Montana Coal Mine Deal Beset by Financing Problems

Posted in
Montana Coal Mine Deal Beset by Financing Problems

BILLINGS, Mont. (AP) - More signs of problems have emerged with an Australian company's bid to take over a Montana coal mine. Court documents reveal Ambre Energy has been unable to come up with more than $70 million needed to cover the cost of outstanding bonds for the Decker mine near the Wyoming border. The mine is co-owned by Ambre and Wyoming-based Cloud Peak Energy.

Ambre wants full ownership as part of its ambitious plans to ramp up coal exports to Asia through two West Coast ports. Decker has been the subject of a management quarrel that led to a lawsuit last year in U.S. District Court. The two sides struck a tentative deal in December, but have since extended court-ordered settlement deadlines three times. The latest deadline is Aug. 30.

view counter