Alpha, which filed for Chapter 11 last August, is planning to sell some assets to a group of its first-lien lenders in exchange for debt forgiveness. The plan will be heard by a bankruptcy judge in May, and the producer is hoping to emerge from its bankruptcy in June. However, the environmental agency said in its opposition filing that Alpha has not yet outlined its plan for bonding and clean-up at the mines post-bankruptcy, the Reuters report said. Also, as it estimated current liabilities at about $1 billion, it expressed concerned that the reorganized company may have issues securing needed bonding for the mines in its portfolio. Alpha previously submitted documents to the courts indicating its bonding and cleanup liabilities in West Virginia total $318 million. Of that, $200 million is self-bonding.

Share