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Daily Newsletter

03 September 2025

Daily Newsletter

03 September 2025

US DoI to proceed with coal lease sales in Alabama, Utah and Montana

The BLM is set to offer lease areas in these states, which are rich in recoverable coal.

robertsailo September 03 2025

The US Department of the Interior (DOI) is advancing with competitive coal lease sales in Alabama, Montana and Utah.

These sales are part of the Trump administration's efforts under Executive Orders 14241 and 14261 to enhance mineral production and revitalise the coal industry.

The Bureau of Land Management (BLM) is set to offer lease areas in these states, which are rich in recoverable coal, deemed critical for the nation's steelmaking and energy sectors.

In Alabama, the BLM will offer two lease areas spanning approximately 14,050 acres in Tuscaloosa County.

These tracts hold an estimated 53 million tonnes (mt) of metallurgical coal. The sealed-bid sale is scheduled for 30 September 2025.

The BLM will also offer around 120 acres known as the Little Eccles Tract, estimated to hold 1.29mt of recoverable coal, in Utah's Emery County.

The sale is in response to an application from Canyon Fuel Company, the operator of the Skyline Mine. Sealed bids are due on 1 October 2025, with the sale occurring on the same day.

Additionally, BLM will offer 1,262 acres for sale in Montana's Big Horn County, which is estimated to contain around 167.5mt of recoverable coal.

The lease sale is in response to an application from Navajo Transitional Energy Company, the operator of the Spring Creek Mine. If granted, the lease could extend the mine's operations until 2051.

The sale is set for 6 October 2025, with sealed bids due by 3 October.

Interior Secretary Doug Burgum said: “Coal has long been the backbone of America’s energy and industrial strength.

“By moving forward with these lease sales, we are creating good-paying jobs, supporting local communities and securing the resources that keep America strong. President Trump’s leadership is putting American workers first and ensuring our nation’s energy future is built on reliable, homegrown resources.”

The BLM manages these resources in compliance with the Mineral Leasing Act and the coal provisions of the One Big Beautiful Bill Act.

Each sale has undergone federal review and public involvement, allowing for environmental considerations and opportunities for public commentary.

Detailed bidding instructions and terms for these sales will be published in the Federal Register notices in the weeks to come.

The DoI recently gave the green light to Hurricane Creek Mining to begin coal mining operations in Tennessee, with the potential to produce up to 1.8mt of coal until 2034.

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