Interior Secretary Ken Salazar Announces Wyoming Coal Leases

Governor Matt Mead stood with Secretary of the Interior Ken Salazar Tuesday as the Secretary announced four new coal leases in the Powder River Basin.

“I applaud Secretary Salazar and his agency for moving forward with these leases. The electricity our country needs to thrive has to come from somewhere and right now coal powers many of our cities and industries. This coal also keeps Wyoming men and women working.” -Governor Matt Mead

Secretary Salazar said the total bonus bids and royalty payments over the life of these leases are estimated to generate $13.4 to $21.3 billion, 48 percent of which would go to the State of Wyoming according to a release from Governor Mead's office.

During the announcement Secretary Salazar also said that these lease sales are the first of more than a dozen the Bureau of Land Management plans to hold over the next three years. Governor Mead thanked the Secretary for recognizing Wyoming’s coal and its role in producing electricity for the nation.

“America gets 20% of all of its electric power from Wyoming coal. This is not a source of electricity we can turn off any time soon and I’m glad President Obama and Secretary Salazar realize this.” -Governor Matt Mead

The four sales, responding to Lease by Application (LBA) filings from companies to continue efficient operations and production from existing Powder River Basin coal mines, will be held in Cheyenne in a sealed bid process.

The anticipated sale dates of the four tracts announced today are:

May 11 -- West Antelope II North Coal Tract, a 2,837.63 acre area containing an estimated 350 million tons of mineable coal; offered in response to a LBA filed by Antelope Coal LLC.

June 15 -- West Antelope II South Coal Tract, a 1,908.6 acre area containing an estimated 56 million tons; offered in response to an LBA filed by Antelope Coal LLC.

July 13 -- Belle Ayr North Coal Tract, a 1,671.03 acre area containing an estimated 222 million tons; offered in response to an LBA filed by Alpha Coal West.

August 17 -- Caballo West Coal Tract, a 1,023.99 acre area containing an estimated 130million tons; offered in response to an LBA filed by Caballo Coal Company.