EX-16 16 exhibit161.htm EXHIBIT 16.1  

 

 

Exhibit 16.1

 

 

MINE SAFETY DISCLOSURE

 

Our mining operations are subject to regulation by the Federal Mine Safety and Health Administration (“MSHA”) under the Federal Mine Safety and Health Act of 1977 (the “Mine Act”). We have disclosed below information regarding certain citations and orders issued by MSHA and related assessments and legal actions with respect to these mining operations. In evaluating the below information regarding mine safety and health, investors should take into account factors such as: (i) the number of citations and orders will vary depending on the size of a mine, (ii) the number of citations issued will vary from inspector to inspector and mine to mine, and (iii) citations and orders can be contested and appealed, and in that process are often reduced in severity and amount, and are sometimes dismissed or vacated. The tables below do not include any orders or citations issued to independent contractors at our mines.

 

Section 1503 of the Dodd-Frank Wall Street Reform and Consumer Protection Act (the “Dodd-Frank Act”) requires issuers to include in periodic reports filed with the Securities and Exchange Commission (“SEC”) certain information relating to citations and orders for violations of standards under the Mine Act. The following tables disclose information required under the Dodd-Frank Act for the period ending on December 31, 2015.

 

 

 

 

 

 

 

 

 

 

 

 

Total Dollar

 

 

 

 

 

Section

 

 

 

 

 

Value of

 

Section 104

 

Section

 

104(d)

 

Section

 

Section

 

MSHA

Mine Name / MSHA Identification

S&S

 

104(b)

 

Citations and

 

110(b)(2)

 

107(a)

 

Assessments

Number

Citations(1)

 

Orders (2)

 

Orders (3)

 

Violations (4)

 

Orders (5)

 

Proposed (6)

Minorca 21-02449

4

 

0

 

0

 

0

 

1

 

$34,517

Dry Branch Mine 46-09395

0

 

0

 

0

 

0

 

0

 

$300

Red Hawk Mine 46-09300

0

 

0

 

0

 

0

 

0

 

$0

Mine 35 46-08131

9

 

0

 

0

 

0

 

0

 

$14,208

Mine 37 46-09017

0

 

0

 

0

 

0

 

0

 

$0

Mine 39 46-09261

9

 

0

 

0

 

0

 

0

 

$17,643

Mine 40 46-09298

5

 

0

 

0

 

0

 

0

 

$6,202

Mine 42 46-09378

13

 

0

 

1

 

0

 

0

 

$53,032

VA Point No. 1 Mine 44-07172

0

 

0

 

0

 

0

 

0

 

$100

Low Gap Mine 46-05741

0

 

0

 

0

 

0

 

0

 

$307

No. 8 Loadout 46-07680

0

 

0

 

0

 

0

 

0

 

$400

Mine 41 44-07264

0

 

0

 

0

 

0

 

0

 

$0

Mine 43 46-09496

4

 

0

 

0

 

0

 

0

 

$999

Eckman 46-08647

1

 

0

 

0

 

0

 

0

 

$802

Eckman Loadout 46-03341

0

 

0

 

0

 

0

 

0

 

$200

Tea Branch 46-09477

0

 

0

 

0

 

0

 

0

 

$0

Road Fork Load Out 46-08278

0

 

0

 

0

 

0

 

0

 

$200

No. 31 Loadout 46-08554

0

 

0

 

0

 

0

 

0

 

$0

Highwall Miner No. 2 46-09219

0

 

0

 

0

 

0

 

0

 

$0

Mine No. 32 46-08659

0

 

0

 

0

 

0

 

0

 

$100

 

 

 

(1)       Mine Act section 104 S&S citations shown above are for alleged violations of mandatory health or safety standards that could significantly and substantially contribute to a mine health and safety hazard. It should be noted that, for purposes of this table, S&S citations that are included in another column, such as Section 104(d) citations, are not also included as Section 104 S&S citations in this column.

 

(2)       Mine Act section 104(b) orders are for alleged failures to totally abate a citation within the time period specified in the citation.

 

(3)       Mine Act section 104(d) citations and orders are for an alleged unwarrantable failure (i.e., aggravated conduct constituting more than ordinary negligence) to comply with mandatory health or safety standards.

 

 


 

(4)       Mine Act section 110(b)(2) violations are for an alleged “flagrant” failure (i.e., reckless or repeated) to make reasonable efforts to eliminate a known violation of a mandatory safety or health standard that substantially and proximately caused, or reasonably could have been expected to cause, death or serious bodily injury.

 

(5)       Mine Act section 107(a) orders are for alleged conditions or practices which could reasonably be expected to cause death or serious physical harm before such condition or practice can be abated and result in orders of immediate withdrawal from the area of the mine affected by the condition.

 

(6)       Amounts shown include assessments proposed by MSHA during the three month period ending December 31, 2015 on all citations and orders, including those citations and orders that are not required to be included within the above chart.

