MCLEAN COUNTY, Ky. (WEHT) A recently opened western Kentucky coal mine is facing challenges above and below ground.
Paringa Resources, which runs the Poplar Grove mine in McLean County, is dealing with production and financial issues.
The coal is still produced at the mine just south of Calhoun, but filings by the mine’s owner to the Securities and Exchange Commission show they’re still mining for answers to their problems.
“Honestly, I feel sorry for the situation that they’re in,” said McLean Co. Judge Executive Curtis Dame.
In their SEC filing made yesterday, Paringa Resource officials say the company’s subsidiary, Hartshorne Mining, hired a consulting firm to review their near term financial outlook and performance, plus assess additional money for operations. They’re also looking to increase production, adding operational challenges like nearby fault lines lead to issues. The company started shipping coal from the mine last year. The mine is still open.
“They’ve had a number of different specialists from around the world come here. And from what I understand, those specialists that come here are unique in their fields, have never seen anything like it in regard to the formations of what Paringa is facing,” Dame said. He adds these issues shouldn’t affect the county’s budget.
“If we can continue to plan as if we will not receive any of that money, which we are doing currently right now, all departments are under that mindset going forward, we hope to have those funds, but we’re planning for an eleventh hour where we don’t,” he said.
We reached out to officials with both Paringa and Hartshorne for further comment, but our calls were not returned.
You can read the filing sent to the Securities and Exchange Commission here.
(This story was originally published on January 9, 2020)