CONSOL Energy Inc. and American Electric Power (AEP) have entered into a memorandum of understanding regarding the proposed sale of AEP’s affiliate mines in Ohio and West Virginia to CONSOL Energy.
Under the proposed agreement, CONSOL Energy would purchase the stock of Windsor Coal Company in West Liberty, WV, Southern Ohio Coal Company in Wilkesville, OH, and Central Ohio Coal Company in Cumberland, OH.
In addition, AEP would enter into coal supply agreements with CONSOL Energy to purchase approximately 34 million tons of coal from these and other CONSOL Energy affiliate mines through 2008. The coal would be used at various AEP coal-fired power plants including the Muskingum River, Cardinal and Gen. James. M. Gavin plants.
As part of the proposed agreement, AEP would retain ownership of, and continue to manage, the area of reclaimed coal lands known as ReCreation Land.
