Asset Retirement Obligations

12 Months Ended

Dec. 31, 2012

Asset Retirement Obligations [Abstract]

Asset Retirement Obligation Disclosure [Text Block]

. Asset Retirement Obligations

The Company's asset retirement obligations arise from the Federal Surface Mining Control and Reclamation Act of 1977 and similar state statutes, which require that mine property be restored in accordance with specified standards and an approved reclamation plan. The required reclamation activities to be performed are outlined in the Company's mining permits. These activities include reclaiming the pit and support acreage at surface mines, sealing portals at underground mines, and reclaiming refuse areas and slurry ponds.

The following table describes the changes to the Company's asset retirement obligation liability:

	Year Ended December 31
	2012			2011
	(In thousands)
Balance at January 1 (including current portion)	$	473,903		$	343,119
Accretion expense	39,020			33,601
Obligations incurred or acquired	—			115,019
Adjustments to the liability from changes in estimates	4,400			11,176
Liabilities settled	(68,698		)	(29,012		)
Balance at December 31	$	448,625		$	473,903
Current portion included in accrued expenses	(38,920		)	(27,119		)
Noncurrent liability	$	409,705		$	446,784

The liabilities settled in 2012 were the result of the acceleration of reclamation activities, primarily at the Black Thunder mining complex, as employees and equipment impacted by mine production cutbacks in response to market conditions were redirected to reclamation activities. Liabilities settled of $29.0 million in 2011 related to reclamation activities at the Black Thunder mining complex related to a pit acquired with the Jacobs Ranch operations in 2009.

As of December 31, 2012, the Company had $262.9 million in surety bonds outstanding, $388.4 million in self-bonding, and $18.0 million in letters of credit to secure reclamation bonding obligations.