 


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Received Notice

 

 

 

 

 

 

 

 

 

 

Total

 

of Pattern of

 

 

 

 

 

 

 

 

 

 

Number of

 

Violations

 

Legal Actions

 

Legal Actions

 

Legal Actions

 

 

 

Mining

 

Under Section

 

 

 

 

Mine Name / MSHA Identification

 

Related

 

104(e) (yes/no)

 

Pending as of Last

 

Initiated

 

Resolved During

 

Number

 

Fatalities

(9)

 

Day of Period

 

During Period

 

Period

 

 

 

 

 

 

 

 

 

Minorca 21-02449

0

0

2

 

2

 

3

 

 

Dry Branch Mine 4609395

0

0

0

 

0

 

0

 

 

Red Hawk Mine 4609300

0

0

0

 

0

 

1

 

 

Mine 35 46-08131

0

0

1

 

0

 

0

 

 

Mine 37 46-09017

0

0

0

 

0

 

4

 

 

Mine 39 46-09261

0

0

0

 

1

 

7

 

 

Mine 40 46-09298

0

0

0

 

0

 

3

 

 

Mine 42 46-09378

0

0

1

 

1

 

0

 

 

VA Point No. 1 Mine 44-07172

0

0

0

 

0

 

1

 

 

Low Gap Mine 46-05741

0

0

0

 

0

 

0

 

 

No. 8 Loadout 46-07680

0

0

0

 

0

 

0

 

 

Mine 41 44-07264

0

0

0

 

0

 

3

 

 

Mine 43 46-09496

0

0

1

 

1

 

0

 

 

Eckman 46-08647

0

0

0

 

0

 

0

 

 

Eckman Loadout 46-03341

0

0

0

 

0

 

0

 

 

Tea Branch 46-09477

0

0

0

 

0

 

0

 

 

Road Fork Load Out 46-08278

0

0

0

 

0

 

0

 

 

No. 31 Loadout

0

0

0

 

0

 

0

 

 

Highwall Miner No. 2 46-09219

0

0

0

 

0

 

0

 

 

Mine No. 32 46-08659

0

0

0

 

0

 

0

 

 

 

 

 

(9)     Mine Act section 104(e) written notices are for an alleged pattern of violations of mandatory health or safety standards that could significantly and substantially contribute to a mine safety or health hazard.

 

The number of legal actions pending before the Federal Mine Safety and Health Review Commission as of December 31, 2015 that fall into each of the following categories is as follows:

 


 

 

 

 

 

 

 

 

 

Complaints of

 

 

 

 

 

 

Contests of

 

Contests of

 

Complaints

 

Discharge/

 

Applications

 

 

Mine Name / MSHA

 

Citations and

 

Proposed

 

for

 

Discrimination/

 

for Temporary

 

Appeals of

Identification Number

 

Orders

 

Penalties

 

Compensation

 

Interference

 

Relief

 

Judges Rulings

Minorca 2102449

 

1

 

1

 

0

 

0

 

0

 

0

Dry Branch Mine 4609395

 

0

 

0

 

0

 

0

 

0

 

0

Red Hawk Mine 4609300

 

0

 

0

 

0

 

0

 

0

 

0

Mine 35 46-08131

 

0

 

1

 

0

 

0

 

0

 

0

Mine 37 46-09017

 

0

 

0

 

0

 

0

 

0

 

0

Mine 39 46-09261

 

0

 

1

 

0

 

0

 

0

 

0

Mine 40 46-09298

 

0

 

0

 

0

 

0

 

0

 

0

Mine 42 46-09378

 

0

 

1

 

0

 

1

 

0

 

0

VA Point No. 1 Mine 44-07172

 

1

 

0

 

0

 

0

 

0

 

0

Low Gap Mine 46-05741

 

0

 

0

 

0

 

0

 

0

 

0

No. 8 Loadout 46-07680

 

0

 

0

 

0

 

0

 

0

 

0

Mine 41 44-07264

 

0

 

0

 

0

 

0

 

0

 

0

Mine 43 46-09496

 

0

 

0

 

0

 

0

 

0

 

0

Eckman 46-08647

 

0

 

0

 

0

 

0

 

0

 

0

Eckman Loadout 46-03341

 

0

 

0

 

0

 

0

 

0

 

0

Tea Branch 46-09477

 

0

 

0

 

0

 

0

 

0

 

0

Road Fork Load Out 46-08278

 

0

 

0

 

0

 

0

 

0

 

0

No 31 Loadout

 

0

 

0

 

0

 

0

 

0

 

0

Highwall Miner No. 2 46-09219

 

0

 

0

 

0

 

0

 

0

 

0

Mine No. 32 46-08659

 

0

 

0

 

0

 

0

 

0

 

0