BASIC ESTIMATED CAPITAL INVESTMENT AND OPERATING COSTS FOR UNDERGROUND BITUMINOUS COAL MINES: MINES WITH ANNUAL PRODUCTION OF 1.06 TO 4.99 MILLION TONS FROM A 72-INCH COALBED.

This study estimates capital investment, operating costs, and selling prices for four underground bituminous mines producing coal with annual production ranging from 1.06 to 4.99 million tons. It is assumed that the mines have a 20-year life. Wages and union welfare payments are considered as of December 6, 1974., under the Bituminous Wage Agreement of 1974, and costs for material and equipment are based on 1975 indexes. Initial capital investment ranges from $23,629,500 for the 1.06-million-ton-per-year (MM tpy) mine to $79,907,500 for the 4.99-MM-tpy mine. Total capital investment ranges from $35,336,500 to $118,863,500 for the same mines. Corresponding selling prices for the coal range from $13.57 to $11.36 per ton, assuming a 15-percent discounted cash flow rate of return after Federal income taxes.

  • Corporate Authors:

    Bureau of Mines

    Mining and Safety Research Center, 4800 Forbes Avenue
    Pittsburgh, PA  United States  15213
  • Authors:
    • Katell, S
    • Hemingway, E L
    • Berkshire, L H
  • Publication Date: 1975

Media Info

  • Features: Figures;
  • Pagination: 41 p.

Subject/Index Terms

Filing Info

  • Accession Number: 00099786
  • Record Type: Publication
  • Source Agency: Bureau of Mines
  • Files: TRIS
  • Created Date: Oct 18 1975 12:00AM