty, and the new MSHA’s lack of logic, expertise and enforcement
“above all” approach. In MSHA’s history, prior to 2011, in the rare
instance when a roof fall in a mine resulted in a closure order, the
closure order was limited to the immediate area affected by the fall.
Moreover, only certain roof falls were deemed immediately
reportable to MSHA, likely because they unfortunately are more
common in underground mines, and also because they are often
intentionally caused by normal mine operations such as blasting or
scaling to improve roof conditions. These immediately reportable
falls—“accidents”—as defined by MSHA, impeded passage or venti-
lation, caused injury or death, or occurred above the anchorage zone
of roof bolts. In turn, these “accidents” triggered MSHA closure order
authority under Section 103(k) of the Mine Act.
Recently, MSHA changed its interpretation and issued a Section
103(k) closure order for an entire mine under the theory that if a roof
fall occurred at a particular location, the operator could not guaran-
tee that it would not fall somewhere else and cause a serious injury
or death.
This power grab resulted in expanded closure for even a non-
reportable roof fall, which did not cause injury, was not above the
anchorage zone, and did not impede passage or ventilation. In fact,
the fall occurred during scaling with a protected mechanical scaler,
including a reinforced operator cab, in a remote area where a miner
was intentionally trying to bring down what he perceived to be a
potentially loose roof.
MSHA demanded the mine install bolt and mesh everywhere
as a condition of re-opening the mine, even though it had a 60-
year history of safe conditions without bolting and meshing in
miles of entries, and had a roof control plan approved by MSHA
requiring bolts and mesh to be used only as needed in identified
areas. Experts with extensive experience in the geological condi-
tions that MSHA demanded created unneeded risks by excessive
roof drilling, but those views were rejected. Instead, MSHA relied
on its own self proclaimed “expert” who had no experience what-
soever in similar mines or geological conditions and had never
seen or inspected the roof fall that caused the mine closure.
Ironically, the Administrative Law Judge vacated the MSHA cita-
tion for an alleged violation of the ground control regulatory man-
date issued in conjunction with the roof fall and the order, yet the
mine is still prevented from production even though there was no
violation of law.
At the time this article was written, the mine was forced to limit
its operations to the installation of bolts and mesh for the previous
90 days while it awaited the decision of a U.S. Circuit Court of
Appeals on its challenge to the Closure Order and its request for a
modification of the Order, which the Administrative Law Judge and
the Review Commission upheld, stating, contrary to established law,
they did not have the authority to modify it. While getting before a
circuit court of appeals in less than 90 days on an enforcement chal-
lenge may have set a record, it is no consolation to the operator
whose mine remains closed and whose rights have been trampled
upon by the “new cop on the street.”
This is not the only example of MSHA expanding and abusing
its closure order authority and application. A methane reading in
one mine section resulted in the entire mine closure of a large,
multi section coal mine, regardless of the fact that the methane
was immediately rendered harmless by ventilation and carried
away. Subsequent readings were within limits and the rest of the
mine did not experience any methane blips and recorded normal,
effective ventilation.
So what is to be done? One approach heard occasionally is to not
challenge MSHA because the agency may “get mad” and the situa-
tion worse. We disagree. We believe that those who accept illegal
MSHA enforcement will be treated like a kid surrendering to a bully,
and invite more bullying. Instead, we believe legal contests of ques-
tionable MSHA enforcement actions, combined with political efforts
to inform friendly members of Congress of the abuse and seek their
assistance, are worth the effort. We also believe that combined legal
and political strategies present real opportunities for winning and
demonstrating that a company will not simply agree to illegal clo-
sures, making MSHA and its inspectors reluctant to act illegally again
at the same mine or company.
Moreover, challenges to questionable closure orders can limit
losses resulting from the orders; particularly if expedited and emer-
gency hearings are held forcing MSHA to prove quickly that they act-
ed legally and correctly, a difficult burden for the “new cop on the
street” who ignores the law and acts irrationally, without sound engi-
neering and safety rationales. Of course, there are never guarantees
of winning in the legal or political forums, but from our perspective
it’s the only strategy that makes sense until there is yet another “new
cop” on the beat, with a better sense of the law and real expertise in
the industry they are regulating.
Chajet is a partner with Patton Boggs LLP. He can be reached at
202-457-6511 or by e-mail hchajet@pattonboggs.com.
56 www.coalage.com February 2012
l e ga l ly s p e a k i n g
B Y H E N R Y C H A J E T
MSHA Stretches the Law and Expands
Mine Closure Orders