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Article

8 May 2020

Author:
Ari Natter and Jason Grotto, Bloomberg News with mining.com

USA: Coal companies receive $31 million from stimulus package, drawing criticism from environmentalists

"Coal snaps $31 million in US stimulus loans for small business", 5 May 2020.

...The U.S. Small Business Administration has given more than $31 million in loans from the Paycheck Protection Program to publicly-traded coal mining companies, according to Securities and Exchange Commission filings...Among the recipients are Ramaco Resources, Rhino Resource Partners LP, Hallador Energy Co. and American Resources Corp. The stimulus program has drawn criticism for...loans to Shake Shack Inc., Potbelly Corp. and the Los Angeles Lakers Inc. while millions of mom-and-pop firms were left stranded when the program ran out of money. All three have since returned the money...

The industry...says there is no reason why coal miners shouldn’t be recipients of stimulus funding...“The industry is experiencing many of the same challenges confronting so many other industries and deserves the same support,” said Ashley Burke, a spokeswoman for the National Mining Association...“During these unique and trying times, we are taking the opportunity to keep people working and are actively taking this opportunity to advance our environmental efforts as well as maintenance of our existing operations to put us in a position to grow our infrastructure platform once we get past Covid-19,” Mark Jensen, the chief executive officer of American Resources, said in a statement...

“The Paycheck Protection Program was set up to help working families keep the lights on and put food on the table, not enrich corporate shareholders,” said Ryan Schleeter, a spokesman for environmental group Greenpeace USA, which has opposed using stimulus funds to aid the fossil-fuel industry...“The coal industry stands out as the member of the fossil fuel herd that was uniquely sick before Covid ever hit and is even worse off after...” said Justin Guay, director of global climate strategy for the Sunrise Project, an environmental group...