ST. LOUIS, Sept. 16, 2011 /PRNewswire/ -- Patriot Coal
Corporation (NYSE: PCX) today provided an update on its 2011 third
quarter production. Due primarily to geological issues
impacting the Company's two longwall mines, as well as the early
closure of a thermal mine, production in the third quarter is
expected to be down approximately 450,000 tons.
As previously disclosed, the longwalls at both the Federal and
Panther mines were scheduled to be moved during the third quarter.
In both cases, the longwall moves extended beyond the
expected timeframe. Production at the Federal longwall was
down over six weeks during the quarter as a result of geologic
challenges that delayed the start of the move, as well as equipment
issues impacting the restart process. At Panther, difficult
geology is expected to result in lower volumes in the third
quarter, in addition to the scheduled longwall move.
Further, the Company closed a contractor-operated mine in the
Big Mountain complex during the quarter. The thermal coal
mine experienced a significant roof fall in August, believed to be
a result of the earthquake centered near Washington, D.C.
As a result of the lower production, Patriot now expects average
cost per ton for its Appalachian operations will be several dollars
higher than the previous guidance provided for the 2011 third
quarter. The Company plans to provide guidance for the
remainder of 2011 in conjunction with its third quarter earnings
release in October.
About Patriot Coal
Patriot Coal Corporation is a leading producer and marketer of
coal in the eastern United States,
with 14 active mining complexes in Appalachia and the Illinois Basin. The Company ships to
domestic and international electricity generators, industrial users
and metallurgical coal customers, and controls approximately 1.9
billion tons of proven and probable coal reserves. The
Company's common stock trades on the New York Stock Exchange under
the symbol PCX.
Forward-Looking Statements
Certain statements in this press release are forward-looking as
defined in the Private Securities Litigation Reform Act of 1995.
These statements involve certain risks and uncertainties that
may be beyond our control and may cause our actual future results
to differ materially from expectations. We do not undertake
to update our forward-looking statements. Factors that could
affect our results include, but are not limited to: price
volatility and demand, particularly in higher margin products;
geologic, equipment and operational risks associated with mining;
changes in general economic conditions, including coal, power and
steel market conditions; coal mining laws and regulations; the
availability and costs of competing energy resources; legislative
and regulatory developments; risks associated with environmental
laws and compliance, including selenium-related matters;
developments in greenhouse gas emission regulation and treatment;
negotiation of labor contracts, labor availability and relations;
the outcome of pending or future litigation; changes in the costs
to provide healthcare to eligible active employees and certain
retirees under postretirement benefit obligations; increases to
contribution requirements to multi-employer retiree healthcare and
pension plans; reductions of purchases or deferral of shipments by
major customers; availability and costs of credit; customer
performance and credit risks; inflationary trends; worldwide
economic and political conditions; downturns in consumer and
company spending; supplier and contract miner performance and the
availability and cost of key equipment and commodities;
availability and costs of transportation; the Company's ability to
replace coal reserves; the outcome of commercial negotiations
involving sales contracts or other transactions; our ability to
respond to changing customer preferences; failure to comply with
debt covenants; the effects of mergers, acquisitions and
divestitures; and weather patterns affecting energy demand or
disrupting coal supply. The Company undertakes no obligation
(and expressly disclaims any such obligation) to publicly update or
revise any forward-looking statement, whether as a result of new
information, future events or otherwise. For additional
information concerning factors that could cause actual results to
materially differ from those projected herein, please refer to the
Company's Form 10-K and Form 10-Q reports.
SOURCE Patriot Coal Corporation