The changing structure of the US coal industry: An update, July 1993

Section 205(a)(2) of the Department of Energy Organization Act of 1977 requires the Administrator of the Energy Information Administration (EIA) to carry out a central, comprehensive, and unified energy data and information program that will collect, evaluate, assemble, analyze, and disseminate data and information relevant to energy resources, reserves, production, demand, technology, and related economic and statistical information. The purpose of this report is to provide a comprehensive overview of changes in the structure of the US coal industry between 1976 and 1991. The structural elements examined include the number of mines, average mine size, the size distribution of mines, and the size distribution of coal firms. The report measures changes in the market shares of the largest coal producers at the national level and in various regions. The Central Appalachian low-sulfur coal market is given special attention, and the market for coal reserves is examined. A history of mergers in the coal industry is presented, and changes in the proportions of US coal output that are produced by various types of companies, including foreign-controlled firms, are described. Finally, the impact of post-1991 mergers on the structure of the industry is estimated. The legislation that created the EIA vested the organization with an element of statutory independence. The EIA does not take positions on policy questions. The EIA's responsibility is to provide timely, high-quality information and to perform objective, credible analyses in support of deliberations by both public and private decisionmakers. Accordingly, this report does not purport to represent the policy positions of the US Department of Energy or the Administration