WVCA Lauds Trump Pledge to Restore American Industrial and Mining Jobs: 

Team of Trump and Cole Provides Leadership We Need to Rebuild our Economy

CHARLESTON – The West Virginia Coal Association President Bill Raney today issued the following statement lauding presumptive GOP nominee for President Donald Trump for his comments following last night’s victories in the nation’s final primaries.

Sierra Exif JPEG“Last night, Donald Trump made it absolutely clear that he is who we need as president if we want to restore our nation’s economy,” Raney said. “And he reminded us all of what America can be if our industries are allowed to compete on a level playing field.

“As Mr. Trump said in his brief comments following his wrapping up the party’s nomination, ‘Every election year politicians promise change and every year they fail to deliver. And the one thing we have learned is we can’t solve our problems by relying on politicians who have created our problems.’

“For the past eight years, the Obama administration has done everything possible to put our coal miners out of work and destroy the nation’s coal industry, and Hillary Clinton has promised the same thing! We can’t afford another four or eight years  of leaders who have shown themselves willing to destroy our own basic industries while bankrupting our nation.

“Mr. Trump is right, our coal miners – our wonderful and hardworking miners, who have been absolutely and totally mistreated by this administration – deserve respect for the work they have done and continue to do to make this country great.  They absolutely don’t deserve to be the target of ridicule and callous disregard for their economic futures.

“Mr. Trump says he “will reduce regulatory pressures from their current insane levels” and bring an end to the War on Coal.  When this occurs and we return to a situation in which the market determines winners and losers I am certain we can once again compete and restore our coal mining jobs. Our coal is the best in the world. Our coal miners are the best in the world, and given a fair chance, they can compete with anyone, anywhere.”

“Mr. Trump says he is a ‘fighter’ and if he is forced to fight he ‘will never back down.’ Our coal miners are too. We have fought this fight for almost eight years and we will not stop.

“West Virginia is suffering.  America is suffering, but as Mr. Trump says, we CAN turn this around.

“We believe the team of Trump and GOP Gubernatorial Candidate Bill Cole provides the leadership our state and our nation needs as we restore our economy and our people’s faith in the greatness of America.  And yes, it is long past time to put America – and West Virginia – first once again. “

 

 

 

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U.S. Coal Production Off 38 Percent from 2015

Weekly Coal Production & Price Report (March 31, 2016)

Coal Commodity Region/Fuel Avg. BTU SO2 Price Price/mmBTU
Central Appalachia 12,500 1.2  $      42.25  $               1.69
Northern Appalachia 13,000 3  $      48.60  $               1.87
Illinois Basin 11,800 5  $      32.20  $               1.36
Powder River Basin 8,800 0.8  $        9.45  $               0.54
Uinta Basin 11,700 0.8  $      38.05  $               1.63
Natural Gas (Henry Hub)

n/a

0.01

n/a

 $               1.79

By T.L. HEADLEY, MBA, MA

CHARLESTON – According to the latest reports from the Energy Information Agency (EIA), coal production in the U.S. continues to slide, finishing the week off by 38 percent from 2015 totals. Meanwhile spot prices for coal continue to hold steady as they have for the past month. Natural gas spot prices, however, continue to slide.

According to the EIA’s April 1, 2016 weekly report, U.S. coal production for the week totaled just 11.60 million tons, down from 18.84 million tons for the same week in 2015. Year to date production totaled just 157.27 million tons, down from 227.45 million tons (down 30.9 percent). And for the previous 52 weeks, production was off by 17.4 percent, down from 819.97 million tons from 992.90 million tons in 2015.

The decline in coal production was reflected in rail car loadings, which were off 37.8 percent from for the week to just 66,281. This decline in rail traffic is almost entirely due to the decline in coal production and has resulted in both major eastern rail systems announcing major restructurings. CSX recently announced it is closing its regional headquarters in Huntington, West Virginia. Norfolk Southern likewise announced it is closing the Bluefield, West Virginia offices.

Coal exports for the month of January (the most recent data available) were sharply below last year. Metallurgical coal exports are off by 38.5 percent from January 2015 and steam coal exports are off by 54 percent. Imports of coal into the U.S were down for the month by 46.4 percent.

Electric output was down 4.6 percent compared to the same week last year, with 67,690 MWH of electricity produced compared to 70,933 MWH produced for the same period last year.

Domestic steel output was up was up from the previous week.

According to numbers from the American Iron and Steel Institute, in the week ending March 26, 2016, domestic raw steel production was 1.68 million net tons while the capability utilization rate was 71.6 percent. Production was 1.60 million net tons in the week ending March 26, 2015 while the capability utilization then was 67.7 percent. The current week production represents a 4.6 percent increase from the same period in the previous year. Production for the week ending March 26, 2016 is up 0.4 percent from the previous week ending March 19, 2016 when production was 1.69 million net tons and the rate of capability utilization was 71.3 percent.

