States Object to Heritage Coal Chapter 11 Plan

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States Say the Plan Ignores Public Safety

Both states argue that approving the plan as written could create “numerous violations of mining laws and hazards to the public.” Pennsylvania highlighted ongoing risks to local water systems, citing a coal waste disposal area that costs $87,000 annually to manage runoff, with long-term remediation expected to exceed bond coverage by more than $1 million.

Maryland echoed those concerns, saying that approving the plan without enforcing environmental accountability would undermine state authority and expose communities to potential contamination.


Legal Teams Prepare for Showdown

Heritage Coal is represented by Morris James LLP, while the creditors committee is backed by Landis Rath & Cobb LLP and Frost Brown Todd LLP. The Commonwealth of Pennsylvania and Maryland are represented by their respective state attorneys.

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As the October 15 hearing approaches, all eyes are on whether the court will approve the plan or side with regulators and creditors demanding transparency, accountability, and environmental responsibility.