8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC 20549

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934

Date of report (Date of earliest event reported): September 16, 2008

INTERNATIONAL COAL GROUP, INC.

(Exact Name of Registrant as Specified in Charter)

Delaware	001-32679	20-2641185
(State or Other Jurisdiction of Incorporation)	(Commission File Number)	(IRS Employer Identification No.)

300 Corporate Centre Drive Scott Depot, West Virginia	25560
(Address of Principal Executive Offices)	(Zip Code)

Registrants’ telephone number, including area code: (304) 760-2400

Not Applicable

(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 7.01 Regulation FD Disclosure.

On September 16, 2008, Bennett K. Hatfield, Chief Executive Officer and President of International Coal Group, Inc. (the “Company”), will speak at the Davenport & Company Metals & Mining Symposium in New York City. Mr. Hatfield’s address is scheduled for 7:45 a.m. Eastern Time. By press release dated September 11, 2008, the public was invited to listen to the address by live webcast that can be accessed through the Company’s website at www.intlcoal.com. A related written presentation will be posted in the “Investors” area of the Company’s website. A copy of such presentation is furnished as Exhibit 99.1 hereto and is incorporated by reference into this Item 7.01.

The foregoing information (including the exhibit hereto) is being furnished under “Item 7.01 Regulation FD Disclosure.” Such information (including the exhibit hereto) shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, except as shall be expressly set forth by specific reference in such filing.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits.

99.1 Written presentation for the Davenport & Company Metals & Mining Symposium dated September 16, 2008.

1

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

INTERNATIONAL COAL GROUP, INC.
By:	/s/ Roger L. Nicholson
Name:	Roger L. Nicholson
Title:	Senior Vice President and Secretary

Date: September 16, 2008

2

Exhibit Index

Exhibit Number	Document
99.1	Written presentation for the Davenport & Company Metals & Mining Symposium dated September 16, 2008.

3

EX-99.1

1

Building A Strong Future

Davenport Metals &

Mining Symposium

Bennett K. Hatfield

President and CEO

September 16, 2008

Exhibit 99.1

2

•

Statements

that

are

not

historical

fact

are

forward-looking

statements

and

may

involve

a

number

of

risks

and

uncertainties.

We

have

used

the

words

“anticipate”

“believe,”

“could,”

“estimate,”

“expect,”

“intend,”

“may,”

“plan,”

“predict,”

“project”

and

similar

terms

and

phrases,

including

references

to

assumptions,

in

this

presentation

to

identify

forward-looking

statements.

These

forward-looking

statements

are

made

based

on

expectations

and

beliefs

concerning

future

events

affecting

us

and

are

subject

to

uncertainties

and

factors

relating

to

our

operations

and

business

environment,

all

of

which

are

difficult

to

predict

and

many

of

which

are

beyond

our

control,

that

could

cause

our

actual

results

to

differ

materially

from

those

matters

expressed

in

or

implied

by

these

forward-looking

statements.

The

following

factors

are

among

those

that

may

cause

actual

results

to

differ

materially

from

our

forward-looking

statements:

market

demand

for

coal,

electricity

and

steel;

availability

of

qualified

workers;

future

economic

or

capital

market

conditions;

weather

conditions

or

catastrophic

weather-related

damage;

our

production

capabilities;

consummation

of

financing,

acquisition

or

disposition

transactions

and

the

effect

thereof

on

our

business;

a

significant

number

of

conversions

of

our

convertible

senior

notes

prior

to

maturity;

our

plans

and

objectives

for

future

operations

and

expansion

or

consolidation;

our

relationships

with,

and

other

conditions

affecting,

our

customers;

availability

and

costs

of

key

supplies

or

commodities

such

as

diesel

fuel,

steel,

explosives

and

tires;

availability

and

costs

of

capital

equipment;

prices

of

fuels

which

compete

with

or

impact

coal

usage,

such

as

oil

and

natural

gas;

timing

of

reductions

or

increases

in

customer

coal

inventories;

long-

term

coal

supply

arrangements;

risks

in

or

related

to

coal

mining

operations,

including

risks

related

to

third-party

suppliers

and

carriers

operating

at

our

mines

or

complexes;

