The Colstrip Generating Station will burn Rosebud’s coal until at least 2025. (Photo: Puget Sound Energy)

Westmoreland Rosebud Mining announced the finalization of a new, six-year agreement to supply coal to Colstrip Generating Station’s Units 3 and 4 in December. The new agreement aligns with the needs of the regulated ownership group and will continue to enable Units 3 and 4 to operate reliably. It took effect on January 1 and will continue through to at least the end of 2025.

The Rosebud mine located in Rosebud County, Montana, is a low-cost surface mining operation, located in the Northern Powder River Basin, near the town of Colstrip and in close proximity to the Northern Cheyenne Indian Reservation.

Despite the closure of Colstrip’s 1 and 2 Units at the end of 2019, the output from the mine will continue to provide sufficient energy to power the energy needs of approximately 1 million typical U.S. homes.