SULLIVAN COUNTY, Ind. (Inside INdiana Business) — Ninety employees from Carlisle Mine in Sullivan County have been laid-off as the company temporarily idles production.
Terre Haute-based Hallador Energy Co. (Nasdaq: HNRG) says its wholly-owned subsidiary, Sunrise Coal LLC, is stopping production due to shrinking demand.
“Unfortunately, weak market conditions have resulted in an over-supply of domestic coal, which necessitates that we reduce our production,” said Larry Martin, chief financial officer of Hallador Energy Co.
The company says it will be shifting production to its lower cost operations at Oaktown, Indiana. Hallador is also reducing its sales guidance to 7.0 million tons for 2020, down from 8.0 million tons forecasted last fall.
In November, the company reported a third-quarter net loss due to “challenging mining conditions.”
“The employees who are affected by this action are a part of the Sunrise family, and we regret the impact this will have on their families and the community. We thank them for their dedication and service,” said Martin.
Sunrise Coal operates mines in southern Indiana and southern Illinois. The company says much of the coal it produces is used for the electric power generation industry.