BIRMINGHAM, Ala., Feb. 12, 2016 /PRNewswire/ -- Walter Energy, Inc.
("Walter Energy" or the "Company") today closed the
previously-announced sale of certain U.S. non-core assets to
Seminole Coal Resources, LLC, ERP Compliant Coke, LLC and ERP
Environmental Fund, Inc. ("Seminole") all affiliates of ERP Compliant
Fuels, LLC ("ERP") and Virginia Conservation Legacy Fund, Inc.
("VCLF").
Under the terms of the agreement, Seminole has acquired Walter Energy's assets
in West Virginia, including the
Gauley Eagle and Maple properties, as well as the Walter Coke
facility and Taft in Alabama. As
part of the acquisition, Seminole
assumes certain liabilities related to the assets it is acquiring.
The agreement was previously approved by the Bankruptcy Court for
the Northern District of Alabama
in connection with a court-approved sale process under section 363
of the Bankruptcy Code.
With the close of this sale, Walter Energy's remaining U.S.
assets consist of its core Alabama
coal operations. The sale of those assets to its senior lender
group was also approved by the Bankruptcy Court and is expected to
close in the near future.
On July 15, 2015, Walter Energy
and its U.S. subsidiaries filed for relief under chapter 11 of the
U.S. Bankruptcy Code in the Bankruptcy Court for the Northern
District of Alabama.
PJT Partners is serving as financial advisor and Paul, Weiss,
Rifkind, Wharton & Garrison LLP and Bradley Arant Boult
Cummings LLP are serving as legal advisors to Walter Energy.
About Walter Energy
Walter Energy is a leading metallurgical coal producer for the
global steel industry with strategic access to steel producers in
Europe, Asia and South America. The Company also
produces thermal coal, anthracite, metallurgical coke and coal bed
methane gas, with operations in the
United States, Canada and
the United Kingdom. For more information about Walter Energy,
please visit www.walterenergy.com.
About ERP Compliant Fuels and the Virginia Conservation
Legacy Fund
Virginia Conservation Legacy Fund, Inc. ("VCLF") is a nonprofit
organization seeking sustainable approaches and public awareness
about natural resource use. VCLF controls over 30,000 acres of
conservation land, including the Natural
Bridge of Virginia. VCLF
works closely with the coal industry to promote best management
practices in land reclamation, reforestation, and water quality
improvement. VCLF provides "environmental management services" to
459 coal mining and water quality permits in 5 states. VCLF
affiliate ERP Compliant Fuels, LLC seeks to promote the sale of
coal, and now coke, which is bundled with carbon credits from the
reforestation of Appalachian lands to reduce the rate of growth in
atmospheric carbon dioxide. With the Seminole purchase, ERP will operate one coke
plant and four underground mines, including three longwalls,
producing over 10 million tons of thermal and metallurgical coal
annually. VCLF is supported by The
Plains, Virginia based Green-Trees which has reforested over
100,000 acres (36 million trees) in the Mississippi Alluvial Delta
generating over 12 million tons of carbon dioxide emission
offsets.
For media:
William
Stanhouse, 205-745-2664
william.stanhouse@walterenergy.com
or
Ruth Pachman, 212-521-4891
Kekst and Company
ruth.pachman@kekst.com
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SOURCE Walter Energy, Inc.