Kayenta Mine is located on reservation lands on a highland plateau called Black Mesa in Northeast Arizona. The mine operates through lease agreements with the Navajo Nation and Hopi Tribe and supplies approximately 7.5 million tons of low-sulfur thermal coal annually to Navajo Generating Station near Page, Ariz., under a long-term contract. In 2013, the mine sold 7.9 million tons of coal.
Mining at Kayenta occurs under complex geological conditions, with coal extracted from multiple seams and splits of seams ranging in thickness from 3 to 15 feet. Coal is crushed then carried via conveyor approximately 17 miles to storage silos, where it is loaded on a closed loop electric train and transported approximately 80 miles to an electrical generating station that generates more than 2,250 megawatts of affordable and reliable electricity for businesses and households across the Southwest.
Peabody’s Arizona operations have injected an estimated $3 billion in economic benefits for tribal communities. For example, native people comprise more than 90 percent of Kayenta Mine’s more than 430-person workforce. Operations at the adjacent Black Mesa Mine have been suspended, and Peabody is currently pursuing coal-related opportunities with both tribes that would develop new energy markets, creating high-paying jobs and economic development opportunities for the tribes.
Peabody's Arizona operations have earned numerous awards for industry-leading efforts to reclaim mined lands in a manner that also preserves cultural ways. On Black Mesa, leading-edge technology is used to return land to a condition that typically is 20 times more productive than native range, and more than 15,000 acres have been restored for grazing, wildlife habitat and plant cultivation. The company’s efforts have earned national recognition, including the "Silver" Good Neighbor and National Reclamation Excellence honors from the U.S. Department of the Interior in 2005 and the "Gold" Good Neighbor Award and Director's Award in 2003. Peabody also received international recognition by placing in the top 2 percent among more than 700 entries in the 2006 Energy Globe Awards for creating a global model for sustainability on Arizona's Black Mesa.