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* Table of Contents
Summary ............................................................................................................... 4
COAL PRODUCTION
U.S. Coal Production, 2012 ...................................................................................5
Kentucky Coal Production, 2012..........................................................................6
Types of Coal Mining .............................................................................................7
Kentucky Coal Production, 1960-2012 ..............................................................8
Eastern Kentucky Coal Production........................................................................9
Western Kentucky Coal Production .................................................................. 10
MINING EMPLOYMENT & PRODUCTIVITY
Coal Mine Employment ................................................................................ 11-13
Coal Mine Productivity by Region .................................................................... 14
COAL DISTRIBUTION & MARKETS
Kentucky Coal Consumers, 2012 ....................................................................... 15
Kentucky In-State Coal Consumption ................................................................ 16
Kentucky Coal Deliveries .................................................................................... 17
Eastern Kentucky Coal Deliveries ............................................................... 18-19
Western Kentucky Coal Deliveries.................................................................... 20
Kentucky Coal Distribution, 2011 ..................................................................... 21
Kentucky Coal Distribution, 2011 ..................................................................... 22
SEVERANCE REVENUE, COAL PRICES, & CHEMICAL PROPERTIES
Induced and Indirect Effects ............................................................................... 23
Coal Severance Receipts by Region ................................................................ 24
Delivered Price of Coal by Coal Mine State.................................................. 25
Delivered Price of Coal by Kentucky Coal Mine County ............................. 26
Steam Coal Properties by Coal Mine State ............................................ 27-28
Steam Coal Properties by Kentucky Coal Mine County ........................ 29-30
ELECTRICITY GENERATION, EMISSIONS, & PRICES
Coal-fired Power Plants in Kentucky ................................................................ 31
Why Kentucky Uses Coal .................................................................................... 32
Kentucky vs. United States Electricity Generation ......................................... 33
Kentucky Electricity Prices ............................................................................ 34-35
Kentucky Electric Power Emissions ..................................................................... 36
KENTUCKY & COAL
Coal Formation & Properties ............................................................................. 37
History of Coal in Kentucky ......................................................................... 38-40

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* Table of Contents
MINE SAFETY, LICENSING, & RECLAMATION
Coal Mine Safety & Training............................................................................. 41
Active Mines & Licensing ............................................................................... 42-43
Mine Reclamation ........................................................................................... 44-45
Post-Mining Land Use .................................................................................... 46-48
COUNTY LEVEL PRODUCTION, EMPLOYMENT, & MARKETS
Kentucky Coal Producing Counties, 2012 ....................................................... 49
Bell County ...................................................................................................... 50-51
Boyd County.......................................................................................................... 52
Breathitt County.............................................................................................. 53-54
Clay County .................................................................................................... 55-56
Daviess County ............................................................................................... 57-58
Floyd County ................................................................................................... 59-60
Harlan County................................................................................................. 61-62
Henderson County .......................................................................................... 63-64
Hopkins County ............................................................................................... 65-66
Johnson County ..................................................................................................... 67
Knott County .................................................................................................... 68-69
Knox County .......................................................................................................... 70
Laurel County .................................................................................................. 71-72
Lawrence County .................................................................................................. 73
Leslie County ................................................................................................... 74-75
Letcher County ................................................................................................ 76-77
Magoffin County ............................................................................................ 78-79
Marshall County ................................................................................................... 80
Martin County ................................................................................................. 81-82
McCreary County ................................................................................................. 83
Muhlenberg County ....................................................................................... 84-85
Ohio County .................................................................................................... 86-87
Perry County ................................................................................................... 88-89
Pike County ..................................................................................................... 90-92
Union County ................................................................................................... 93-94
Webster County ............................................................................................. 95-96
Whitley County..................................................................................................... 97
DATA SOURCES & AGENCY CONTACT INFORMATION .............................. 98-100
Acknowledgements ............................................................................................101

