Coal

Wyoming is the largest coal-producing state in the United States. In 2023, Wyoming produced around 237 million short tons of coal, providing 4,621 jobs and delivering $604 million to state & local governments.

The Basics of Coal

Coal is an organic sedimentary rock that is mostly made up of carbon. This composition makes it energy-dense, which has made it a significant energy source worldwide for centuries. Coal is a versatile resource that is used to generate electricity and manufacture a variety of products, such as chemicals, paper, ceramics, and metal products.

Coal is formed by compressing and altering plant matter over millions of years. It is classified into four ranks based on carbon content, heating value, and other properties. These ranks are anthracite, bituminous, sub-bituminous, and lignite. Coal is primarily comprised of carbon but contains small amounts of sulfur, nitrogen, and other elements.

90% of Wyoming’s coal is used for electricity. Some is sent to industrial sites to heat bentonite kilns, produce cement and steel, and process trona. Thermo-chemical technology can convert coal into resources like soil fertility products, building materials, paving and roofing products, and resins and coatings. Read more about coal-to-products. Coal also produces hydrogen via gasification.

Photo Credit: Courtesy of Wyoming Mining Association

Coal in Wyoming

Commercial coal mining began in Wyoming in the 1860s with the arrival of the Union Pacific Railroad. The coal industry has been a significant part of Wyoming’s economy, creating jobs and boosting the state’s revenue. The income generated from coal has been largely used to fund state infrastructure and budgets. Historically, coal mining jobs have been high-paying, and estimates indicate that each coal industry position supports two more jobs in the service and supply sectors, bringing direct and indirect employment to more than 15,000 workers.

Wyoming’s unique geology makes it home to one of the largest coal reserves in the United States and the world, totaling over 1.4 billion short tons. The coal is currently extracted using surface mining. The majority of this coal comes from the Powder River Basin in northeast Wyoming, which produces 97% of the state’s coal.

Wyoming’s coal is sub-bituminous and moderately low ash, with low levels of sulfur. Some Wyoming coal has less than 0.2% sulfur, making it superior to other kinds of coal for environmental standards. On average, each pound of Wyoming’s coal can burn at around 8,400 to 8,800 BTUs, making it a popular choice for electricity generation.

Currently, the state has 15 mines in Lincoln, Sweetwater, and Campbell Counties, with 8 of the top 10 coal mines in the country. Wyoming coal is sold to half the states in the country, with Texas, Missouri, and Illinois being the top three consumers.

Photo Credit: Courtesy of Wyoming Mining Association

The Future of Coal

Coal production in Wyoming has declined since the late 2000s due to shifts in the electricity generation market. However, current coal demand is stabilizing and may be increasing as electricity needs grow. This demand is driven by the need to power industrial development, such as artificial intelligence, and rising public demand.

Wyoming recognized early that the thermal power market sought lower-emission electricity. The state has led in technology to capture carbon for enhanced oil recovery and is one of only five states with Class VI approval to store captured carbon geologically. Wyoming is exploring options to scale up carbon capture and export this technology to thermal power plants that burn Wyoming coal.