Massey Coal

Here are some things I've learned about Massey Energy Corp. since the mining accident this week that killed 25 miners.

An article in Forbes in 2003 looks at the company's dismal environmental record:

In October 2000 the floor of a 72-acre wastewater reservoir built above an abandoned mine in Kentucky collapsed, sending black sludge through the mine and out into a tributary of the Big Sandy River. The sludge killed fish and plants for 36 miles downstream. Water supplies were shut down in several towns for a month. In total, 230 million gallons spilled out, 20 times the volume of the crude oil from the Exxon Valdez. Lawns nearby were covered in as much as 7 feet of muck. Blankenship says the accident "could have happened to anyone"...

In June 2001 a pump at a mine near Madison, W.Va. sprang a leak during the night shift. Instead of shutting it down, workers handed the problem off to a maintenance crew in the morning. Over the next five hours 30,000 gallons of sludge emptied into Robinson Creek below. The company never told the regulators about the accident; Blankenship says workers made an honest mistake in believing the leak would be contained. Regulators were alerted by residents calling in to report their river had turned black. There were three more illegal discharges into the river over the next two months...

Over the two years through 2001 Massey was cited by West Virginia officials for violating regulations 501 times. Its three biggest rivals, mining twice as much coal in the state as Massey, were cited a collective 175 times. Blankenship says Massey is unfairly targeted by regulators. "We don't pay much attention to the violation count," he says.

Rolling Stone profiled CEO Don Blankenship in January:

In an age when most CEOs are canny enough to at least pay lip service to the realities of climate change, Blankenship stands apart as corporate America's most unabashed denier. Global warming, he insists, is nothing but "a hoax and a Ponzi scheme."...

The country's highest-paid coal executive, Blankenship is a villain ripped straight from the comic books: a jowly, mustache-sporting, union-busting coal baron who uses his fortune to bend politics to his will. He recently financed a $3.5 million campaign to oust a state Supreme Court justice who frequently ruled against his company, and he hung out on the French Riviera with another judge who was weighing an appeal by Massey. "Don Blankenship would actually be less powerful if he were in elected office," Rep. Nick Rahall of West Virginia once observed. "He would be twice as accountable and half as feared."

Michael Whitney digs up some dirt, so to speak. A memo uncovered in a lawsuit against Massey for a 2006 fire in a mine that killed two workers shows Blankenship instructing mine superintendents to ignore safety measures or anything else other than "running coal":

"If any of you have been asked by your group presidents, your supervisors, engineers or anyone else to do anything other than run coal (i.e. - build overcasts, do construction jobs, or whatever) you need to ignore them and run coal," the complaint quotes the memo. "This memo is necessary only because we seem not to understand that coal pays the bills."

The mine has been cited for thousands of safety violations:

This deadly mine has been cited for over 3,000 violations by the Mine Safety and Health Administration (MSHA), 638 since 2009:

Since 1995, Massey’s Upper Big Branch-South Mine has been cited for 3,007 safety violations. Massey is contesting 353 violations, and 127 are delinquent. [MSHA]

Massey is contesting over a third (34.7%) of the 516 safety citations the Upper Big Branch-South Mine received in 2009, its greatest count in the last 15 years. [MSHA]

In March 2010, 53 new safety citations were issued for Massey’s Upper Big Branch-South Mine, including violations of its mine ventilation plan. [MSHA]

The US MSHA issued more than $900,000 in fines against Massey in 2009. Blankenship responds:

“Violations are unfortunately a normal part of the mining process,” Blankenship said in an interview with West Virginia MetroNews Radio.

We need to know more. Why wasn't this mine shut down long ago, either by the Bush or Obama Administrations? I don't know what Obama's excuse is, but it's interesting to note that

In 2002, President George W. Bush “named former Massey Energy official Stanley Suboleski to the MSHA review commission that decides all legal matters under the Federal Mine Act,” and cut 170 positions from MSHA. Bush’s MSHA chief, Dick Stickler, was a former manager of Beth Energy mines, which “incurred injury rates double the national average.”

More later.