Mining group criticizes reports on coal exports

The head of a major mining trade group questioned reports that mining firms might be ducking federal royalty payments.

Senate Energy and Natural Resources Committee Chairman Ron Wyden (D-Ore.) and ranking member Sen. Lisa Murkowski (R-Alaska) asked the Interior Department earlier this month to investigate coal export practices.

The senators cited Reuters reports that led them to believe federal and state governments could be missing out on hundreds of millions of dollars in royalties.

National Mining Association CEO Hal Quinn said he planned to speak with Wyden and Murkowski about the issue.

“I’m not saying their questions are illegitimate. What I’m saying is that to the extent that it’s been driven by some reporting we’ve seen, we’re not sure that reporter had all his facts,” Quinn told reporters Wednesday at an event hosted by the U.S. Energy Association.

The Reuters reports said mining firms sell coal excavated on federal lands to traders and marketers at artificially low prices. The reports said those intermediaries are often owned by the mining companies, and sell the coal abroad at higher prices.