Armstrong warns of layoffs at Kentucky coal mines

OREANDA-NEWS. November 12, 2015. Illinois basin coal producer Armstrong Energy has warned employees at two Kentucky mines about likely layoffs at the end of December, with one of the mines permanently closing.

Armstrong issued notices on 28 October to employees of the Midway and Parkway steam coal mines and adjacent preparation plants. The producer did not return requests for comment.

The producer plans to close the Midway surface mine, located in Centertown, and to cut the workforce at the Parkway underground mine near Central City.

Armstrong notified 75 workers at Midway that layoffs are expected to start on 31 December and run through 15 January 2016. Another 58 workers at Parkway will be laid off at the same time.

Production at Midway this year through September dropped to 850,097 short tons (771,208 metric tonnes), down by 16pc from the same period in 2014, US Mine Safety and Health Administration data indicate.

By contrast, output at Parkway in January-September was up by 0.6pc year over year to 871,663st.

Armstrong will release its third quarter results on 12 November.