Alpha Natural Resources 8K Statements in this presentation which are not statements of historical fact | SEC 21 Feb 07

Morgan Stanley Basic Materials

Conference

New York, NY

February 21, 2007

Exhibit 99.1

Statements in this presentation which are not statements of historical fact

are “forward-looking statements”

within the “safe harbor”

provision of the

Private Securities Litigation Reform Act of 1995. These forward-looking

statements are based on the information available to, and the expectations

and assumptions deemed reasonable by, Foundation Coal Holdings, Inc. at

the time this presentation was made. Although Foundation Coal Holdings,

Inc. believes that the assumptions underlying such statements are

reasonable, it can give no assurance that they will be attained.

Factors that

could cause actual results to differ materially from expectations include the

risks detailed under the section “Risk Factors”

in the company’s Form 10-K

filed with the Securities and Exchange Commission.

Also, this presentation contains certain financial measures, such as

EBITDA. As required by Securities and Exchange Commission Regulation

G, reconciliations of these measures to figures reported in Foundation

Coal’s consolidated financial statements are provided in the company’s

annual and quarterly earnings releases.

FORWARD-LOOKING STATEMENTS AND

RECONCILIATION OF NON-GAAP MEASURES

•

Diversified producer with major presence in NAPP and PRB

•

Developing internal growth prospects and positioned to capitalize on

external growth possibilities

•

Solid margins driven by low cost structure

•

Positive cash flow generation since IPO and projected positive cash

flow in 2007

•

Strong, sustainable long-term coal market fundamentals

•

Experienced management focused on shareholder value

•

Proven business plan for success

WHY INVEST IN FCL?

PERFORMANCE HIGHLIGHTS

250

500

750

1,000

1,250

1,500

2002

2003

2004

2005

2006

2007

100

150

200

250

300

350

400

2002

2003

2004

2005

2006

2007

Notes:

In millions

2002 –

04 data on pro forma basis

2005 data reflect results for successor company

2007 data per 2/15/07 guidance

Revenues

Adjusted EBITDA

KEY PERFORMANCE HIGHLIGHTS

2002

2003

2004

2005

2006

2007

Coal Shipments

4.5

3.8

3.2

2.5

1.9

2.0

2.1

2.0

590

600

610

620

630

640

650

660

670

680

690

0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5

5.0

Debt Repayment

+ 69%

+ 87%

+ 16%

STRONG POSITIVE FREE CASH FLOW

-$4.00

-$3.50

-$3.00

-$2.50

-$2.00

-$1.50

-$1.00

-$0.50

$0.00

$0.50

$1.00

$1.50

FCL

Notes:

(1) Represents cash flow from operating activities less purchases of property, plant & equipment, including

amounts paid under coal leases (bonus bids, minimum royalties) and excludes amounts paid for acquisitions

(2) Shares used in the diluted earnings per share calculation, as of December 31, 2005 and December 31, 2006

(3) Company D data for nine months ended September 30, 2006

Sources:

Earnings New Releases and cash flow statements in Form 10-Qs.

Free

Cash

Flow

Comparison

(1)

–

FCL

vs.

Peer

Companies

2006

(3)

2005

-$4.00

-$3.50

-$3.00

-$2.50

-$2.00

-$1.50

-$1.00

-$0.50

$0.00

$0.50

$1.00

$1.50

FCL

•

Large, diversified producer

•

Safe, low-cost, highly productive

operations

•

Effective use of technology

Note: * Includes margin from non-coal related core assets

Source: Public company filings and press releases; EBITDA adjusted for unusual and one-time items

•

Emphasis on continuous

improvement

•

Experienced management team

FAVORABLE MARGIN COMPARISON

Key

Margin

Drivers

18.5%

18.2%

16.8%

16.1%

20.3%

12.6%

FCL

Three-Year

Average

(2004

06)

21.2%

20.6%

16.7%

15.7%

21.8%

15.4%

FCL

Full-Year 2006

ENERGY INDUSTRY OVERVIEW

HAVE COAL PRICES FOUND NEW FLOOR?

