Cambrian Coal and its affiliated companies filed for Chapter 11 bankruptcy in the U.S. Bankruptcy Court for the Eastern District of Kentucky in Lexington on June 16. Cambrian has received commitments from lenders for up to $15 million of debtor-in-possession (DIP) financing and will explore a sale process under court supervision. The company said it expects to continue normal mining operations and customer shipments throughout the process.
“Today’s announcement represents a significant step in our ongoing efforts to secure our company’s position,” said Mark Campbell, president of Cambrian. “We will continue to provide our customers with exceptional service as we move through this process, while maintaining and further reinforcing our position in the industry with the highest standards for safety, environmental stewardship and productivity. This court-supervised process will also allow us to prepare our company for sale.”
Cambrian operates three primary mining facilities in Kentucky and Virginia: Perry County Coal, located near Hazard, Kentucky; Premier Elkhorn Coal, located near Dorton, Kentucky; and Clintwood Elkhorn Mining, located in eastern Kentucky and western Virginia. The company produces a high-vol metallurgical grade coal along with coals for pulverized coal injection (PCI).
