Peabody to start production at School Creek Mine

Gillette, Wyo. – Peabody Energy has announced plans to start production next year at the School Creek mine in the Powder River Basin.

The company plans to complete its permitting for the mine in the first half of next year. The mine, which has an estimated 800 million of tons of coal reserves, would be the first to open in Campbell County since 1998.

CEO Greg Boyce told investors during a conference call that the mine will provide higher quality coal than that of Peabody's other Powder River Basin mines.

The company first announced plans for the mine in 2006 after it exchanged 60 million tons in reserves with Arch Coal and bought the rail and surface buildings at the former North Rochelle mine.