Adjusted year-to-date domestic raw steel production through March 26, 2016 was 21.5 million net tons, at a capability utilization rate of 70.3 percent. That is down 3.4 percent from the 22.3 million net tons during the same period last year, when the capability utilization rate was 72.1 percent.

In terms of regional coal production, all three major basins report significant decreases from 2015.

The Appalachian Basin finished the week at 2.81 million tons, down from 4.83 million tons in 2014 (-42 percent). Interior Basin production also finished the week down, at 2.19 million tons compared to 3.51 million tons last year (-38 percent). Western production finished the week at 6.60 million tons from 10.30 million tons last week (-36 percent).  All three basins remain down significantly for the previous 52 weeks, with the Appalachian Basin off 23.1 percent, the Interior Basin off 17.3 percent and the Western Basin off 14.7 percent.

According to the West Virginia Office of Miners’ Health Safety and Training, coal production in the state stands at 11.66 million tons through March 24th. Of that total, 9.66 million tons was mined by underground operations and 2.01 million tons was produced by surface mining. Only 62 mines have reported production in December2015. Several large operations have idled production due to financial restructuring or in response to slack demand.

However, according to WVOMHST, coal mining employment in West Virginia has fallen sharply to just 11,907 total active miners, with 9,782 working underground and 2,125 working on surface operations. The office does not report data for contract miners or preparation plant workers on a weekly basis.

According to EIA, West Virginia coal production for the week totaled 1.23 million tons, off from 2.11 million tons for the same week in 2015 – down 42 percent.

Production was down in both the northern and southern coalfields of West Virginia compared to the same week in 2015 by 39 percent and 45 percent respectively. For the week, northern West Virginia production finished up at 628,000 tons versus 617,000 tons last week and 1.03 million tons last year. Southern West Virginia, however, finished down at 601,000 tons versus 588,000 tons last week and 1.07 million tons a year ago.

Coal production in Kentucky ended the week at 774,000 tons produced, down from the 1.31 million tons from 2015. Eastern Kentucky coal operations finished the year at 344,000 tons, down from 596,000 tons. Meanwhile, western Kentucky coal operations finished at 431,000 tons versus 710,000 tons in 2015.

Wyoming coal production finished the week at 4.92 million tons versus 7.73 million tons in 2015, off by 36 percent.

Illinois coal production finished the week at 839,000 tons versus 1.3 million tons for the same week in 2015.  Indiana production, however, fell significantly, finishing at 461,000 tons versus 734,000 tons for the month a year ago. Ohio production finished the week at 205,000 tons versus 398,000 tons for the week in 2015. Pennsylvania production was down, finishing the week at 634,000 tons versus 1.1 million tons in 2014. Virginia coal production continues to tall, finishing the year down at 140,000 tons versus 286,000 tons for the year in 2015.

Coal prices on the spot market were unchanged this week. Central Appalachian coal finished the week at $42.25 per ton or $1.69 per mmBtu. Northern Appalachian coal also finished unchanged, coming in at $48.60 per ton or $1.87 per mmBtu. Illinois Basin coal held steady at $32.20 per ton or $1.36 per mmBtu, while Powder River Basin coal remained at $9.45 per ton or $0.55 per mmBtu. Uinta Basin coal prices finished unchanged at $38.05 per ton or $1.63 per mmBtu.

Natural gas prices on the Henry Hub also held steady this week to finish at $1.79 per mmBtu. Natural gas producers reported a significant decline in their stored reserves – at 2.47 trillion cubic feet, down by 25 billion cubic feet compared to the previous week, for a total of 3.48 trillion cubic feet in storage. This week’s working natural gas rotary rig count is down by 12 from last week to 464 working rigs. And the count remains down by 584 rigs from a year ago – a decline of 21%. This number includes rigs working in both oil and gas plays.

About the Author: T.L. Headley is a veteran public relations expert and former journalist with more than 20 years in mass communications with a focus on energy. Headley has an MBA in finance and management and an MA in journalism. He is the principal for Genesis Communications and is a public relations consultant for several major coal and energy organizations in West Virginia. Headley is also a 2001 graduate of the West Virginia Chamber of Commerce’s Leadership West Virginia program.

11,000: The Casualties of the War on Coal

By T.L. HEADLEY, MBA, MA

11,000….Boots

That’s how many West Virginia coal miners have lost their jobs in the past seven years.

That’s 11,000 families whose lives were turned upside down by the policies of the Obama Administration and the National Democratic Party.

And each one of those 11,000 jobs supported another 5 jobs… that’s another 55,000 jobs and another 55,000 families.