unexpected

maintenance

and

equipment

failure;

environmental,

safety

and

other

laws

and

regulations,

including

those

directly

affecting

our

coal

mining

and

production,

and

those

affecting

our

customers’

coal

usage;

ability

to

obtain

and

maintain

all

necessary

governmental

permits

and

authorizations;

competition

among

coal

and

other

energy

producers

in

the

United

States

and

internationally;

railroad,

barge,

trucking

and

other

transportation

availability,

performance

and

costs;

employee

benefits

costs

and

labor

relations

issues;

replacement

of

our

reserves;

our

assumptions

concerning

economically

recoverable

coal

reserve

estimates;

availability

and

costs

of

credit,

surety

bonds

and

letters

of

credit;

title

defects

or

loss

of

leasehold

interests

in

our

properties

which

could

result

in

unanticipated

costs

or

inability

to

mine

these

properties;

future

legislation

and

changes

in

regulations

or

governmental

policies

or

changes

in

interpretations

thereof,

including

with

respect

to

safety

enhancements

and

environmental

initiatives

relating

to

global

warming;

the

impairment

of

the

value

of

our

goodwill

and

long-lived

assets;

the

ongoing

effect

of

the

Sago

mine

accident;

our

liquidity,

results

of

operations

and

financial

condition;

adequacy

and

sufficiency

of

our

internal

controls;

and

legal

and

administrative proceedings, settlements, investigations and claims and the availability of related insurance coverage.

•

You

should

keep

in

mind

that

any

forward-looking

statement

made

by

us

in

this

presentation

speaks

only

as

of

the

date

on

which

we

make

it.

See

also

the

“Risk

Factors”

in

our

2007

Annual

Report

on

Form

10-K

and

in

our

subsequent

filings

on

Form

10-Q,

all

which

are

currently

available

on

our

website

at

www.intlcoal.com.

New

risks

and

uncertainties

arise

from

time

to

time,

and

it

is

impossible

for

us

to

predict

these

events

or

how

they

may

affect

us.

We

have

no

duty

to,

and

do

not

intend

to,

update

or

revise

the

forward-looking

statements

in

this

presentation

except

as

may

be

required

by

law.

In

light

of

these

risks

and

uncertainties,

you

should

keep

in

mind

that

any

forward-looking

statement

made

in

this

presentation

might

not

occur.

All

data

presented

herein

is

as

of

September

16,

2008,

unless

otherwise

noted.

Forward-Looking Statements

3

Coal Market Update

4

Market Overview

•

Strong world demand has reshaped US coal outlook:

Remarkable growth in Asian demand coupled with broad supply

shortages

Traditional  international coal trading patterns are changing:

–

Substantial infrastructure constraints among key exporters

–

Other countries limiting exports to protect domestic requirements

•

US thermal coal pricing escalated rapidly during the first half

of 2008.  Key drivers included:

Dramatic export growth

Rising utility demand

Unprecedented met coal pricing

Supply constraints 

5

Recent Market Developments

•

Appalachian thermal coal prices have recently softened to

mid-May levels (at around $100-$120/ton) for 2009 rail tons

•

Trading volatility seems to stem from several factors:

Global economic concerns

Declining oil and natural gas prices

Summer trading lull in Europe

Thin trading volume

•

Coal market fundamentals remain solid

Continuing strong met coal demand

Falling domestic utility inventories

Strong exports with declining imports

Supply still very constrained; evidenced by tepid Eastern production growth

6

US Export / Import Trends

(tons in 000’s)