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3

* Summary
Overview
After two centuries of commercial mining operations, Kentucky’s domestic supply of coal remains a significant component of the Commonwealth’s economy. In 2012, Kentucky remained the third-highest
coal producer in the United States. Coal was by far the largest source of domestic energy production
in the Commonwealth. Coal mines employed nearly 14,100 individuals on-site at the end of 2012,
and mining directly contributed billions of dollars to the economy of Kentucky. A quarter of the coal
produced in Kentucky is consumed within the Commonwealth; however, the largest market for Kentucky
coal remains the generation of electrical power across the United States, namely in the South East.
Production
Kentucky coal production decreased in 2012 by more than 16 percent from 2011, to 91.4 million tons,
the lowest level since 1965. Eastern Kentucky coal production decreased in 2012 by 27.6 percent
from 2011 to 49.4 million tons—the lowest level since 1965. Production slowed at both underground
and surface mines. Eastern Kentucky production has declined by 53.5 percent since the year 2000,
and by 62.3 percent since peaking at 131 million tons in 1990. Western Kentucky coal production increased by 2.5 percent from 2011 to more than 42 million tons. All of this increase was due to production in Union and Ohio Counties. During 2012, Union County became the largest coal producing
county in Kentucky, surpassing Pike County by 543,700 tons, or 4.2 percent. By the end of 2012, the
rate of production in Western Kentucky was greater than in Eastern Kentucky for the first time since
1960.
Employment
Employment at Kentucky coal mines decreased by over 22 percent from 18,111 at the beginning of
the year, to an average of only 14,083 by December, 2012—a loss of 4,028 employees. Coal mine
layoffs were concentrated in Eastern Kentucky where on-site employment fell by 29.9 percent from
13,608 in 2011 to only 9,540 in 2012, a loss of 4,068 employees. In Western Kentucky there were
4,543 persons employed at coal mines, approximately the same number as were employed in 2011.
By the end of 2012, Kentucky coal mines employed 7,959 underground coal miners, 3,786 surface
miners, 1,666 preparation plant workers, and 482 on-site office staff.
Markets
The markets and destinations for Kentucky coal during 2011 were predominantly concentrated in 20
states, with a small market for international exports. Approximately 25 percent of the coal mined in
Kentucky during 2011 was consumed in the Commonwealth—primarily by electric utilities—making
Kentucky the largest single market for Kentucky coal. However, the vast majority of Kentucky coal —
60.6 million tons—was shipped to electric power plants in 19 different states, principally located in
the Southeast. Following Kentucky, the states of Florida, Georgia, and South Carolina were the largest
consumers of Kentucky coal during 2011. Coal producers in Kentucky exported 7.1 million tons, or 6.7
percent of total production, to foreign countries during 2011, with Canada and Mexico receiving the
majority of international exports. Small quantities of coal were also exported to customers in Europe,
China, and India during 2011.

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* U.S. Coal Production, 2012

U.S Coal Production by State, 2012
State
Thousand Tons 1 Year Change Percentage
U.S. Total
1,017,314
-7.1%
100.0%
Wyoming
401,442
-8.4%
39.5%
West Virginia
123,183
-10.8%
12.1%
Kentucky
91,407
-16.3%
9.0%
Pennsylvania
52,656
-5.1%
5.2%
Illinois
48,817
28.8%
4.8%
Texas
44,178
-3.8%
4.3%
Indiana
36,720
-3.9%
3.6%
Montana
36,694
-12.7%
3.6%
Colorado
28,569
6.2%
2.8%
Ohio
27,591
-1.9%
2.7%
North Dakota
27,529
-2.5%
2.7%
New Mexico
22,452
2.4%
2.2%
Alabama
19,563
0.9%
1.9%
Virginia
18,896
-15.8%
1.9%
Utah
16,277
-17.2%
1.6%
Arizona
7,493
-7.6%
0.7%
Louisiana
3,979
3.0%
0.4%
Mississippi
2,953
7.5%
0.3%
Maryland
2,120
-27.8%
0.2%
Alaska
2,052
-4.5%
0.2%
Tennessee
1,154
-19.5%
0.1%
Oklahoma
1,054
-8.1%
0.1%
Missouri
422
-9.3%
<0.01%
Arkansas
98
-26.4%
<0.01%
Kansas
16
-57.4%
<0.01%

Coal production in the United States fell by 7.1 percent compared with 2011 to 1.01 billion tons. Wyoming remained the
largest coal-producing state in the Country, representing 40
percent of national production with 401.4 million tons in
2012. Coal from Wyoming is produced from deposits in the
Powder River Basin, and is generally characterized by low
sulfur content, low Btu content, and a relatively low cost.

