EX-95 8 btu_20130930ex95.htm EXH-95 BTU_2013.09.30_EX.95


Exhibit 95
Mine Safety Disclosures
The following disclosures are provided pursuant to Section 1503 of the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act) and Item 104 of Regulation S-K, which require certain disclosures by companies required to file periodic reports under the Securities Exchange Act of 1934, as amended, that operate coal mines regulated under the Federal Mine Safety and Health Act of 1977 (the Mine Act). The disclosures reflect United States (U.S.) mining operations only, as the requirements of the Dodd-Frank Act and Item 104 of Regulation S-K do not apply to our mines operated outside the U.S. 
Mine Safety Information.  Whenever the Mine Safety and Health Administration (MSHA) believes that a violation of the Mine Act, any health or safety standard, or any regulation has occurred, it may issue a violation which describes the associated condition or practice and designates a timeframe within which the operator must abate the violation. In some situations, such as when MSHA believes that conditions pose a hazard to miners, MSHA may issue an order removing miners from the area of the mine affected by the condition until hazards are corrected. Whenever MSHA issues a citation or order, it generally proposes a civil penalty, or fine, as a result of the violation that the operator is ordered to pay. Citations and orders can be contested and appealed and, as part of that process, are often reduced in severity and amount, and are sometimes vacated. The number of citations, orders and proposed assessments vary depending on the size and type (underground or surface) of the company and mine. Since MSHA is a branch of the U.S. Department of Labor, its jurisdiction applies only to our U.S. mines. As such, the mine safety disclosures that follow contain no information for our Australian mines.
The table that follows reflects citations and orders issued to us by MSHA during the three and nine months ended September 30, 2013, as reflected in our systems. The table includes only those mines that were issued orders or citations during the period presented. Due to timing and other factors, our data may not agree with the mine data retrieval system maintained by MSHA. The proposed assessments for the three and nine months ended September 30, 2013 were taken from the MSHA system as of November 6, 2013.
Additional information follows about MSHA references used in the table is as follows:
•
Section 104 S&S Violations: The total number of violations received from MSHA under section 104(a) of the Mine Act that could significantly and substantially contribute to a serious injury if left unabated.
•
Section 104(b)Orders: The total number of orders issued by MSHA under section 104(b) of the Mine Act, which represents a failure to abate a citation under section 104(a) within the period of time prescribed by MSHA. This results in an order of immediate withdrawal from the area of the mine affected by the condition until MSHA determines that the violation has been abated.
•
Section 104(d) Citations and Orders: The total number of citations and orders issued by MSHA under section 104(d) of the Mine Act for unwarrantable failure to comply with mandatory health or safety standards.
•
Section 104(e) Notices: The total number of notices issued by MSHA under section 104(e) of the Mine Act for a pattern of violations that could contribute to mine health or safety hazards.
•
Section 110(b)(2)Violations: The total number of flagrant violations issued by MSHA under section 110(b)(2) of the Mine Act.
•
Section 107(a) Orders: The total number of orders issued by MSHA under section 107(a) of the Mine Act for situations in which MSHA determined an imminent danger existed.
•
Proposed MSHA Assessments: The total dollar value of proposed assessments from MSHA.
•
Fatalities: The total number of related fatalities.





Three Months Ended September 30, 2013
 
 
Section
104 S&S
Violations
 
Section
104(b)
Orders
 
Section
104(d)
Citations and
Orders
 
Section
104(e)
Potential Pattern
of Violations
 
Section
110(b)(2)
Violations
 
Section
107(a)
Orders (2)
 
($)
Proposed
MSHA
Assessments
 
 
Mine (1)
 
 
 
 
 
 
 
 
Fatalities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(In thousands)
 
 
Western U.S. Mining
 


 
 

 
 

 
 

 
 

 
 

 


 
 

El Segundo
 
3

 
—

 
—

 
—

 
—

 
—

 
$
—

 
—

Kayenta
 
8

 
—

 
2

 
—

 
—

 
—

 
8.1

 
—

North Antelope Rochelle
 
10

 
—

 
2

 
—

 
—

 
—

 
1.2

 
—

Rawhide
 
2

 
—

 
—

 
—

 
—

 
—

 
3.3

 
—

Twentymile (Foidel Creek)
 
