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Massey Reopens Revolution Mine

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2010-09-22 07:59:07     
Massey Energy Company

Massey Energy Company (NYSE: MEE) today announced that it has resumed operations at its Revolution mine in Uneeda, West Virginia. The mine had been idle since June 4, 2010, due to a longwall move, roof conditions, and ongoing negotiations with the Mine Safety and Health Administration (MSHA) regarding the implementation of a proper ventilation plan for Revolution.

MSHA originally insisted that the upcoming longwall mine panel at Revolution be ventilated under an agency mandated plan that was similar to the system the federal authority imposed on Massey Energy's Upper Big Branch (UBB) facility just prior to the mine experiencing an explosion on April 5, 2010. In light of complaints from its mine personnel, site engineers and miners, Massey did not wish to operate Revolution under MSHA's ventilation plan because it provided an insufficient amount of fresh air to the working face.

After discussions between agency officials and mine representatives, MSHA has agreed to a revised and improved ventilation proposal. Massey believes the revised ventilation design will improve the distribution of air in the following ways:

Conveyor belt air will be allowed to ventilate the longwall at Revolution while it was not allowed at UBB. This change will increase the amount of air on the longwall face.
Adjacent longwall panels can now be ventilated with return air so that fresh air is not wasted in these areas and can instead be sent to where crews are working.
Stopping lines will no longer be required to provide an isolated tail entry on the longwall.

Massey is pleased that MSHA officials have changed their position on mine ventilation in favor of a plan that will improve miner safety by increasing the distribution of fresh air throughout the Revolution facility. However, Massey remains perplexed at MSHA's continual refusal to authorize the usage of scrubbers at all Massey coal mines. These air filtering devices remain idled despite reports from the U.S. Government's National Institute for Occupational Safety and Health that document 98% of the dust in the mine air can be removed by these scrubbers. MSHA's inexplicable prohibition on the universal and uniform application of scrubbers undermines the agency's mission of safeguarding the health and safety of American miners.

Now that the mine's management feels the Revolution development is safe to operate, the mine has been placed back into production. However, the roof conditions, ventilation plan delays, and required ventilation changes kept the mine idle for longer than anticipated, which is negatively impacting Massey's 3rd Quarter shipments. This negative impact was reflected in the guidance update released by the Company on September 16, 2010.

Company Description

Massey Energy Company, headquartered in Richmond, Va., with operations in West Virginia, Kentucky and Virginia, is the largest coal producer in Central Appalachia and is included in the S&P 500 Index.

FORWARD-LOOKING STATEMENTS: Certain statements in this statement constitute "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and are intended to come within the safe harbor protection provided by those sections. Any forward-looking statements are also subject to a number of assumptions regarding, among other things, future economic, competitive and market conditions. These assumptions are based on facts and conditions as they exist at the time such statements are made as well as predictions as to future facts and conditions, the accurate prediction of which may be difficult and involve the assessment of circumstances or events beyond our control. We disclaim any intent or obligation to update these forward-looking statements unless required by securities law, and we caution the reader to not rely on them unduly. Additional information can be found in press releases and Massey's public filings with the Securities and Exchange Commission, including Massey's Annual Report on Form 10-K for the year ended December 31, 2009, which was filed on March 1, 2010, and subsequently filed interim reports.

Specialized in: Massey - Revolution Mine
URL: http://www.masseyenergyco.com/
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