The second largest coal producer during 2012 was the state
of West Virginia, which accounted for 12 percent of national
production and supplied consumers with 123 million tons of
low-sulfur, Central Appalachian Basin coal.

Kentucky, the third largest producer with 9 percent of national production in 2012, provided coal supplies from deposits
of the Central Appalachian Basin in the eastern portion of the
state and the Illinois Basin in the western portion of the state.
Coal production in Kentucky decreased by 16 percent in
2012 to 91.4 million tons. Peak coal production was reached
in 1990 when the Commonwealth mined 179.4 million tons of
coal. Since 1990, coal production in Kentucky has been in
decline.

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5

* Kentucky Coal Production, 2012

County
Total
Union
Pike
Perry
Hopkins
Ohio
Harlan
Webster
Muhlenberg
Martin
Leslie
Letcher
Knott
Floyd
Magoffin
Henderson

Tons
91,407,310
13,474,900
12,931,200
9,231,478
8,945,605
7,231,326
7,034,754
5,550,427
4,887,921
3,587,476
3,008,930
2,979,510
2,641,000
2,382,712
2,015,308
1,558,006

1 Year Change Percentage
-16.7%
100.0%
9.3%
14.7%
-17.9%
14.1%
-30.1%
10.1%
1.8%
9.8%
30.5%
7.9%
-28.1%
7.7%
-3.1%
6.1%
-14.9%
5.3%
-36.0%
3.9%
-30.7%
3.3%
-36.1%
3.3%
-45.1%
2.9%
-18.1%
2.6%
-31.9%
2.2%
-36.9%
1.7%

County
Bell
Knox
Daviess
Johnson
Clay
Breathitt
Whitley
Lawrence
Wolfe
McCreary
Owsley
Laurel
Rockcastle
Elliott

Tons
1,161,442
643,887
395,164
327,683
293,829
287,783
263,881
234,628
39,315
31,744
26,647
12,627
4,930
2,396

1 Year Change Percentage
-26.0%
1.3%
65.7%
0.6%
-2.5%
0.4%
41.2%
0.4%
-23.0%
0.3%
-65.5%
0.3%
-50.2%
0.3%
189.6%
0.3%
<0.1%
+∞%
<0.1%
+∞%
-61.3%
<0.1%
<0.1%
+∞%
<0.1%
+∞%
-94.9%
<0.1%

State and County-level statistics are aggregated from MSHA Form 700002 quarterly reports through 2012.

In Kentucky, coal mining is divided between two distinct geologic basins: The Central Appalachian Basin of Eastern Kentucky,
and the Illinois Basin of Western Kentucky. Both of these resource fields contain rich deposits of bituminous coal, and have seen
coal mining activities in numerous counties for over 100 years. During 2012, coal production in the Commonwealth decreased
to 91.4 million tons, the lowest level of recorded annual production since 1965. Additionally, though Pike County remained
the largest coal producing county in the Eastern Coalfield, Union County in Western Kentucky supplanted Pike County as the
leading coal producing county in the Commonwealth in 2012.

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* Types of Coal Mining

Several different mining methods are used in the Commonwealth to access coal deposits in the Central Appalachian
Basin of Eastern Kentucky and the Illinois Basin of Western
Kentucky. The selected mining approach, or combination of
mining approaches, at a given mine site is largely dictated
by local geography and hydrology, as well as the amount of
soil and rock overburden in place above a coal seam. For
simplicity of accounting, coal mines are generally divided
between surface operations and underground operations,
though several sub-categories exist to describe exact mining
approaches and mine permits.
Mine Type
State
EKY
WKY

Auger
984,673
846,269
138,404

Underground mine operations accounted for 64 percent of
coal production in Kentucky in 2012, with room and pillar
systems being the most common form of mining method.
Various categories of surface mines accounted for 36 percent of statewide production. Historically, underground
mines have provided the bulk of employment and coal
production in the state. During 2012, combined coal production from underground operations and surface operations was more than 91 million tons with the majority of
production concentrated in Eastern Kentucky.