11

 
—

 
—

 
—

 
—

 
—

 
56.4

 
—

Midwestern U.S. Mining
 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

Bear Run
 
2

 
—

 
—

 
—

 
—

 
—

 
1.4

 
—

Francisco Preparation Plant (Francisco Mine)
 
—

 
—

 
—

 
—

 
—

 
—

 
0.4

 
—

Francisco Underground
 
15

 
—

 
—

 
—

 
—

 
—

 
47.9

 
—

Gateway
 
17

 
—

 
6

 
—

 
—

 
—

 
33.4

 
—

Gateway Preparation Plant
 
1

 
—

 
—

 
—

 
—

 
—

 
0.7

 
—

Midwest Repair Facility (Columbia Maintenance Services)
 
—

 
—

 
—

 
—

 
—

 
—

 
0.1

 
—

Somerville Central
 
1

 
—

 
—

 
—

 
—

 
—

 
0.4

 
—

Viking - Corning Pit
 
2

 
—

 
—

 
—

 
—

 
—

 
1.9

 
—

Wildcat Hills - Cottage Grove Pit
 
1

 
—

 
—

 
—

 
—

 
—

 
0.7

 
—

Wildcat Hills Underground
 
10

 
1

 
—

 
—

 
—

 
—

 
49.0

 
1 (4)

Willow Lake Central Preparation Plant
 
1

 
—

 
—

 
—

 
—

 
—

 
0.7

 
—

Willow Lake Portal (3)
 
2

 
—

 
2

 
—

 
—

 
—

 
7.9

 
—

(1) 
The definition of "mine" under section 3 of the Mine Act includes the mine, as well as other items used in, or to be used in, or resulting from, the work of extracting coal, such as land, structures, facilities, equipment, machines, tools and coal preparation facilities. Also, there are instances where the mine name per the MSHA system differs from the mine name utilized by us. Where applicable, we have parenthetically listed the name of the mine per the MSHA system. Also, all mines are listed alphabetically within each of our U.S. mining segments.
(2) 
Additional information related to Section 107(a) Orders issued to us by MSHA have been reflected in our current reports previously filed with the Securities and Exchange Commission in accordance with Item 1.04 of Form 8-K.
(3) 
Mine was closed as of September 30, 2013.
(4) 
On July 2, 2013, an employee at our Wildcat Hills underground mine in Illinois was fatally injured as the result of a coal haulage incident. The mine was temporarily idled for investigation immediately thereafter. With MSHA's concurrence, the mine resumed production with 3 out of 5 continuous miners on July 9, 2013, and an additional continuous miner resumed production on July 11, 2013.  The mine was issued a citation and a 104(b) order by MSHA on July 24, 2013, was temporarily idled again and resumed full production on August 2, 2013 when practices were adopted to comply with a MSHA-imposed safety requirement. The 104(b) order was subsequently vacated pursuant to a settlement with MSHA approved on October 25, 2013.





Nine Months Ended September 30, 2013
 
 
Section
104 S&S
Violations
 
Section
104(b)
Orders
 
Section
104(d)
Citations and
Orders
 
Section
104(e)
Potential Pattern
of Violations
 
Section
110(b)(2)
Violations
 
Section
107(a)
Orders (2)
 
($)
Proposed
MSHA
Assessments
 
 
Mine (1)
 
 
 
 
 
 
 
 
Fatalities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(In thousands)
 
 
Western U.S. Mining
 
 
 
 

 
 

 
 

 
 

 
 

 
 
 
 

Caballo
 
7

 
—

 
—

 
—

 
—

 
—

 
$
9.3

 
—

El Segundo
 
3

 
—

 
—

 
—

 
—

 
—

 
—

 
—

Kayenta
 
30

 
—

 
5

 
—

 
—

 
1

 
230.0

 
—

Lee Ranch
 
—

 
—

 
—

 
—

 
—

 
—

 
0.6

 
—

North Antelope Rochelle
 
14

 
—

 
2

 
—

 
—

 
—

 
10.3

 
—

Peabody Williams Fork Mining, LLC
 
—

 
—

 
—

 
—

 
—

 
—

 
0.3

 
—

Rawhide
 
4

 
—

 
—

 
—

 
—

 
—

 
5.1

 
—

Sage Creek (3)
 
