Mathies Mine for sale, again 5/3/10 article
By Scott Beveridge, Staff writer
sbeveridge@observer-reporter.com
A long-idled coal mine in Union Township is once again for sale to pay on its debts in federal bankruptcy court in Pittsburgh.
U.S. Judge Jeffery A. Deller will hold a hearing and sale May 10 for Mon View Mining Co.’s holdings based in Courtney, court records show.
The hearing will be held on a motion by the mine’s attorney, Donald R. Calaiaro, to sell free and clear of all liens the 1,286-acre facility once known as Mathies Mine at a minimum price of $25 million, court records show.
The mine owner, John Hatch, filed for Chapter 7 bankruptcy after closing the mine and laying off 200 miners in 2002.
Massey Energy is once again showing interest in purchasing the coal and mineral rights, and some of the surface property, having entered a $3.5 million bid on the sale, the mine stated in a legal advertisement.
Massey was outbid on the mine in a prior sale by Consolidated Resources Group Inc. of Florida. CRG defaulted on the mortgage, and that is why the mine is once again for sale, said Leonard Spagnolo, the attorney for the creditors. He said the unpaid property taxes and other debts will be attached to the proceeds of the sale.
The state Department of Environmental Protection has a $451,000 judgment against the mine, and the purchaser must enter into an agreement with the department to take care of the existing environmental problems at the site, the record shows.
Washington County is owed nearly $250,000 in unpaid taxes to the county, township and Ringgold School District, said Debbie Bardella, the county’s recorder of deeds.