Kentucky Coal Production by Mining Method, 2012*
Culm Bank/Refuse Pile Dredge Strip/Quarry/Open Pit
63,660
5,983
32,074,272
63,660
5,983
24,260,740
7,813,534

Underground
58,278,720
24,187,308
34,091,412

Total
91,407,312
49,363,960
42,043,352

*Source: U.S. Department of Labor, Mine Safety and Health Administration, ―Quarterly Mine Employment and Coal Production Report‖ (MSHA Form 7000-02). The above table summarizes the five types of mining methods—as categorized by
MSHA—that registered coal production in Kentucky during 2012. As a result of this summarization, small quantities of coal
that are counted in total statewide production may not necessarily be represented in the above totals.
Refuse recovery mines and culm bank mines register production only when new coal is brought to market. These types of
mines extract new coal from waste material discarded or impounded by previous mining operations.

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7

* Kentucky Coal Production

Region
Tons
1 Year Change
Total
91,407,310
-16.3%
Eastern Kentucky
49,363,960
-27.6%
Western Kentucky
42,043,350
+2.5%
Eastern Kentucky has on average represented 75 percent of
annual coal production over the last 35 years. During 2012,
the region represented 54 percent of statewide production.

Mine Type
Tons
1 Year Change
Total
91,407,310
-16.3%
Underground
58,278,720
-10.6%
Surface
33,128,590
-24.7%
Following the Surface Mining Control and Reclamation Act of
1977 (SMCRA), annual coal production in Kentucky has been
consistently led by underground operations.

The two Coalfields of Kentucky produced 91.4 million tons of
coal in 2012. For the year, the coal mining counties of Eastern Kentucky remained the largest concentration of production, representing 54 percent of statewide tonnage. Coal
mined in Western Kentucky topped 42 million tons, and represented 46 percent of total production. Overall, the
statewide trend in coal production has been downward since
1990. However, during the last 3 months of 2012, the rate
of production in Western Kentucky was greater than in Eastern Kentucky for the first time since 1960.

Coal production in Kentucky was led by underground mines
in 2012. Accounting for 58 million tons and 64 percent of
total production, underground output decreased by 10.6
percent compared with 2011. Surface mine operations,
which generated 33 million tons of coal, decreased production by 24.7 percent relative to 2011. The decreases in production of both underground and surface operations during
2012 were concentrated most-heavily in the coal mining
counties of Eastern Kentucky.

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* Eastern Kentucky Coal Production

Mine Type
Total
Surface
Underground

Tons
49,363,960
25,176,650
24,187,310

1 Year Change
-27.6%
-27.8%
-27.3%

Approximately 9,500 people were directly employed by
coal mines in Eastern Kentucky in 2012. Direct coal mine employment was highest in Pike County during the year.

The Coalfield of Eastern Kentucky, part of the Central Appalachian Basin, contains deposits of bituminous coal characterized by high heat content and frequently with low sulfur content. Eastern Kentucky coal production decreased in 2012
by 27.6 percent to 49.4 million tons—the lowest level since
1965–as production slowed at both underground and surface mines. Moreover, coal production in Eastern Kentucky
has declined by 53.5 percent since the year 2000, and by
62.3 percent since peaking in 1990 at 131 million tons.

County*
Pike
Perry
Harlan
Martin
Leslie
Letcher
Knott
Floyd
Magoffin
Bell
Knox
Johnson
Clay
Breathitt
Whitley
Lawrence
Wolfe
McCreary
Owsley
Laurel
Rockcastle
Elliott
Other / Mulitple

Tons
12,931,200
9,231,478
7,034,754
3,587,476
3,008,930
2,979,510
2,641,000
2,382,712
2,015,308
1,161,442
565,092
327,683
293,829
287,783
263,881
234,628
39,315
31,744
26,647
12,627
4,930
2,396
299,595

1 Year Change
-17.9%
-30.1%
-28.1%
-36.0%
-30.7%
-36.1%
-45.1%
-18.1%
-31.9%
-26.0%
45.5%
41.2%
-23.0%
-65.5%
-50.2%
189.6%
+∞%
+∞%
-61.3%
+∞%
+∞%
-94.9%
NA

Pike County remained the largest coal producing county in
Eastern Kentucky during 2012, but is no longer the largest
coal producing county in Kentucky. Union County of Western
Kentucky produced 543,700 more tons than Pike County in
2012 to become the largest coal producing county in the
Commonwealth.

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* Western Kentucky Coal Production

Mine Type
Total
Underground
Surface

Tons
42,043,350
34,091,410
7,951,940

1 Year Change
+2.5%
+6.9%
-12.7%

More than 4,500 people were directly employed by coal
mines in Western Kentucky in 2012. Direct coal mine employment was highest in Union County during the year.

