Hamilton Beach 2012 Annual Report Download - page 17

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Longer-Term Perspective.
In 2012, NACoal’s Sabine Mine,
which opened in 1984, delivered its
100,000,000th ton of coal, a tribute to
the company’s objective of being a
long-term partner with its customers.
NACoal expects to continue its record of
operational excellence in safety, environ-
mental stewardship and production at
each of its mining operations and, over
time, to deliver profitability that exceeds
its financial objectives.
NACoal’s vision is to continue to be
a leading low-cost miner of coal for its
customers and to provide selected value-
added mining services for companies in
the aggregates business. NACoal expects
to continue to pursue opportunities
for new domestic coal mining projects.
However the prospects for the develop-
ment of new coal fired power generation
in the United States are uncertain at
best. As a result, the company has put
in place four additional strategic growth
initiatives to help achieve this objective.
The company considers its acquisi-
tion of Reed Minerals as the first step in
a metallurgical coal strategic initiative
which includes coal exports. NACoal’s
full integration of Reed Minerals will
increase capacity and lower costs,
providing enhanced opportunities to
increase both domestic and export sales.
The company is also pursuing
opportunities to expand through mining
activities that serve the international
mining arena, such as new opportunities
to provide value-added mining services
outside the United States, similar to its
current relationship in India.
In addition, the company is inves-
tigating a number of non-coal mining
opportunities, both domestically and
internationally.
Finally, strategic growth may
come from projects developed out of
new technologies that utilize coal, such
as coal-to-liquids, integrated gasifica-
tion combined cycle power generation,
and production of alternative fuels
made from coal, as well as other clean
coal technologies and non-traditional
products derived from coal. NACoal
is working with a range of technical
experts and potential partners who
might help develop projects based on
these advanced technologies. However,
any significant growth in domestic
opportunities is largely dependent on
the United States adopting a balanced
energy policy in which coal continues
to play a key role, including through
these new coal technologies.
NACoal believes that a large
majority of consumers in the United
States want a domestic energy policy
which balances affordability, energy
needs and environmental responsibility.
The company believes that coal must
remain an integral part of the nation’s
total energy mix for the United States to
continue to be competitive in a global
economy. NACoal will continue to moni-
tor pending regulations and legislation
and will work to take a leadership role
to help ensure that reasonable actions
are undertaken by the government.
Importantly, NACoal expects that cur-
rently anticipated changes to domestic
environmental regulatory requirements
will be effectively addressed by working
with its customers.
Overall, NACoal anticipates reason-
able prospects for growth over the next
few years as the company’s new mines
currently in development reach full
production. This enhanced financial
performance is expected to provide a
solid base for NACoal to attain its
strategic objectives and achieve its
long-term financial targets.
At left and top left to right: Shovels load overburden into one of a fleet of dump trucks, which carry the overburden to areas of the mine that are being reclaimed.
A look beyond reclaimed land used for growing pine trees to the mining pit at the Red Hills Mine in Mississippi. One of North American Coal’s environmental specialists
tests water samples in a reclaimed wetland.
Bottom:The Kress haul truck that delivered the 100,000,000th ton of coal at North American Coal’s Sabine Mine.