Coal revenue

One of the world’s largest coal companies has withdrawn its application for a federal coal lease in the Powder River Basin. Arch Coal’s move is part of a bigger slow down in sales of Wyoming coal leases. According to the Bureau of Land Management, there are currently six leases pending. But the last one that was actually sold was in 2012. 

creative commons

The US government isn’t getting the full fair market value from coal lease sales on public lands. That’s according to a report released today by the Department of the Interior’s Office of Inspector General.

The report says recent lease sales potentially undervalued the coal by $62 million. The Bureau of Land Management appraises the leases instead of using the DOI’s Office of Valuation Services like its rules say it should, and the BLM does not take into account increased exports of coal abroad.