Judge approves sale of Blackjewel coal assets

CHARLESTON, W.Va. (WTVQ) – A federal judge has approved bids from two companies, looking to buy assets owned by the bankrupt Blackjewel LLC coal company.

According to Ned Pillersdorf, an Eastern Kentucky attorney representing Blackjewel miners, a U.S. district judge in West Virginia approved Kopper Glo’s bid to buy the Lone Mountain and Black Mountain mining operations in Harlan County, Kentucky.

Pillersdorf says Kopper Glo’s attorney said it is the company’s intention to operate the mines and employ as many of the Blackjewel miners as possible.

On Tuesday, the U.S. district judge also approved Contura Energy’s bid for three of Blackjewel’s mines. Two of the mines are located in West Virginia and the other is in Virginia. The company has not said if it plans reopen the mines.

Both deals still need the federal government’s approval before being finalized.

Blackjewel abruptly declared Chapter 11 bankruptcy on July 1, putting 1,700 employees out of work in Kentucky, Virginia, West Virginia and Wyoming.

Employees in Kentucky, Virginia and West Virginia say their final paycheck from Blackjewel bounced.

Several miners in Kentucky have staged a protest, camping out on the railroad track near Cumberland to keep trains from hauling Blackjewel coal out of the mine.