“Revelation, the parent company of Blackjewel, was unable to find a buyer for 33 permits across Eastern Kentucky. All of those permits were previously bought from bankrupt coal companies.
These permits have an estimated reclamation cost of more than $41 million. After proceeds from bonds, the state could be left to pay an additional $28 million if all are abandoned. The company has more than 500 environmental violations in Kentucky.
Mary Cromer, an attorney at Appalachian Citizens’ Law Center who represented citizen groups in the case, said she has concerns about how the shortfall will play out.
It’s also not certain that all of the permits with a buyer will ultimately be transferred. Some of the companies have already indicated problems with bonding and liquidity, Cromer said.
Cromer said waiting another six months for potential buyers could cause conditions on the permits to degrade significantly and increase the cost of reclamation.”
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