Murray Energy, the largest private coal miner in the us, eventually filed for bankruptcy protection. In fact, Murray energy's bankruptcy has been reported for years. After failing to pay its creditors, Murray energy signed a grace deal to buy time to restructure its debt. However, when the grace period expired and the company was still unable to pay, standard & poor's global ratings downgraded the company's credit rating to "default" earlier this month.

The company said last Tuesday that it had received $350 million in credit to cover operations during the bankruptcy filing.

"While filing for bankruptcy was not an easy decision, the company had to do so to ensure long-term growth for its customers and employees," chairman Robert Murray said in a statement. The bankruptcy of Murray energy underscores the enormous pressures facing coal miners. Several coal companies have filed for bankruptcy, but Murray energy is one of the most powerful and connected companies in the industry.

Murray energy and its subsidiaries employ 7,000 people and operate 17 active mines in Alabama, Illinois, Kentucky, Ohio, Utah and West Virginia.

The election of President Donald Trump in 2016 has raised hopes of a coal Renaissance. Although the President moved quickly to cut environmental regulations and even appointed a former coal lobbyist to lead the environmental protection agency, deregulation efforts have been overwhelmed by market forces. Coal simply cannot compete with cheap natural gas, while the price of solar, wind and other forms of renewable energy has plummeted.

Power companies are rapidly phasing out coal in favor of cleaner alternatives. U.S. power plants are expected to use less coal next year than at any time since President Jimmy Carter was in the White House, according to government projections released earlier this month.

According to the U.S. energy information administration, estimated U.S. coal exports fell to 20.9 million short tons in the third quarter, down 28 percent from the same period in 2018. The agency expects coal exports to continue to fall to 17.3 million short tons by the end of 2020. Coal miners would suffer in bankruptcy, not only in their jobs, but possibly in their health care and pension benefits. The company is the last major company to contribute to the united mine workers pension plan. If the company removes the pension requirement, the depleted funds in the pension plan will only get worse.(From SMM)