The Buchanan Mine Complex in Viriginia will receive a $169.1 million investment from Coronado Global Resources,an Australian company that produces metallurgical coal.
The move will create 181 jobs, bringing the total number of employees at the location to 781, Virginia Governor Glenn Youngkin said on Tuesday.
The expansion is to meet the rising demand for metallurgical coal, which is used to make steel.
The business started operating at the Buchanan Mine Complex in 1983, and in 1987, longwall mining operations started there.
Coronado CEO Gerry Spindler said: “Coronado’s worldwide operations produce the highest quality metallurgical coal used in steel making.”
“We are committed to our Buchanan operation in Virginia and see great potential for capitalizing on the growing demand for steel, not only for construction and transportation infrastructure but also [for] renewable energy component parts.”
Coronado idled its U.S. mines and temporarily furloughed workers in 2020 in response to pandemic-sparked global economic downturns.
Youngkin said: “Coronado Global Resources’ major expansion is a win-win, creating 181 high-paying jobs in the resilient Buchanan community and increasing Southwest Virginia’s production of an essential component for the steel industry,
“We value our long-term corporate partnership with Coronado and look forward to the economic benefits that will stem from this tremendous announcement.”
The Virginia Economic Development Partnership worked with Buchanan and Tazewell counties and InvestSWVA to secure the project.
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State Senator Todd Pillion, co-chair of InvestSWVA, said: “Coronado’s additional investment in its Buchanan operation and its skilled workforce demonstrate a commitment to ensuring Virginia remains the energy capital of the East Coast,
“Our team is proud to have partnered with Coronado’s executive leadership in a retention and growth strategy that will supply the world’s steel manufacturers with the highest-quality met coal available in the global market.”