1

Represents management’s estimate as of Aug. 31, 2008

0.0

10.0

20.0

30.0

40.0

50.0

60.0

70.0

80.0

90.0

100.0

Net Exports

US Exports

US Imports

7

$35.00

$55.00

$75.00

$95.00

$115.00

$135.00

$155.00

CSX 12500 1.6#

Pitt 8 13000 3.4#

Prompt Month Spot Price Trends

8

$35.00

$45.00

$55.00

$65.00

$75.00

$85.00

$95.00

$105.00

$115.00

$125.00

$135.00

$145.00

$155.00

$165.00

31-Jan-06

$57.50

$55.50

$54.75

$54.00

31-Dec-06

$41.25

$44.50

$45.50

$46.50

31-Jul-07

$43.25

$46.50

$49.35

$51.10

31-Dec-07

$57.50

$56.40

$56.40

30-Jun-08

$157.50

$146.00

$142.50

31-Aug-08

$125.00

$117.50

$111.50

2007

2008

2009

2010

Term Price Indications

CAPP 12,500 Btu <1% Sulfur Forward Prices

9

•

Price volatility is expected to diminish over the balance of 2008

International and domestic buying activity is on the rise

Major

international

coal

exporters

are

expected

to

focus

heavily

on

protecting their own resource needs

–

Anticipate restricted exports from China, Indonesia, and Vietnam

–

Russia could play coal and gas card in geopolitical gamesmanship

Domestic inventory levels will likely fall further during 2009

•

Expect Eastern coal prices to strengthen as we enter an active

contract solicitation season over the next few months

•

Outlook could be impacted by global economic issues, but world-

wide energy and steel demand has substantial momentum

Market Outlook

10

Overview of

International Coal Group

11

•

Diversified operations participating in 3 of 4 largest US coal producing regions

•

Extensive reserve base supports internal growth opportunities

•

Growth initiatives targeted for high margin metallurgical and premium grade

thermal markets

•

100% union free workforce

•

Solid and improving balance sheet with minimal long-term legacy liabilities

•

Expanded and less concentrated investment grade customer base

Key Highlights of International Coal Group

Summary Statistics

Market capitalization

1

:

$1.1 billion

Coal reserves:

1.0 billion tons

Reserve life:

Approximately 55 years

Employees:

2,551

2007 tons sold:

18.3 million

2007 tons produced:

16.4 million

1

Market capitalization is based on 153.3 million shares outstanding and a stock price of $7.10 as of Sept. 11, 2008.

12

•

13 active mining complexes -

8 in Central Appalachia, 4 in Northern Appalachia,

and 1 in Illinois Basin

•

2 new mine complexes (Sentinel and Beckley) opened within last 19 months;

Tygart #1 expected to open by late 2009

•

Recently acquired Powell Mountain Energy began producing July 2008

Current and Future Operations

13

•

ICG controls 1.0 billion tons of high-quality reserves that are primarily high

BTU, low sulfur steam and metallurgical coal

•

CAPP/NAPP reserves of 611 million tons are 54% met quality

High-Caliber Reserve Base

CAPP, 247 million tons

NAPP, 364 million tons

Illinois Basin,

392 million tons

39%

25%

36%

14

Total Reserve Profile: Owned vs. Leased

ICG reserve ownership % is one of the largest

among publicly traded peers

66%

34%

Leased

338 million tons

Owned

665 million tons

15

ICG Legacy Liabilities

Total:  $144 million

Total Legacy Liabilities

1 

Source: company Annual Reports as of 12/31/07.  Legacy liabilities include post retirement benefits, black lung liabilities, reclamation liabilities, workers

compensation and Coal Act liabilities

($ in millions)

Low Legacy Liabilities

1

vs. Peer Group

$3,361

$1,225

$942

$735

$407

$335

$156

$144

$117

Reclamation

60%

Rockefeller

1%

Workers

Comp

5%

FAS 106

17%

Black lung

17%

16

1

Per management guidance as of 7/23/08

Projected Production 2008-2010

16.4

16.5

12.4

8

10

12

14

16

18

20

22

24

26

2005

2006

2007

2008

2009

2010

Target projects that create high

margin production

Key focus: increase met tons

Sentinel, Beckley, and Powell

Mountain complexes, all brought

online within past 19 months,

have added 3.9 million annual

tons production capacity

New Tygart complex is planned

for late 2009 startup with annual

output of 3.5 million tons

19.0

20.5-21.5

22.0-23.0

1

Production Plans Call For Selective Growth

CAPP

66%

68%

68%

66%

69%

67%

NAPP

19%

19%

19%

22%

19%

22%

ILB

15%

13%

13%

12%

12%

11%

Production by Region

17

2008 ICG Production Profile

1

22%

NAPP

66%

CAPP

12%

ILB

Production by State

Production by Region

Production by Method

52%

Surface

48%

Under-

ground

46%

KY

38%

WV

12%

IL

4%

MD

1

Represents management’s estimate as of July 1, 2008

18

Projected Sales

20.0                     22.0                    23.5

(mm tons)

