DNRC News
Text Size 
FOR IMMEDIATE RELEASE
CONTACT: John Grassy
Public Information Officer
Montana Dept. Natural Resources and Conservation
(406) 444-0465
June 27, 2012
DNRC receives bid on Bull Mountain coal tract
HELENA, Mont. – The Montana Department of Natural Resources and Conservation (DNRC) today announced the results of its request for bids on a tract of State school trust coal reserves located at the Bull Mountain Mine The mine is located 12 miles south of Roundup, MT The State Board of Land Commissioners (Land Board) previously authorized the DNRC to offer the coal reserves below for competitive lease by sealed bid The deadline for submitting bids was 5 p.m. Monday (June 25, 2012).
One bid was received from Signal Peak Energy, LLC Signal Peak Energy is the operator of the Bull Mountain Mine and was the coal lease applicant Signal Peak Energy offered a total up-front bonus bid payment of $3,578,200 This is equivalent to approximately $0.30 per ton of recoverable reserves located on the State section State coal leases also require a royalty payment of 10% of the gross value of coal mined from the State section.
The DNRC will submit the bid results to the Land Board at its July 18, 2012 meeting The Land Board will be considering whether to continue the bid valuation process by directing the DNRC to solicit public comments on the bid results The Land Board will not be considering whether to accept the bid or issue a coal lease.
For more information, please contact Monte Mason at 406-444-3843.
###DNRC###
John Grassy
Public Information Officer
Department of Natural Resources and Conservation
(406) 444-0465