County
Union
Hopkins
Ohio
Webster
Muhlenberg
Henderson
Daviess

Tons
13,474,900
8,945,605
7,231,326
5,550,427
4,887,921
1,558,006
395,164

1 Year Change
+9.3%
+1.8%
+30.5%
-3.1%
-14.9%
-36.9%
-2.5%

Since 2002, underground mine development in Western Kentucky counties has resulted in increasing production for the
region. Also, the topographic location of economically accessible coal seams in Western Kentucky differs from deposits in
Eastern Kentucky. The gentle topography and basinal structure of the Western Kentucky coalfield limits surfaceaccessible coal to the outer margin of the basin, and helps
explain why surface mining has declined and underground
mining has increased in the region since 1988.

Coal produced in Western Kentucky comes from the Illinois
Basin, and typically has a moderately high heat content and
high sulfur content. Western Kentucky coal production increased by 2.5 percent from 2011 to more than 42 million
tons, with 81 percent of total regional production coming
from underground operations. The increase in regional production was led by rising output from Union and Ohio Counties. During 2012, Union County surpassed traditional leader
Pike County of Eastern Kentucky to become the largest coal
producing county in Kentucky.

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* Coal Mine Employment, 2012
Eastern Kentucky Coal Mine Employment, 2012
Mine Type
Employees
1 Year Change
Total
9,556
-29.7%
Underground
4,782
-25.3.%
Surface
3,242
-37.8%
Preparation Plant
1,148
-24.3%
Office
384
-17.1%
In 2012, coal mines in Eastern Kentucky on average employed 9,556 workers full-time. The majority of direct coal
mine employment in Eastern Kentucky was concentrated at
underground mine sites. Compared with 2011, average coal
mine employment in the Eastern Coalfield decreased by
29.7%, a reduction of 4,038 full-time jobs.
During 2012, mines operating in Pike County represented
the largest concentration of coal mine employment in Kentucky, averaging 2,316 on-site employees. Pike County also
represented approximately 25 percent of coal mine employment in the Eastern Coalfield.

Western Kentucky Coal Mine Employment, 2012
Mine Type
Employees
1 Year Change
Total
4,543
~0%
Underground
3,286
5.3%
Surface
634
-13.0%
Preparation Plant
524
-7.3%
Office
99
6.5%
Coal mines in Western Kentucky on average employed
4,543 full-time workers in 2012. The majority of direct coal
mine employment in Western Kentucky was concentrated at
underground mine sites during the year. Compared with
2011, average coal mine employment in the Western Coalfield increased marginally, with a gain of 35 full-time jobs.
Mines operating in Union County during 2012 represented
the largest source of coal mine employment in the Western
Coalfield of Kentucky, averaging 1,292 on-site employees.

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* Coal Mine Employment, 2012

EKY Counties
All
Pike
Perry
Harlan
Martin
Leslie
Letcher
Floyd
Bell
Knott
Magoffin
Knox
Boyd
Lawrence
Johnson
Clay
Breathitt
McCreary
Whitley
Wolfe
Laurel

Employment
9,540
2,316
1,530
1,367
721
605
583
530
448
330
186
112
78
76
67
66
62
35
31
20
14

2012 Change
-29.9%
-28.0%
-27.9%
-37.1%
-30.2%
-29.5%
-34.2%
-24.1%
-23.7%
-63.2%
-47.9%
-24.8%
+4%
+171.4%
-8.2%
+34.7%
-68.4%
+400%
-81.5%
+100%
+250%

Coal mine layoffs in Kentucky during 2012 were concentrated in Eastern Kentucky, where on-site employment decreased
by 29.9 percent from 13,608 in 2011 to only 9,540 in
2012, a loss of 4,028 employees. The decrease in direct employment at surface mine operations in Eastern Kentucky
alone represented more than half of the statewide decline in
mining employment between 2011 and 2012.