Committed

Tonnage

•

Strong committed sales level for

2008-2009, yet substantial room

to participate in market upside

1

Committed tonnages and projected sales for 2008-2010 are estimated as of August 31, 2008

97

82

45

1

13

17

42

3

0

20

40

60

80

100

2008

2009

2010

Favorable Sales Position

Uncommitted

Committed (subject to re-pricing)

Committed and priced

1

19

3.4

3.2

2.6

1.7

0.5

0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5

2007

2008

2009

2010

2011

Projected Metallurgical Coal Production

1

1

1

1

Represents management’s estimate as of Aug. 31, 2008

1

20

Projected Met Sales Growth By Location

2008

2009

2010

2011

Beckley (Low Vol)

0.6

1.3

1.4

1.4

Vindex (Low Vol)

0.2

0.3

0.3

0.3

Sentinel (High Vol)

0.5

0.55

0.7

0.7

Buckhannon-Powell Mtn. (High Vol)

0.4

0.45

0.45

0.4

Tygart #1 (High Vol)

N/A

N/A

0.35

0.6

Total

1.7

2.6

3.2

3.4

21

Other Potential

Met Coal Projects Under Review

•

Bakerstown Deep Mine production expansion at Vindex

Complex near Mount Storm, West Virginia

Low volatile metallurgical quality

Potential production of 400-500,000 annual tons

•

Big Creek Property near Richlands, Virginia

Mid-volatile metallurgical quality

Potential production of 1.0 million annual tons

•

Tygart #2 Mine Complex near Grafton, West Virginia

High volatile metallurgical quality or premium thermal coal

Potential production of +2.0 million annual tons

22

Disciplined Sales Strategy Has Served Us Well

•

Declined

renewal of nearly 2.8 million tons per year of CAPP

contract renewals (in mid-$40’s range) during late 2007

•

Continued to “layer in”

new forward-contract prices as the market

steadily improved; new commitments since Feb. 2008 include:

2009: 5.0 million tons at an average price per ton > $90

2010: 2.8 million tons at an average price per ton > $100

2011: 1.5 million tons at an average price per ton > $100

•

Much of our remaining 2009 and 2010 unsold position is targeted

toward the high value met and premium steam markets

23

Other Anticipated Sales Improvements

•

Low-priced contracts are expiring and rolling off

Central Appalachian region roll-offs include 0.5 million tons after 2009

and 2.3 million tons after 2010

Northern Appalachian region roll-offs include 1.2 million tons after 2009

•

Legacy contracts totaling 1.3 million NAPP tons are steadily

increasing in price due to market-based indexing features

24

Guidance

1

n/a

$205

$179

CapEx

n/a

n/a

$45.00 –

$47.00

Average Cost Per Ton

$35.00 –

$37.00

$32.00 –

$33.00

$30.50 –

$31.00

ILB

$95.00 –

$105.00

$70.00 –

$75.00

$58.00 –

$59.00

NAPP

$98.00 –

$108.00

$80.00 –

$85.00

$57.50 –

$58.50

CAPP

$92.00 –

$102.00

$72.00 –

$78.00

$54.00 –

$55.00

Average Price Per Ton

22.0 –

23.0

20.5 –

21.5

19.0

Tons Produced (mm)

23.0 –

24.0

21.5 –

22.5

20.0

Tons Sold (mm)

