Colorado Governor Backs Arch Coal’s $12 Million Royalty Cut

Colorado Gov. John Hickenlooper (D) is supporting a request that would save Arch Coal $12 million a year in federal royalties, a spokeswoman for the governor tells Bloomberg BNA.

Hickenlooper’s office didn’t explain why he is backing the plan to lower Arch’s royalty on federal land at its West Elk Mine from 8 percent to 5 percent. Arch says royalty relief is needed because coal at the mine is more expensive to get. Environmental advocacy groups, however, said the company’s own reports show that the mine is profitable.

The Bureau of Land Management, which also supports the plan, now ...