Permitted Utah Coal Mine for Sale

Scofield Area & Kinney #2 Coal (Permitted)

Mine Details

Commodity: Coal
Location: USA, Utah
Terms: For Sale, Negotiable
Price: $12.625 Million

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This permitted mine is located in Scofield, UT with over 26 million tons recoverable low sulfur coal with another 25 million tons available by acquiring nearby leases.

Scofield, UT, USA

Kinney project lies in a mature coal producing region, the Uinta Basin in Utah, and has a JORC-compliant coal resource of 26 million mt which the company has the opportunity to increase by acquiring nearby leases (25+ million tons)

Kinney thermal coal has a relatively high calorific value of 6,500-6,780 kcal/kg on a net as-received basis, ash of 7-9.5% and sulfur of 0.5-0.9%.

The Kinney project lies 500 meters from the Union Pacific transcontinental railway.

Two US coal producers, Arch Coal with its 3 million mt/year Skyline mine and America West Resources' mine producing 250,000 mt/year are located within 10 km of the Kinney project.

The Union Pacific spur line provides rail access to most existing and proposed ports throughout North America, and also interchanges traffic with the Canadian rail systems.

Union Pacific has recently completed a feasibility study on expanding coal train traffic on its Utah railway.

Electrical power line literally passes over portal - No power lines to be constructed

Strategic location–western-most of Uintah Basin Mines - Provides competitive edge to supply IPP, Nevada Power, (among others) and export from west coast

Truck haulage to Carbon Plant (Helper Ut.) Gadsby Plant in SLC and IPP should rail problems occur

High Quality Steam Coal - Transport cost/Kcal is lower with high calorific value coal

Good Mining Conditions anticipated and extensive successful mining experience in adjacent mines in the same seam, same enclosing strata and same hydrologic regime

Negligible Methane Gas - Joints have released most gas to the atmosphere

Negligible ground water – mostly high and dry

Maximum 1,500 feet of overburden with an average ~ 1,000 feet

Proximity to labor force and support industries - Carbon – Emery – Sanpete Counties have experienced miners College of Eastern Utah has opened a miners training school less than forty miles from the property

Long history of coal mining in Carbon – Emery Counties provides excellent mine supply and support industries