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Rosebud buys 2 mining firms in region

Rick Stouffer
| Saturday, April 10, 2010 4:00 a.m.

Rosebud Mining Co. of Kittanning said it acquired two mining companies: Lisbon, Ohio-based Buckeye Industrial Mining Co. for $27.9 million, and a Homer City, Indiana County, producer for an undisclosed price.

The Buckeye acquisition included five surface mines, one underground mine and a coal preparation plant. The company was formerly a subsidiary of Evergreen Energy Inc. of Denver.

Also purchased was Parkwood Resources Inc., of Homer City, which operates one underground mine in Cherry Tree, Clearfield County, and has a permitted but unopened mine near Starford, Indiana County.

Rosebud Vice President Jim Barker said he couldn't provide other information on the transactions.

Evergreen Energy, which is publicly owned, said the deal with Rosebud was worth $32.9 million, which included $5 million in proceeds it realized from a mine reclamation bond.

Buckeye and Parkwood each employ about 120, bringing Rosebud's total employment to about 1,100.

With the acquisitions, privately held Rosebud operates 18 underground and six surface mines and seven coal preparation plants.


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