GILLETTE, Wyo. (AP) — A federal court said it would uphold a Federal Trade Commission decision to block a proposed merger between two leading Wyoming coal companies.
The FTC had said a merger between Peabody Energy Corp. and Arch Resources Inc. would have created a monopoly that could have resulted in higher energy prices for customers, said Rob Godby, director of the Center for Energy Economics and Public Policy at the University of Wyoming College of Business.
A U.S. District Court upheld that opinion on Tuesday.
The Gillette News Record reported that Arch Resources accounted for roughly 28% of coal production in Wyoming’s Powder River Basin in 2019. However, the company’s revenue has steadily decreased as coal demand in Wyoming has gradually declined over the years.