—

 
—

 
—

 
—

 
—

 
—

 
0.2

 
—

Twentymile (Foidel Creek)
 
36

 
—

 
—

 
—

 
—

 
—

 
129.2

 
—

Midwestern U.S. Mining
 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
 

Air Quality (4)(5)
 
4

 
—

 
—

 
—

 
—

 
—

 
15.7

 
—

Bear Run
 
13

 
—

 
1

 
—

 
—

 
—

 
37.9

 
—

Francisco Preparation Plant (Francisco Mine)
 
1

 
—

 
—

 
—

 
—

 
—

 
1.9

 
—

Francisco Underground
 
51

 
—

 
—

 
—

 
—

 
—

 
206.0

 
—

Gateway
 
39

 
—

 
6

 
—

 
—

 
—

 
163.0

 
—

Gateway Preparation Plant
 
2

 
—

 
—

 
—

 
—

 
—

 
1.3

 
—

Midwest Repair Facility (Columbia Maintenance Services)
 
—

 
—

 
—

 
—

 
—

 
—

 
0.1

 
—

Somerville Central
 
3

 
—

 
—

 
—

 
—

 
—

 
2.0

 
—

Viking - Corning Pit
 
4

 
—

 
—

 
—

 
—

 
—

 
5.8

 
—

Wild Boar Mine
 
—

 
—

 
—

 
—

 
—

 
—

 
0.1

 
—

Wildcat Hills - Cottage Grove Pit
 
1

 
—

 
—

 
—

 
—

 
—

 
1.5

 
—

Wildcat Hills Underground
 
27

 
1

 
—

 
—

 
—

 
1

 
143.4

 
1 (6)

Willow Lake Central Preparation Plant
 
1

 
—

 
—

 
—

 
—

 
—

 
0.7

 
—

Willow Lake Portal (4)
 
2

 
—

 
2

 
—

 
—

 
—

 
13.8

 
—

(1)
The definition of "mine" under section 3 of the Mine Act includes the mine, as well as other items used in, or to be used in, or resulting from, the work of extracting coal, such as land, structures, facilities, equipment, machines, tools and coal preparation facilities. Also, there are instances where the mine name per the MSHA system differs from the mine name utilized by us. Where applicable, we have parenthetically listed the name of the mine per the MSHA system. Also, all mines are listed alphabetically within each of our U.S. mining segments.
(2)
Additional information related to Section 107(a) Orders issued to us by MSHA have been reflected in our current reports previously filed with the Securities and Exchange Commission in accordance with Item 1.04 of Form 8-K.
(3)
Mine had yet to commence operations as of September 30, 2013.
(4) 
Mine was closed as of September 30, 2013.
(5) 
Mine classified in discontinued operations as of September 30, 2013.
(6) 
On July 2, 2013, an employee at our Wildcat Hills underground mine in Illinois was fatally injured as the result of a coal haulage incident. The mine was temporarily idled for investigation immediately thereafter. With MSHA's concurrence, the mine resumed production with 3 out of 5 continuous miners on July 9, 2013, and an additional continuous miner resumed production on July 11, 2013.  The mine was issued a citation and a 104(b) order by MSHA on July 24, 2013, was temporarily idled again and resumed full production on August 2, 2013 when practices were adopted to comply with a MSHA-imposed safety requirement. The 104(b) order was subsequently vacated pursuant to a settlement with MSHA approved on October 25, 2013.