When you stop to consider that most of these people were in the prime years of their lives, most had kids, mortgages, truck payments, they were saving for college, saving for retirement….

Their taxes paid for schools, for roads, for water and sewer lines. They paid for sheriff’s deputies and programs for senior citizens.

Today, those jobs are gone and so are the taxes…

This is the legacy of the Obama Administration, the national Democratic Party and the radicals who control the EPA.  Over the next few months, we are going to be making a decision about who will lead our state and nation forward for the next eight years.

Hillary Clinton and Bernie Sanders would continue Obama’s anti-coal policies and, double down on them, costing even more coal jobs . We can’t afford that.
We aren’t telling you who to vote for…. but we can tell you who NOT to vote for if you care about our state and its future.  A vote for Clinton or Sanders will destroy our state … it’s that simple….

Make your votes count … choose wisely.

A Response to the Editorial of August 5 by the Charleston Gazette-Mail: Appalachia not forgotten in EPA rules

By T.L. HEADLEY, MBA, MAT, MA
I would agree wholeheartedly that the EPA has “not forgotten” Appalachia in makingterry its new rules. In fact, it has TARGETED Appalachia with those rules, doing its best to destroy an entire industry and the communities that depend on it.
I would also say, echoing my dear, sweet grandmother, “it is better to remain silent and have people believe you a fool than open your mouth and remove all doubt.”
In making their assertion for the umpteenth time that “there is no war on coal,” the Gazette editors show they are either ignorant of reality or actively involved in attempts to deceive the public.
Fact 1: In 2008, one year before Obama, West Virginia produced 160 million tons of coal and there were 24,000 people actively employed directly as coal miners in the state. Each of those 24,000 jobs supported another five jobs for a total of 120,000 indirect jobs.
Fact 2: Obama said clearly that he plans to “bankrupt” those who want to build coal-fired power plants during the campaign. Joe Biden makes clear there will “be no coal-fired power plants here.”
Fact 3: Literally the day after Obama takes office the EPA begins a regulatory assault on coal mining that continues to this day — an assault that goes far beyond the congressionally mandated authority provided to EPA.
Fact 4: Regulations like the MATS Rule, like the Existing Source and New Source Performance Standards, and many, many others have resulted in the closure or pending closure of hundreds of coal fired power plants. It has also essentially stopped the construction of any new power plants or any major overhauls to existing ones that might trigger NSPS standards.
Fact 5: Even today, that “cheap natural gas” is higher on a per million Btu basis than any coal. Despite this, “cheap natural gas” is trading at least 50 percent below its market breakeven price (the price to produce it). IF any of you have the slightest knowledge of basic market economics, you will understand that this cannot continue and the “cheap natural gas” will have to “skyrocket” in price.
Fact 6: Utility executives are warning that the forced changes are endangering the grid. In fact, Mark Dempsey of Appalachian Power said in no uncertain terms at a recent meeting in Charleston that “if we have another winter like we had the last two years there WILL be blackouts and brownouts.”
Fact 7: According to those same utility executives, consumer rates for electricity in West Virginia have doubled in the past seven years — yes, they are up 100%+ since Obama took office and still more increases are pending. These increased rates are creating energy poverty in the state, taking more and more of the monthly income of retirees and those on fixed income to simply pay for their electric bills.
Fact 8: Obama Administration officials have themselves characterized the regulatory assault on coal as a “war on coal.” I would think they would know better than the editors of the Gazette their policy goals.
Fact 9: Today, as a direct result of the Obama policies, West Virginia’s coal production has declined to just 116 million tons (down 30 percent) from its 2008 levels of 165 million tons. Likewise, coal mining employment has fallen from 24,000 direct coal miners in the state to just 15,000 today (down 37.5 percent) from 2008. And those 9,000 lost coal mining jobs translate into a further loss of another 45,000 support jobs in the state, most of which are in the poorest, most rural areas of the state, where replacement jobs are non-existent.
Fact 10: As a result of the run up in unemployment due to coal industry and related job losses, unemployment rates across the coalfields are in excess of 12 percent with highs of 15-16 percent in several counties. And by extension, the levels of childhood poverty have skyrocketed in the state along with all the problems that result.
Fact 11: The wages and taxes lost as a result of the Obama regulatory assault on coal are measured in the BILLIONS of dollars annually. Obama’s “help” is a small fraction of a single year’s economic contribution of the coal industry. It is essentially throwing a few table scraps to the “poor West Virginians” and then telling them to go away and be grateful for even being acknowledged.
Fact 12: West Virginians deserve better from their government AND their media than their condescension. They especially deserve a media that doesn’t push a political agenda at the expense of truth.

http://www.wvgazettemail.com/arti…/20150805/…/150809810/1103