Bankrupt Coal Company Gets Lifeline

The money in part will allow Blackjewel to pay about 140 employees who remain at work in West Virginia, Wyoming and elsewhere.

Coal Plant Ap
Ap file

CASPER, Wyo. (AP) — A U.S. judge has approved funding to allow a bankrupt coal company to maintain basic operations for a few days.

U.S. District Judge Frank Volk in West Virginia approved $2.9 million in debtor-in-possession financing Friday from two lenders to Milton, West Virginia-based Blackjewel LLC.

The money in part will allow Blackjewel to pay about 140 employees who remain at work in West Virginia, Wyoming and elsewhere.

The Casper Star-Tribune reports the move will give the company a bit more time to find additional financing.

Without a longer-term solution, the company may be forced to sell properties, including its closed Eagle Butte and Belle Ayr mines in Wyoming.

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