Pending Legal Actions. The Federal Mine Safety and Health Review Commission (the Commission) is an independent adjudicative agency that provides administrative trial and appellate review of legal disputes arising under the Mine Act. These cases may involve, among other questions, challenges by operators to citations, orders and penalties they have received from MSHA, or complaints of discrimination by miners under section 105 of the Mine Act. The following is a brief description of the types of legal actions that may be brought before the Commission.
•
Contests of Citations and Orders: A contest proceeding may be filed with the Commission by operators, miners or miners’ representatives to challenge the issuance of a citation or order issued by MSHA, including citations related to disputed provisions of operators' emergency response plans.
•
Contests of Proposed Penalties (Petitions for Assessment of Penalties): A contest of a proposed penalty is an administrative proceeding before the Commission challenging a civil penalty that MSHA has proposed for the violation. Such proceedings may also involve appeals of judges' decisions or orders to the Commission on proposed penalties, including petitions for discretionary review and review by the Commission on its own motion.
•
Complaints for Compensation: A complaint for compensation may be filed with the Commission by miners entitled to compensation when a mine is closed by certain withdrawal orders issued by MSHA. The purpose of the proceeding is to determine the amount of compensation, if any, due miners idled by the orders.
•
Complaints of Discharge, Discrimination or Interference: A discrimination proceeding is a case that involves a miner’s allegation that he or she has suffered a wrong by the operator because he or she engaged in some type of activity protected under the Mine Act, such as making a safety complaint. This category includes temporary reinstatement proceedings, which involve cases in which a miner has filed a complaint with MSHA stating he or she has suffered discrimination and the miner has lost his or her position.
•
Applications for Temporary Relief: An application for temporary relief from any modification or termination of any order or from any order issued under certain subparts of section 104 of the Mine Act may be filed with the Commission at any time before such order becomes final.




The table that follows presents information by mine regarding pending legal actions before the Commission at September 30, 2013. Each legal action is assigned a docket number by the Commission and may have as its subject matter one or more citations, orders, penalties or complaints.
 
 
Pending Legal Actions
 
Legal Actions Initiated During the Three Months Ended September 30, 2013
 
Legal Actions Resolved During the Three Months Ended September 30, 2013
 
 
Number of Pending Legal Actions as of September 30, 2013
 
Pre-Penalty Contests of Citations/Orders
 
Contests of Penalty Assessment(2)
 
Complaints for Compensation
 
Complaints of Discharge, Discrimination or Interference
 
 
Mine(1)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Western U.S. Mining
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Caballo
 
1
 
—
 
1
 
—
 
—
 
1
 
—
Kayenta
 
15
 
5
 
10
 
—
 
—
 
1
 
7
North Antelope Rochelle
 
1
 
—
 
1
 
—
 
—
 
—
 
2
Rawhide
 
2
 
—
 
1
 
—
 
1
 
—
 
—
Sage Creek (3)
 
1
 
—
 
1
 
—
 
—
 
—
 
1
Twentymile (Foidel Creek)
 
10
 
—
 
9
 
—
 
1
 
1
 
1
Peabody Williams Fork Mining
 
1
 
—
 
1
 
—
 
—
 
1
 
—
Midwestern U.S. Mining
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Air Quality (4)(5)
 
16
 
—
 
16
 
—
 
—
 
—
 
—
Bear Run
 
1
 
—
 
1
 
—
 
—
 
1
 
—
Francisco Preparation Plant (Francisco Mine)
 
1
 
—
 
1
 
—
 
—
 
—
 
—
Francisco Underground
 
6
 
—
 
6
 
—
 
—
 
—
 
3
Gateway
 
8
 
1
 
7
 
—
 
—
 
—
 
—
Somerville Central
 
1
 
—
 
1
 
—
 
—
 
—
 
—
Vermilion Grove (Riola Complex Vermilion Grove Portal) (4)(5)
 
1
 
—
 
1
 
—
 
—
 
—
 
—
Wildcat Hills Underground
 
7
 
5
 
2
 
—
 
—
 
3
 
—
Willow Lake Portal (4)
 
80
 
41
 
38
 
1
 
—
 
—
 
13
(1) 
The definition of "mine" under section 3 of the Mine Act includes the mine, as well as other items used in, or to be used in, or resulting from, the work of extracting coal, such as land, structures, facilities, equipment, machines, tools and coal preparation facilities. Also, there are instances where the mine name per the MSHA system differs from the mine name utilized by us. Where applicable, we have parenthetically listed the name of the mine per the MSHA system. Also, all mines are listed alphabetically within each of our U.S. mining segments.
(2) 
Contests included a total of 30 appeals of judges' decisions or orders to the Commission as of September 30, 2013.
(3) 
Mine had yet to commence operations as of September 30, 2013.
(4) 
Mine was closed as of September 30, 2013.
(5) 
Mine classified in discontinued operations as of September 30, 2013.