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Massey Energy Adds High Quality Central Appalachia Coal Reserves

Monday, November 17, 2008 4:15 PM


RICHMOND, Va., Nov. 17 /PRNewswire-FirstCall/ -- Massey Energy Company (NYSE: MEE) announced today that it has completed the acquisition of various coal assets from The Brink's Company (NYSE: BCO) including more than 14.4 million tons of proven high quality coal reserves. The acquired coal reserves are strategically located adjacent to Massey's Knox Creek, Bandmill and Logan County mining operations in Central Appalachia and, as a result, will provide significant cost advantages for Massey when they are developed.

(Logo: http://www.newscom.com/cgi-bin/prnh/20071031/MASSEYENERGYLOGO )

'We continue to execute our 'Position to Win' strategy in Central Appalachia by controlling a dominant share of the most valuable coal reserves in the country,' said Don Blankenship, Massey's Chairman and CEO. 'This transaction extends the advantage we hold over our competitors in terms of total reserve tons and reserve quality and will likely lead to additional cost advantages as well.'

In addition to the completed transaction, Massey has agreed in principle to acquire an additional 32.0 million tons of coal reserves from The Brink's company pending the satisfaction of certain conditions. In total, Massey expects to acquire approximately 36.4 million tons of coal reserves for cash consideration of $10 million and the assumption of approximately $5 million in related leasehold and reclamation liabilities.

Massey Energy Company is the largest coal producer in Central Appalachia and has a total of 2.3 billion tons of proven and probable coal reserves.

Company Description

Massey Energy Company, headquartered in Richmond, Virginia, with operations in West Virginia, Kentucky and Virginia, is the fourth largest coal company in the United States based on produced coal revenue and is included in the Standard & Poor's 500 Index.

Forward Looking Statements

Statements in this press release relating to future events and other disclosures and statements that are not historical facts are forward-looking statements (as defined under the Private Securities Litigation Reform Act of 1995) that involve risks and uncertainties. Caution must be exercised in relying on these forward-looking statements as actual results may differ materially from these forward-looking statements, which are based on our then current expectations as a result of market conditions, the actions by third parties, and many other factors. For a discussion of such risks and uncertainties related to Massey, which could cause actual results to differ from those contained in the forward-looking statements, see Massey's earnings releases and see 'Risk Factors' in Massey's most recent Annual Report on Form 10-K and subsequently filed interim reports. Such filings are available at Massey's website www.masseyenergyco.com or upon request from Massey's Investor Relations Department at 866-814-6512. Massey disclaims any intention or obligation to update any forward-looking statements whether as a result of new information, future developments, or otherwise.

SOURCE Massey Energy Company

(Source: PR Newswire )

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