Current Rules For The Mining Industry Remain In Place

The mechanized shovel is an example of mining equipment that is used to shovel loads of coal from an 80-feet thick seam into a hauling truck. Coal from the mining site is shipped to power plants for the generation of 1/3 of the nation’s electricity. However, the demand for coal has dropped because of the cheaper price of natural gas. At present, natural gas has gained a bigger share of the power market.

According to interior officials, a Federal Register announcement will be made on Monday that the current rules governing the mining industry will remain in place while waiting for a court decision. The rules that have been in place since 1980 allows mining companies to sell fuel to affiliates and pay royalties to the government on that price and then sell their coal to overseas buyers for a higher price.

In 2016, mining companies were able to sell 316 million tons of coal that came from federal and Indian lands with a total price of $5.4 billion. The sales generated nearly $600 million in royalties, based on the data from interior department. Most of the coal was mined from public lands in Wyoming although mines in Montana, Colorado, Utah and New Mexico play significant roles.

During the administration of President Obama, changes were aimed at ensuring that mining companies do not shortchange taxpayers from the sales of coal to Asia and other world markets. Over the past decades, coal exports have increased but domestic demand has decreased.

However, federal lawmakers and watchdogs started to complain that taxpayers were losing hundreds of millions of dollars annually because of the improper calculations of royalties from coal derived from public lands. One half of the royalties paid to the federal government are disbursed to the states. Mining companies on the other hand argue they their expenses for transportation and logistics are high and should not be factored into the calculations for royalty payments.

Equipment produced by the ball mill manufacturer for the mining industry require high-duty, time-tested quality to satisfactorily meet the requirements of the industry. Ball mills are used for crushing, grinding and processing of materials before the extraction of resources from the mined materials.