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Monday, April 26, 2010

Breaking News--Massey NRP ties story picked up nationally

(Click on title for story link)
We covered this angle on this site on April 13, 2010 and raised the questions regarding additional culpability of NRP with the Massey tragedy.

This was submitted to the Seminal (FireDogLake) with accompanying documentary evidence, including the SEC filings for their consideration.

We are pleased to learn they wrote a story on it and are asking the same questions of additional culpability.

From bnet NRP:
We lease coal reserves to experienced mine operators under long-term leases that grant the operators the right to mine our coal reserves in exchange for royalty payments. We do not operate any mines. In managing our properties, we actively work with our lessees to develop efficient methods to exploit our reserves and to maximize production from our properties.
NY Times story of the contrast between two mines: One follows the rules, one doesn't. The contrast of the way the two mines operate in this story is compelling.

It illustrates the difference between the safe way and the "Massey way." And the NRP way.

Just because you own the land, as NRP does in the Massey case, it does not absolve you of responsibility. Especially when you receive a production-based royalty stream from the mine.

"Produce at any cost...." 29 men dead.

Worker safety and environmental regulations are not profit centers. Aggressive production, short cuts and the arrogance of Massey and NRP are what created this tragedy. It's not the only one. And it won't be the last either.

We hope Mr. Vecellio has a bit of a restless evening.

*April 26, 2010 State Journal WV:
Massey Board Director Bobby Inman called allegations that the company put profits over safety a "big lie." He blamed such sentiment on plaintiffs’ lawyers and leaders of the United Mine Workers union and AFL-CIO. The UMW announced April 26 that it would help investigating the blast.

Massey is facing a shareholder lawsuit stemming from the explosion, as well as wrongful death litigation and mounting scrutiny from regulators.

“The calls for resignation are coming from those who hold 2 percent of total shares and it has received disproportionate coverage from the media,” Inman said. “The last thing we want to do in the middle of a crisis is switch leadership. We have an obligation to stockholders and employees to fill orders and fulfill contracts, so a change is not in the cards at this time.”

The first senate hearings occur today April 27 and it is reported on the news this morning that Massey will NOT be in attendance.

Their arrogance is palpable....

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