Murray Energy, one of the nation's biggest coal companies and based in St. Clairsville in eastern Ohio, filed for bankruptcy protection Tuesday in Columbus. The company joins a growing list of more than 40 coal miners that have filed for bankruptcy protection over the past decade.

Cheap, abundant sources of natural gas and the growing use of renewable energy have pushed another coal company into bankruptcy protection, this one an industry giant whose owner had pressed the Trump administration for help.

Murray Energy, based in St. Clairsville in eastern Ohio and one of the nation's biggest coal miners, filed for Chapter 11 bankruptcy protection in U.S. Bankruptcy Court in Columbus, the company said Tuesday.

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"Although a bankruptcy filing is not an easy decision, it became necessary to access liquidity and best position Murray Energy and its affiliates for the future of our employees and customers and our long-term success," company founder Robert Murray said in a statement.

That Murray Energy fell into bankruptcy is not a surprise, given that it missed debt payments this month.

The company announced a deal with creditors in which they will make what's called a "stalking horse" bid under the bankruptcy laws to exchange company debt for its assets. A group of creditors has provided $350 million to allow the company to operate while in bankruptcy.

Murray, the company’s 79-year-old founder, is relinquishing the CEO job to Robert D. Moore, the company’s chief operating officer who also is president and CEO of coal producer Foresight Energy, a company over which Murray Energy has a controlling interest. Foresight is not part of the bankruptcy. Murray is expected to remain as Murray Energy’s board chairman.

The company is seeking to restructure $2.7 billion in debt. It also says it has more than $8 billion in actual or potential legacy liabilities including pensions.

Bankruptcy documents blame the company's struggles on the same thing that has led to the bankruptcy of more than 40 coal companies since 2008: the closing of coal-fired power plants, record production of inexpensive natural gas and the growth of wind and solar energy that, coupled with gas, are displacing coal plants.

At the same time, regulations such as restrictions on mercury emissions have put pressure on utilities to move away from coal, said Taylor Kuykendall, senior coal reporter for S&P Global Market Intelligence.

"Even the threat of potential regulations going forward casts a shadow on new potential investment in coal plants," he said.

In 2007, coal was used to produce half of the nation's electricity. Today, it is about 25% and forecast to go to 22% in 2020, according to the Energy Information Administration.

The filing comes as Murray, a major Republican donor and a big supporter of President Donald Trump, sought help from federal regulators to keep coal mines open.

"They had the keys to the kingdom with the election of Donald Trump and couldn't turn the industry around," said Tom Sanzillo, director of finance for the Institute of Energy Economics & Financial Analysis. "Markets make profits. Politicians don't make profits."

Murray Energy's bankruptcy comes more than a year after the Trump administration's efforts to subsidize struggling nuclear and coal-fired power plants — particularly ones that Murray supplies — were shot down by Trump's own appointed energy regulators.

"Mr. Murray was the ultimate optimist in the coal industry. Now, he's facing the same challenges as everyone," Sanzillo said.

Murray has a long history of supporting Republicans, who he viewed as more friendly to coal interests.

He repeatedly sued the administration of Democrat President Barack Obama over clean-air rules and became closely aligned with Trump during his 2016 campaign after a Trump Tower meeting with the candidate.

Murray Energy’s political-action committee routed $83,786 to Trump’s campaign in the 2016 cycle and followed up with a $1 million contribution in 2017 to America First Action, a pro-Trump super PAC.

The Murray PAC also gave $300,000 to New Day for America, a super PAC that supported then-Ohio Gov. John Kasich’s failed bid for the GOP nomination, and $250,000 to the host committee of the Republican National Convention in Cleveland.

Murray gave six suggested executive orders to Trump to repeal “anti-coal” regulations after Trump took office — including withdrawing from the Paris Climate Accord — with the administration acting on some of Murray’s wish list, according to The Washington Post.

All told, the Murray Energy PAC has contributed $3.3 million to federal candidates, their allied super PACs and other conservative causes in recent years, according to Federal Elections Commission records.

Murray and his coal company have been a major player in Ohio Republican politics for years, reliably supporting Kasich and current Gov. Mike DeWine, who attended a July 24 fundraiser for Trump hosted by Murray in Wheeling, West Virginia.

Murray Energy

was the fifth-biggest coal producer in the U.S. in 2018, according to federal data that shows the company mined nearly 50 million tons of coal, or 6.1% of the nation's output.

The bankruptcy documents show the company has about 5,500 employees and operates 13 mines in six states and the South American country of Colombia.

Murray Energy, which began in 1988 with a single mine in Belmont County, once operated multiple mines in eastern Ohio, but only one remains — the Century Mine near Beallsville in Monroe County.

Kuykendall believes the company will be able to emerge from bankruptcy protection in much better shape to compete, even in a declining market for coal.

"Murray has a lot of high-quality, well-positioned and relatively low-cost coal operations," he said. "The problem is the company racked up a lot of debt while building up their business in recent years. With the export market taking a tumble recently, Murray simply could no longer service its debt and other obligations."

mawilliams@dispatch.com

@BizMarkWilliams

Dispatch Reporters Randy Ludlow and Beth Burger contributed to this story.

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