Company Bids Penny-Per-Ton for US Coal Sale: Only Bid Received
Navajo Transitional Energy Co. (NTEC) submitted a bid of $186,000 for a federal coal lease in southeastern Montana, marking the largest U.S. coal sale in over a decade. The offer, equating to one-tenth of a penny per ton, highlights coal’s decreasing value despite efforts to increase its mining and burning. While the sale occurred near NTEC’s Spring Creek mine, which faces declining domestic demand as power plants retire, the lease is located in the Powder River Basin. The future demand for this coal is uncertain, especially since many plants have chosen alternatives such as natural gas, wind, and solar.
John Q. Hosedrinker