ALLEDONIA Murray Energy Corporation is best known in southeastern Ohio for its three independent operating subsidiaries: The Ohio Valley Coal Company in Alledonia; OhioAmerican Energy, Inc., in Brilliant; and American Energy Corporation in Beallsville. Combined, these three companies and the mines they operate employ 1,326 Ohioans and produce 14 million tons of coal annually.
Although many local residents likely know someone employed by Murray Energy and its subsidiaries, few may realize these jobs are the result of determined visionary and Belmont native Robert E. Murray. The son of a coal miner who became paralyzed when Murray was only nine, Bob Murray worked to support his family and developed an entrepreneurial drive early in life, a drive that today supports thousands of families.
That vision began with a single mine, the Powhatan No. 6 Mine in Alledonia, which was on the verge of closing when Bob Murray purchased it in 1988. Saving 292 existing jobs at the mine, he soon added over 250 more. The Century Mine, which Murray developed in 2000 the turn of the century brought 550 additional jobs to the area, jobs the mine continues to maintain. A similar story can be told at the RedBird West mine, operated by Murray independent operating subsidiary OhioAmerican Energy, where nothing at all existed no mine, no jobs until Murray Energy began developing both.
As the company's operations grew, so too did the need for infrastructure to move the massive amounts of energy resources the mines produced. To meet that need, and the demands of an ever-growing customer base, the company developed a barge transloading facility on the Ohio River at Powhatan Point, as well as a maintenance shop in Wheeling to service the large surface and underground equipment used in the mines.
"I am extremely proud of what my father has accomplished," said Rob Murray, Bob Murray's son and vice president of business development and external affairs for the companies. "He invested in an economically challenged area of Ohio and built an amazingly vital and efficient operation that today not only supports thousands of jobs and provides millions of dollars of revenue to local communities, but also keeps energy in the United States affordable."
Murray Energy's independent operating subsidiaries also operate large mines in Illinois, Kentucky and Utah. When the output of these mines is added to those in Ohio, Murray Energy produces approximately 28 million tons of coal a year, making it the largest independent coal mining company in the nation.
And the company's economic impact goes well beyond the coal it produces and the jobs it provides: a study by Pennsylvania State University has found that each direct coal mining job creates up to 11 secondary jobs in related industries. With a total of 3,024 employees company-wide, Murray Energy and its subsidiaries support nearly 15,000 jobs in Ohio, and more than 36,000 jobs nationwide.
COAL UNDER ASSAULT
It is no secret that coal is increasingly under attack from environmentalists, some media, and now politicians in Washington, many under the wing of the new administration.
Environmentalists have redoubled efforts to ban coal-fired power plants, while working to perpetuate the belief that climate change is a direct result of the fossil fuels Americans depend on to keep energy affordable. Some leaders in Congress are considering legislation to combat climate change that will make coal power substantially more expensive.
Although science has yet to prove that climate change is man-made, Rob Murray worries that a man-made spike in the cost of energy will wreak further havoc across the economy, leading to the export of jobs to countries where lower energy costs will allow businesses to remain competitive.
"Higher costs would be a huge blow to businesses that rely on affordable energy to keep their costs down so their products can be competitive in the global marketplace," he said.
Coal, which provides approximately 52 percent of our nation's electricity and more than 85 percent of the electricity in the tri-state is the primary reason that U.S. energy costs have remained affordable for so long. Coal-fired electricity costs less than one-third the cost of power from natural gas and far less than from any other source.
As a purely domestic energy resource, coal supplies and costs are not subject to the whims of foreign governments. It is also our nation's most abundant energy resource, with a 200-plus year supply still to be mined within our borders. Accordingly, Murray believes coal is essential to our nation's energy independence and national security.
"Our company name is not Murray Coal, it's Murray Energy," he said. "Our business is the extraction of energy from the earth the most affordable and reliable type of American energy to power our homes, businesses and communities."
In addition, the younger Murray says, coal-fired electricity generation technology has made tremendous advances; today's modern coal power plants create more energy using less coal, and with lower emissions, than ever before.
"Clearly, investing in research and technology has had significant and positive results. Coal plant emissions have dropped by more than half while coal-fired generation has tripled since 1970," he said. "We certainly support continued investment in clean coal technology as a way to maximize the potential of our domestic energy resources and keep energy affordable."
EMPLOYEE SAFETY THE FOREMOST CONCERN
Murray says advances in technology have changed coal mining as well, especially in the area of safety, an area his father has always believed is an absolute priority.
"We have computer terminals set up in the mines to monitor and control air quality and oxygen levels, and manage fire suppression systems. We can track the location of all of our miners throughout the mine and even operate machines remotely," he says. "The ability to monitor mine conditions and take action to correct problems immediately means our mines are safer, and our workers are safer."
Computers also have had a substantial impact on production, aiding in detecting and mapping coal reserves, modeling mine development and projecting production. But Murray emphasizes his father's belief that safety and productivity are never an 'either-or' proposition.
"It is well documented that, statistically, the most productive coal mines in American are also among the safest, and vice versa," he said.
But inasmuch as technology enhances safety, Murray says it is no substitute for workers who are well-trained in safety procedures and who know what to do in an emergency. The company maintains emergency mine rescue teams and fire brigades at all of its mines and sponsors numerous safety training programs throughout the year.
"Our rescue and fire teams are the best in the business," Murray said proudly. "The members of the all-volunteer mine rescue teams and fire brigades are trained to be first responders in a mine emergency, and those members take that responsibility very seriously because they know that their actions could save the lives of their fellow minersthey wear it as a badge of honor."
In fact, the mine rescue teams from The Ohio Valley Coal Company and American Energy Corporation took first and second place, respectively, in the State's first-ever mine rescue competition last fall in Cadiz.
Still, even the best safety systems and procedures are sometimes not enough to avert unforeseen and terrible tragedy. Murray Energy independent operating subsidiary Andalex Resources, Inc., had only owned its one-half interest in the Crandall Canyon mine for 12 months when it collapsed in August 2007. Murray said the accident has led some to unfairly disparage his father, who he notes stepped up publicly, and financially, like few CEOs ever have or ever would, in every aspect of the rescue effort and since in every conceivable way.
"What happened there was a terrible and unprecedented tragedy that affected my father, me and this company profoundly," he said. "As someone who worked in the mines himself for decades, my father shares a special bond with the miners. He feels very protective of them."
COAL: AN ECONOMIC BENEFIT
As a private, independent company, Murray Energy focuses all of its attention on the development of its energy markets and reserves, and on building and maintaining a top-notch work force. The company is proud of its relationship with its employees and seeks to maintain a level of mutual trust and respect that are rare today.
"We feel very good about being able to provide so many outstanding jobs, and we believe we have many responsibilities to the miners we employ," Murray said, echoing a frequent sentiment of his father. "They are the professionals who operate the equipment and who keep our mines and our miners safe."
Even as coal may come under attack, Murray Energy Corporation remains committed to seeing that this vital energy resource continues to support jobs, our economy and our nation's energy security, while embracing the technological advances and trained workforce that help the company safely produce 28 million tons of coal annually.
"Coal provides affordable energy and coal provides jobs," said Murray. "My father has built a company that provides an important economic stimulus on its own by producing an abundant and affordable source of domestic energy that is essential to maintain American businesses and factories, our quality of life and our national security."
