Arch Coal to Acquire International Coal Group for $3.4 Billion
Coal mining acquisitions see Arch Coal buying out International Coal Group for $3.4 billion. This will allow Arch Coal to boost coal production for steelmaking grade coal and benefit from the soaring prices and global demand. It will also make Arch Coal the second largest U.S. producer of metallurgical coal by nearly doubling its production by 2015.
The deal comes hot on the heels of Alpha Natural Resources buying out Massey Energy for $6.6 billion and Walter Energy’s agreement to buy Western Coal, a Canadian company for $3.3 billion. Coal acquisitions have been rocking the mining industry due to the profitability factor in the last few years.
The added income from the Arch Coal takeover of International Coal would roll into company coffers by the beginning of 2012. There would also be an annual cost saving of between $70-80 million. Chairman and Chief Executive Officer Steven Leer of Arch Coal said that by projection coal markets were going to be undersupplied in steam and met coal for the next five years.
Mr Leer said that the deal would give the combined company a boost in production that would be able to exploit the high coal prices and demand. Arch Coal will pay $ 14.60 per share for each share of International Coal. This is a 32 % premium to the closing stock price on Friday.
Written by
Joel relocated to Australia in 1995 from the United Kingdom and spent five years working in the mining industry as an exploration geotechnician. His role involved utilizing GIS mapping and CAD software. Upon transitioning to the North Coast of NSW, Australia, Joel embarked on a career as a graphic designer at a well-known consultancy firm. Subsequently, he established a successful web services business catering to companies across the eastern seaboard of Australia. It was during this time that he conceived and launched News-Medical.Net. Joel has been an integral part of AZoNetwork since its inception in 2000. Joel possesses a keen interest in exploring the boundaries of technology, comprehending its potential impact on society, and actively engaging with AI-driven solutions and advancements.
Please use one of the following formats to cite this article in your essay, paper or report:
APA
Scanlon, Joel. (2019, February 18). Arch Coal to Acquire International Coal Group for $3.4 Billion. AZoMining. Retrieved on February 09, 2026 from https://www.azomining.com/News.aspx?newsID=4033.
MLA
Scanlon, Joel. "Arch Coal to Acquire International Coal Group for $3.4 Billion". AZoMining. 09 February 2026. <https://www.azomining.com/News.aspx?newsID=4033>.
Chicago
Scanlon, Joel. "Arch Coal to Acquire International Coal Group for $3.4 Billion". AZoMining. https://www.azomining.com/News.aspx?newsID=4033. (accessed February 09, 2026).
Harvard
Scanlon, Joel. 2019. Arch Coal to Acquire International Coal Group for $3.4 Billion. AZoMining, viewed 09 February 2026, https://www.azomining.com/News.aspx?newsID=4033.
We're committed to providing free access to quality science. By registering and providing insight into
your preferences you're joining a community of over 1m science interested individuals and help us to
provide you with insightful content whilst keeping our service free.
or
Terms
While we only use edited and approved content for Azthena
answers, it may on occasions provide incorrect responses.
Please confirm any data provided with the related suppliers or
authors. We do not provide medical advice, if you search for
medical information you must always consult a medical
professional before acting on any information provided.
Your questions, but not your email details will be shared with
OpenAI and retained for 30 days in accordance with their
privacy principles.
Please do not ask questions that use sensitive or confidential
information.
Read the full Terms & Conditions.