12

WKY Counties
All
Union
Hopkins
Ohio
Webster
Muhlenberg
Henderson
Livingston
Marshall
Daviess
McLean

Description
State Total
Underground
Surface
Preparation Plant
Office

Employment
4,543
1,292
997
710
671
576
108
52
50
43
8

Employment
14,083
7,959
3,786
1,666
482

2012 Change
~0.0%
-0.5%
+11.1%
+28.6%
-6.8%
-4.6%
-60.7%
-8.8%
-3.8%
+4.9%
-27.3%

2012 Change
-4,028
-22.2%
-1,470
-15.4%
-2,160
-34.8%
-415
-20.0%
-74
-13.3%

In Western Kentucky there were 4,543 persons employed at
coal mines during 2012, approximately the same number as
were employed in 2011.
Overall, employment at Kentucky coal mines fell by over 22
percent from 18,111 in December, 2011, to an average of
14,083 in December, 2012, a loss of 4,028 employees.
However, the statewide decrease in mining employment during 2012 was entirely linked to decreased mining employment in the coal mining counties of Eastern Kentucky.

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* Coal Mine Employment, 2012
Region & County
Kentucky
Eastern Kentucky
Pike
Perry
Harlan
Martin
Leslie
Letcher
Floyd
Bell
Knott
Knox
Magoffin
Whitley
Boyd
Lawrence
Johnson
Clay
Breathitt
McCreary
Wolfe
Laurel
Western Kentucky
Union
Hopkins
Ohio
Webster
Muhlenberg
Henderson
Livingston
Marshall
Daviess
McLean

Direct Employment Underground Surface Preparation Mine Office
at Coal Mines
Miners
Miners Plant Workers
Staff
14,083
9,540
2,366
1,530
1,425
721
658
605
533
448
330
224
186
91
78
76
68
66
62
35
20
14
4,543
1,292
997
710
707
576
108
52
50
43
8

7,959
4,772
1,201
712
933
422
370
410
250
164
181
68
1
18
32
10
3,286
1,115
871
264
587
435
14
-

3,786
3,240
778
540
381
122
232
150
185
102
120
148
185
34
44
68
45
46
30
20
10
634
43
21
327
41
79
84
39
-

1,666
1,191
282
185
76
161
53
25
81
114
27
4
37
68
18
5
1
4
474
117
81
110
52
51
9
50
44
2
8

482
385
105
93
35
16
3
20
17
68
2
4
2
10
3
1
4
97
17
24
9
27
11
1
2
6
2
-

Percent of Total
Employment†
0.8%
5.3%
9.9%
11.6%
17.8%
23.7%
31.2%
11.2%
4.6%
4.9%
11.4%
2.9%
9.2%
0.7%
0.3%
2.2%
1.1%
1.6%
2.0%
1.2%
1.6%
0.1%
3.7%
22.2%
5.5%
8.9%
24.1%
6.6%
0.5%
1.8%
0.5%
0.1%
0.4%

†Sources:

MSHA Mine Data Retrieval System (MSHA-MDRS) & Bureau of Labor Statistics (BLS) Quarterly Census of Employment and Wages [June 2012 County Estimates].
Note: The direct mining employment classification includes persons employed at a Kentucky coal mine and/or registered MSHA permitted mine site, but does not include direct employment involving coal transportation by trucks, trains,
or barges nor the administrative or professional employees of coal companies located in Kentucky metropolitan areas
such as Lexington and Louisville. These employment figures also do not include the many private services or indirect
employment induced by the economic activity of coal extraction, preparation, and sales.

energy.ky.gov
kentuckycoal.com

13

* Coal Mine Productivity

Region
Eastern Kentucky

Total Labor Hours*
24,854,616

Mine Type
All*
Underground
Surface

Tons/Hour
1.97
2.02
2.76

Underground
11,960,237

Surface
9,022,405

Region
Western Kentucky

Total Labor Hours
11,284,377

Mine Type
All*
Underground
Surface

Tons/Hour
3.73
4.13
5.14

Underground
8,236,953

Surface
1,546,744

Source: U.S. Department of Labor, Mine Safety and Health Administration, ―Quarterly Mine Employment and Coal Production
Report‖ (MSHA Form 7000-02). *Coal mine productivity is defined as total coal production (tons) divided by total employee labor hours. Total labor hours include the combination by mine site of direct miner hours, preparation plant
hours, and on-site office employee hours. Productivity values in the tables above represent the summation of production
divided by the summation of labor hours, separated by region and by mine type. As of publication, processed data for
productivity as displayed above was only available for the years 2000-2012. Historical and current reporting on mine
productivity statewide and nationwide indicates a trend of declining productivity across all Coalfields in the United States
since the year 2000, further illustrated by Eastern Kentucky and Western Kentucky.
Coal mining productivity in both Coalfields of Kentucky has
been falling over the last decade. Yet, the decline in Eastern
Kentucky productivity during this time has been substantial.
At an average of 1.97 tons per labor hour in 2012, productivity in the Eastern Coalfield is down 48 percent from the
year 2000. Moreover, productivity for both surface mines
and underground mines in Eastern Kentucky has been falling
consistently over the last twelve years. However, surface
mines in Eastern Kentucky remained the most efficient form of
coal mining in the region, approximately 36 percent more
productive than underground mines in 2012.

