Consol Energy to buy AMVEST for $335mn

06/18/07 - newratings.com

NEW YORK, June 18 (newratings.com) - Consol Energy Inc (CNX) Monday announced that it had agreed to acquire privately held AMVEST Corporation and certain of its subsidiaries and affiliates for approximately $335 million.

The coal and methane company said the acquisition will be financed through cash and debt. Consol Energy added that the deal would create a large and contiguous block of coal in Central Appalachia, "of nearly 300 million tons of surface and underground mineable coal." The deal gives Consol Energy 200 million tons of low-sulfur coal reserves, four coal preparation plants, several fleets of modern mining equipment, and a common carrier rail line.