Signal Peak Mine
Signal Peak Energy - Wayne M. Boich, Boich Group
Wayne M. Boich is a man with vision, who has a deep concern for the community, society and the environment. These combined factors make him a powerful and articulate business man.
Introduction
Signal Peak Energy would be the partnership between Wayne Boich and FirstEnergy, an Ohio located utility company. In the spring of 2008, Boich and FirstEnergy decided to buy the Signal Peak Coal Mine. The mining venture can be found to the south of Roundup in Montana. The mine had been owned by the Bull Mountain Coal Co but, in spite of hoping to reopen the mine during the early 1990s, they were not successful and their attempts ended in a few lawsuits.
Boich and FirstEnergy are certainly excited about the Signal Peak Energy Project and the output of the best quality coal which they will promote all over the USA and other Pacific Rim Countries. No cost has been spared in rebuilding and restructuring to get this mine back into operation.
Press Releases
Sept 2009
Dignitaries get close up look at new rail line, mine
Billings Gazette
After an investment of $408 million and a year of rapid construction, the first coal train will leave the Signal Peak Energy Mine near Roundup next week, carrying the first load of low-sulfur Montana coal east to an Ohio utility.
Oct 2010
FirstEnergy and Boich Companies Sell Partial Interest in Signal Peak Coal Mine to Gunvor Group
AKRON CEO
The FirstEnergy Corp.and Boich Companies subsidiaries that jointly own the Signal Peak coal mine inMontanaannounced that Pinesdale LLC, a fully owned subsidiary of the Gunvor Group, Ltd., one of the world's leading commodity traders, has purchased a one-third interest in the venture for$400 million.
Nov 2011
McDermott Acts for Gunvor Group in its Purchase of USD $400 Million Share in Signal Peak Coal Mine
McDermott, Will & Amery
LONDON AND NEW YORK (3 November, 2011) — International law firm McDermott Will & Emery LLP represented Gunvor Group, Ltd., one of the world's leading commodity traders, in its subsidiary’s purchase of one-third interest in Signal Peak coal mine in Montana from the subsidiary joint venture owners FirstEnergy Corp. (NYSE: FE) and Boich Companies. The acquisition was successfully closed for a total purchase price of USD $400 million.
Signal Peak Energy continued...
In one year of rapid construction, a whole new infrastructure was built and the mine site was converted from a few older buildings and little external infrastructure to a big industrial complex. The Signal Peak Energy mine site now consists of a new office, warehouse and shop. Furthermore, there is a new wash plant capable of cleaning 2,000 tons of coal per hour, two massive storage silos along with an considerable conveyor system and of course the railroad spur.
The cost of developing the 36-mile railroad spur alone was $105 million. This rail spur ties into the BNSF main line 3 miles south of Broadview at a crossing which was named "Walter" in honor of the world's oldest man, 112-year-old Walter Breuning of Great Falls. For 50 years, this Montanan worked for BNSF's predecessor, the Great Northern Railway.
Photo Gallery
More about Signal Peak Energy and Wayne M. Boich
The Signal Peak Mine employs 190 people and is anticipated to supply 7 million tonnes of coal per year. This is about one-third of the coal needed by FirstEnergy who have signed a twenty year contract with Signal Peak Energy. At optimum efficiency, the Signal Peak mine can easily load seven trains daily of 120 to 150 cars. Montana coal has been found to create more heat per ton than Powder River coal: 10,300 British thermal units in comparison to 8,000 Btus. This means FirstEnergy can ship less coal to produce the exact same energy, which will help make up for railroad shipping costs. It is this combination that will enable coal to be reasonably competitive with alternative fuels in Ohio.
The new Signal Peak Mine and Railroad Junction was opened by top executives from BNSF Railway, FirstEnergy, The Boich Group, Signal Peak Energy, Gov. Brian Schweitzer along with a select few Montana politicians.
Signal Peak Energy Foundation and Environment
