This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Company Eyes Coal On Montana's Crow Reservation


BILLINGS, Mont. (AP) â¿¿ A mining company plans to start exploratory work this spring on an estimated 400 million tons of coal beneath Montana's Crow Indian Reservation, adding to a spate of recent interest in the region's huge coal reserves despite flagging domestic demand for the fuel.

Signal Peak Energy is eying a future mine on private property within the reservation's boundaries known as the Hope Ranch.

The exploration area covers more than 7,000 acres and is just a few miles from the neighboring Northern Cheyenne Reservation, according to an analysis of the project by federal officials. The site is about 30 miles north of the Wyoming border.

Signal Peak operates the Bull Mountain mine north of Billings and exports much of its coal to customers in Asia.

Its pursuit of coal on the reservation follows a January deal signed by Crow leaders including tribal Chairman Darrin Old Coyote that gave another company rights to lease an estimated 1.4 billion tons of coal. Wyoming-based Cloud Peak Energy agreed to pay the tribe $2.25 million up front and additional payments in coming years could add up to $10 million.

Before any decision is made on a mine at Hope Ranch, Signal Peak President John DeMichiei said the company will need to analyze drilling samples. Those will be collected in coming months to gauge the coal's quality and more accurately define how much is there.

The 400-million-ton figure is only an initial estimate, he said.

"Obviously there's a lot of potential in Montana," DeMichiei said. "We've developed a world-class operation in Signal Peak, and we have the opportunity to do that elsewhere in Montana on a similar level."

The only coal mine now on the reservation is Westmoreland Resources' Absaloka mine, which opened in 1974 and produces about 6 million tons annually.

1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $93.74 0.00%
FB $117.58 0.00%
GOOG $693.01 0.00%
TSLA $240.76 0.00%
YHOO $36.60 0.00%


Chart of I:DJI
DOW 17,773.64 -57.12 -0.32%
S&P 500 2,065.30 -10.51 -0.51%
NASDAQ 4,775.3580 -29.9330 -0.62%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs