Only Interested Buyer Backs Out of Navajo Coal Plant

The Navajo Transitional Energy Company dropped its bid to purchase the biggest coal-fired power plant west of the Mississippi River, along with the coal mine that feeds it.

NTEC’s decision March 22 puts in doubt the future of both the 2,300-megawatt Navajo Generating Station in northern Arizona, and the nearby Kayenta Mine, owned by Peabody Energy Corp.

In a statement, NTEC—a stand-alone business authorized by the Navajo Nation to negotiate on its behalf—said it was dropping out because of a March 21 vote by the Navajo legislature against the purchase.

The northern Arizona plant is scheduled to close in ...