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April 7, 2010

Arch Coal sues EPA over permit veto

Filed under: finance — Tags: , , — Moon @ 7:42 pm

Arch Coal sued the U.S. Environmental Protection Agency on Friday over the planned veto of a permit for the largest mountaintop coal mine in West Virginia.

The EPA doesn’t have the authority to revoke a Clean Water Act permit once it has been issued, Arch alleges in its federal lawsuit filed in Washington, D.C., according to media reports. Arch received a permit for its Spruce No. 1 mine three years ago.

This is the first time in 37 years the EPA has vetoed such a project, prompting praise from environmentalists.

St. Louis-based Arch Coal (NYSE: ACI), headed by Chairman and CEO Steven Leer, is the second-largest U.S. coal producer with revenue of $2.6 billion in 2009.

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