The suit was filed earlier this month in U.S. Bankruptcy Court in St. Louis and includes a $20 million termination fee that the producer said was negotiated as part of the deal’s terms.
Bowie was to purchase the Twentymile longwall operation in western Colorado and the El Segundo and Lee Ranch mining surface complexes in New Mexico.
According to the St. Louis Business Journal, Peabody said Bowie was unable to obtain financing for the deal, resulting in the failed deal, and thus far has refused to pay the agreed-upon fee.
Peabody first filed for bankruptcy in April.