14

At 3.73 tons per labor hour in 2012, average coal mining
productivity in Western Kentucky was 89 percent higher than
Eastern Kentucky. Interestingly, while surface mine productivity was 5.14 tons per hour in 2012, surface mine production
accounted for only 19 percent of regional production; meaning, Western Kentucky productivity was most influenced by
underground operations. Additionally, though overall coal
mine productivity in Western Kentucky has fallen by 15 percent since 2000, productivity in the Coalfield has held relatively stable over the past 5 years.

energy.ky.gov
kentuckycoal.com

* Kentucky Coal Consumers, 2012

Map Courtesy of Brandon Nuttall, Kentucky Geolgoical Survey

Map Courtesy of Brandon Nuttall, Kentucky Geolgoical Survey

energy.ky.gov
kentuckycoal.com

15

* Kentucky In-State Coal Consumption

Origin of Coal
Total
Western Kentucky
Imports
Eastern Kentucky

Thousand Tons
38,993
23,195
13,284
2,514

Percentage
100%
59%
34%
6%

Coal consumption in Kentucky decreased by 5 percent in
2012 to 38.9 million tons. Coal mined in Western Kentucky
was by far the largest source of coal used within the Commonwealth, representing 59 percent of coal consumption.
Conversely, coal from Eastern Kentucky represented 6 percent of the coal consumed in Kentucky in 2012. Coal was
also imported from nine different states and used within Kentucky during 2012, and combined represented 13.2 million
tons and 34 percent of consumption.

16

Imported Coal
Total Imports
Indiana
Wyoming
Illinois
Ohio
Colorado
West Virginia
Utah
Alabama
Tennessee

Thousand Tons
13,284
3,334
2,251
2,224
1,937
1,816
1,654
37
31
0.7

Percentage
100%
25.1%
16.9%
16.7%
14.6%
13.7%
12.5%
0.3%
0.2%
<0.1%

The market variables affecting the use of imported coal in
Kentucky primarily involve price, heat content of a particular
coal, and the sulfur content of a particular coal. For electrical
power generation, electric utilities must balance the financial
and environmental costs of these factors when purchasing
coal. As a result, electric utilities, municipalities, and power
producers blend coal from in-state and out-of-state sources
so as to maintain a diversified fuel resource while complying
with environmental regulations. Since 1990, electric utilities in
Kentucky have increasingly used higher sulfur coal, a trend
accelerated through the installation of sulfur dioxide scrubbers on many coal-fired generators throughout the state.
(Nationally, many other electric utilities have elected to install similar environmental control systems, thereby altering
traditional coal sourcing requirements). The net result of these
decisions in Kentucky, specifically, has been an increasing
reliance on Western Kentucky coal supplies, and a diminishing demand for Eastern Kentucky coal. Additionally, the relatively low price of coal from several western states has also
increased imports for electric power generation.

energy.ky.gov
kentuckycoal.com

* Kentucky Coal Deliveries

Known shipments of steam coal from Eastern Kentucky to
power plants within the United States decreased by 39 percent in 2012 to 30.1 million tons. The largest markets for
Eastern Kentucky coal are traditionally located in the Southeast, and were led by Georgia, South Carolina, and North
Carolina during the year. Overall, coal mined in Eastern
Kentucky was shipped to 16 different states in 2012.

Eastern Kentucky Coal Deliveries, 2012
Destination
Thousand Tons
Percentage
Total
30,104
100.0%
Georgia
7,058
23.4%
South Carolina
5,761
19.1%
North Carolina
3,908
13.0%
Florida
3,141
10.4%
Virginia
2,775
9.2%
Kentucky
2,514
8.4%
Michigan
2,028
6.7%
Tennessee
1,056
3.5