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Spring Creek federal coal lease heads to sale

by Warren S.
September 19, 2025
in Upstream
Spring Creek coal lease to be sold
Baker Hughes

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The Spring Creek coal mine is going up for auction, according to the Bureau of Land Management. The site in Big Horn County, Montana, offers roughly 1,262 acres containing an estimated 167.5 million tons of recoverable coal. The BLM has been on a tear, auctioning off leases of federal coal sites in recent months, no doubt trying to align with the Trump administration’s new approach to the energy sector in the United States. The lease follows an application from the Navajo Transitional Energy Company, LLC, operator of the Spring Creek Mine.

Coal remains the backbone of the American economy, thanks to the Trump administration

The Bureau of Land Management has laid the foundation for the American economy to continue to rely on coal for the foreseeable future. The lease at the Spring Creek Coal mine extends the mine’s life through 2051, and the bidders will need to submit their bids before 4:30 p.m., Oct. 3, 2025. The lease will be sold on October 6, 2025, at 10 a.m. Mountain Time (MT).

Trump stated that he would, on his first day in office, sign several executive orders into law that aim to revitalize America’s flailing energy sector and enable the United States to become more energy independent. Local Republicans and government officials have welcomed the lease sale, stating that the Trump administration’s executive orders could provide the United States with a pathway to self-sufficiency.

“Coal has long been the backbone of America’s energy and industrial strength. By moving forward with these lease sales, we are creating good-paying jobs, supporting local communities, and securing the resources that keep America strong. President Trump’s leadership is putting American workers first and ensuring our nation’s energy future is built on reliable, homegrown resources.” – Interior Secretary Doug Burgum

The Spring Creek coal lease is worth an eye-watering amount of money

The coal sector in the United States has been bolstered by the Trump administration’s new approach to the energy sector. Trump has been pioneering the revitalization of the energy sector with his executive orders, 14241, “Immediate Measures to Increase American Mineral Production,” and Executive Order 14261, “Reinvigorating America’s Beautiful Clean Coal Industry.”

The lease sale aims to expand the operations at the Spring Creek Mine, which is managed by the BLM under the Mineral Leasing Act and the coal provisions of the One Big Beautiful Bill Act. The BLM states that the winning bidder will have to pay a cost recovery fee in the amount of $344,773.00, on top of any additional fees incurred by the BLM.

“A lease issued because of this offering will require payment of an annual rental of $3 per acre, or fraction thereof, and a royalty payable to the United States pursuant to section 7(a) of the Mineral Leasing Act. The sealed bids should be sent by certified mail, return receipt requested, or be hand delivered to the Public Room, BLM Montana State Office, and clearly marked “Sealed Bid for MTM 105485-01 Coal Sale—Not to be opened before 10 a.m. MT on October 6, 2025.” The Public Room representative will issue a receipt for each hand-delivered bid. Bids received after 9:30 a.m. MT on October 6, 2025, will not be considered.” – The Bureau of Land Management

The Trump administration’s executive orders and policies are producing results for the energy sector

Trump’s new approach to the energy sector is producing some interesting results. His administration has been hard at work analyzing any policies that were implemented during the previous administration. His administration aims to expand the production levels in the energy sector by bypassing any regulatory barriers put in place by the Biden era, enabling more sites to mine for more coal and natural gas, while the renewable sector sees several sites and projects having their funding cut or pulled.

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