Pickins mining

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Pickins mining

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It was professionally written in an academic language, one could see the extensive and thorough research that was carried out. The company operates deep mines as well as strip mines.

Most of the coal mined is sold under contract, with excess production sold on the spot market. The coal mining industry, especially high-sulfur coal operations such as Pickins, has been hard-hit by environmental regulations.

Recently, however, a combination of increased demand for coal and new pollution reduction technologies has led to an improved market demand for high-sulfur coal.

Pickins has just been approached by Middle-Ohio Electric Company with a request to supply coal for its electric generators for the next four years. Pickins Mining does not have enough excess capacity at its existing mines to guarantee the contract. Strip mining is a process where the layers of topsoil above a coal vein are removed and the exposed coal is removed.

Pickins mining

Some time ago, the company would simply remove the coal and leave the land in an unusable condition. Changes in mining regulations now force a company to reclaim the land. That is, when the mining is completed, the land must be restored to near its original condition.

The land can then be used for other purposes.

Pickins Mining Case | creativeessays

The contract only runs for four years. At that time the coal from the site will be entirely mined. The company feels that the equipment can be sold for 60 percent of its initial purchase price.

However, Pickins plans to open another strip mine at that time and will use the equipment at the new mine. Pickins Mining feels that coal production will betons,tons,tons, andtons, respectively, over the next four years. The mine will require a net working capital investment of 5 percent of sales.

The NWC will be built up in the year prior to the sales. Pickins will be responsible for reclaiming the land at termination of the mining.

This will occur in Year 5. After the land is reclaimed, the company plans to donate the land to the state for use as a public park and recreation area.

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Pickins faces a 38 percent tax rate and has a 12 percent required return on new strip mine projects. Assume a loss in any year will result in a tax credit. You have been approached by the president of the company with a request to analyze the project.The new Klein Tools Flashlight with Worklight is a better alternative than a large, heavy flashlight when working in low light areas.

This light is both a bright, focused flashlight and a broadcasting flood light in one small package. Pickins Mining is a mid sized coal mining company with 20 mines located in Ohio, West, and Kentucky.

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Pickins Mining Case. Pickins Mining Case. Pickins Mining is a midsized coal mining company with 20 mines located in Ohio, West Virginia, and Kentucky.

The company operates deep mines as well as strip mines. Most of the coal mined is sold under contract, with excess production sold on the spot market. Pickins Mining CasePickins Mining is a midsized coal mining company with 20 mines located in Ohio, West Virginia, and Kentucky.

Pickins mining

The company operates deep mines. Pickins Mining Case. Pickins Mining is a midsized coal mining company with 20 mines located in Ohio, West Virginia, and Kentucky. The company operates deep mines as well as strip mines. Most of the coal mined is sold under contract, with excess production sold on the spot market.

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