2010

2009

2008

1

Per management’s guidance as of 07/23/08

25

New Operations

26

•

Mine Type –

underground shaft/slope

•

Customers –

Mirant Energy,

Xcoal, Essar Steel Algoma

•

Mining Method –

room-and-pillar

•

Total Reserves –

52.7 million tons

•

2007 Production –

0.7 million tons

•

Production Outlook –

expected

1.5 million tons/year pace in late-2008

•

Coal Quality –

high-vol met, premium

utility steam

•

Transportation –

CSX rail

Sentinel Complex

27

•

Mine Type –

underground shaft/slope

•

Customers –

Sun Coke, Shenango,

Xcoal, AK Steel, USS

•

Mining

Method

–

room-and-pillar

•

Total Reserves –

32.3 million tons

•

2007 Production –

0.04 million tons

•

Production Outlook –

expected

1.4 million tons peak output

•

Coal Quality –

premium low-vol met

•

Transportation –

CSX rail

Beckley Complex

28

Powell Mountain Complex

•

Acquired May 27, 2008; production

initiated mid-July, 2008

•

Mine Type –

underground

•

Customers –

Traxys, Eastman

Chemical, ABC Coke, Xcoal

•

Mining Method –

room-and-pillar

•

Total Reserves –

27.0 million tons

•

Production –

1.0 million tons

annually at full production

•

Coal Quality –

high-vol met and

premium ultra-compliance steam

•

Transportation –

Dual-served CSX

and NS rail

29

•

Site development:  2007-2008

•

Major construction of shafts and

slope:  2008-2010

•

Planned developmental

production start-up in late 2009

•

Projected output of 3.5 million

tons/year at full capacity

•

Quality:

High Rank HV Met (45%)

Premium NAPP low sulfur Steam

(55%)

•

Underground longwall mine

Tygart #1 Complex

30

Summary

31

Industry Outlook

•

Coal markets: Volatility may be the rule for the near term

Broad concerns about the economy

Lower natural gas and oil prices

•

However, coal supply is expected to remain very tight due to:

Scarcity of experienced labor

Challenging regulatory environment, including delayed permit approvals,

heightened mine safety enforcement, and other factors

•

It is important to keep the market changes in perspective:

8/31/08 price for CSX 12500 Btu, low-sulfur for 2009 delivery: $117.50

8/31/07 price for CSX 12500 Btu, low-sulfur for 2009 delivery: $49.40

Prices

are

up

nearly

140%

or

$68

per

ton

despite

recent

declines

32

•

ICG is well-positioned to benefit from new high-margin production

that

is

expected

to

come

online

during

2008

-

2012

•

We have maintained discipline in our marketing and growth

strategy

•

Our capital spending is targeted on developing higher margin

reserves, favoring met quality and owned properties

•

We anticipate substantial upside performance due to:

Improved markets with increased pricing

Expanded export opportunities

Additional met coal production

Improved operating performance

Building A Strong Future

33

Thank You!

34

Appendix

35

Summary of Active Mining Operations

6/30/2008

Mine

Mining

Total Reserves

Annual Capacity

2007 Production

Coal

Transportation

Mine Site

Type

Method

(tons in millions)

(tons in millions)

(tons in millions)

Quality

Method

CAPP

Kentucky

East Kentucky

S

MTR, TSL

4.3

1.3

1.0

Utility

Rail

Flint Ridge

UG

R&P

29.0

1.5

1.3

Utility

Rail, truck

Hazard

S

MTR, TSL

51.2

4.0

3.9

Utility

Rail, truck

Knott County

UG

R&P

7.2

1.0

1.0

Utility

Rail

Powell Mountain

UG

R&P

27.0

1.0

N/A

High vol

met, premium utility

Rail

Raven

UG

R&P

10.3

1.0

0.6

Utility

Rail

West Virginia

Beckley

UG

R&P

32.3

1.4

0.04

Low vol

met

Rail

Eastern

S

MTR, DL, TSL

13.3

3.3

3.3

Utility

Rail

NAPP

West Virginia

Buckhannon

UG

R&P

46.7

1.0

0.6

High vol

met, premium utility

Rail, truck

Patriot

S

CTR, TSL

3.5

0.9

0.9

Utility

Barge, rail, truck

Sentinel

UG

R&P

52.7

1.5

0.7

High vol

met, premium utility

Rail

Maryland

Vindex

S

CTR, TSL

60.2

0.9

0.9

Utility, low vol

met

Rail, truck

ILLINOIS BASIN

Illinois

Viper

UG

R&P

39.0

2.5

2.1

Utility

Truck

S -

Surface; UG -

Underground

CRM -

Cross Ridge Mining; CTR -

Contour Mining; R&P -

Room-and-pillar; LW -

Longwall; MTR -

Mountaintop Removal

DL -

Dragline; HW -

Highwall; TSL -

Truck and Shovel/Loader