Source:

Platts

Coal

Outlook

Average

Monthly

Spot

Prices

$0.00

$10.00

$20.00

$30.00

$40.00

$50.00

$60.00

$70.00

$0.00

$5.00

$10.00

$15.00

$20.00

$25.00

NYMEX

Pitt 8, 4.0 LB. SO2

PRB 8800

COAL IS STILL THE MOST COMPETITIVE FOSSIL

FUEL FOR BASELOAD GENERATION

$81.58

$80.61

$59.57

$21.62

$17.27

$11.41

100

120

Power

Production

Cost

Comparison

Sources: Global Energy Advisors, via FERC Form 1 and EIA Form 906; based on average fuel costs of: Natural Gas -

$7.21/mmBtu, Petroleum -

$5.55/mmBtu, Coal -

$1.45/mmBtu, excludes environmental adders.

FUTURE DEMAND GROWTH THROUGH INCREASED

CAPACITY UTILIZATION AND NEW COAL PLANTS

Source:

Energy

Information

Administration,

Annual

Energy

Outlook

2007 (Early Release), Reference Case

200

400

600

800

1,000

1,200

1,400

1,600

1,800

2,000

2005

2010

2015

2020

2025

2030

Electric Power

Industrial & Other

Coke Plants

CTL

112 MM tons

Source: Cambridge Energy Research Associates and various news sources

ADDITIONAL SCRUBBED CAPACITY WILL PROVIDE NEW

OUTLETS FOR HIGHER SULFUR COALS

Existing

and

Proposed

Scrubbers

U.S.

Coal

Plants

2007

2008

2009

2010

2011+

Scrubber Additions

FCL NAPP/ILB Open Tons

•

97 GW of additional scrubbed capacity

proposed

•

New FGD investments create the

potential for 266 mm tons of high

sulfur coal demand

FOUNDATION COAL OVERVIEW

Illinois Basin

Shipments (tons MM)

Sales ($ MM)

Reserves (tons MM)

Btu

Sulfur Content

1.2

$32.6

64.0

Medium

Central Appalachia

Shipments

(1)

(tons MM)

Sales

(1)

($ MM)

Reserves (tons MM)

Btu

Sulfur Content

8.9

$418.4

197.2

High

Compliance

and Low

Northern Appalachia

Shipments (tons MM)

Sales ($ MM)

Reserves (tons MM)

Btu

Sulfur Content

13.8

$535.5

747.3

High

Medium

Headquarters

Baltimore, MD

Powder River Basin

FOUNDATION COAL

Shipments

(1)

(tons MM)

Revenues

(1)

($ MM)

73.9

$1,470.3

1,635.3

Shipments (tons MM)

Sales ($ MM)

Reserves (tons MM)

Btu

Sulfur Content

49.9

$418.8

626.8

Low

Compliance

Reserves (tons MM)

Production (tons MM)

50.0

Production

(1)

(tons MM)

71.6

Avg. Realization ($/Ton)

$8.39

Avg. Realization

(1)

($/Ton)

$19.48

Production (tons MM)

1.2

Avg. Realization ($/Ton)

$27.26

Production (tons MM)

13.4

Avg. Realization ($/Ton)

$38.81

Production (tons MM)

7.0

Avg. Realization ($/Ton)

$50.17

Note: LTM production, shipment, sales, average realization, and

reserve figures as of 12/31/06.

(1) Shipments, sales, and average realization include tons that

were purchased and resold.

DIVERSIFIED OPERATIONS

PRICED AND UNPRICED TONNAGE

(AS OF 1/24/07)

70%

48%

19%

30%

52%

81%

98%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2007

2008

2009

2010

Total

PRB

Eastern

Steam

Metallurgical

Committed and priced

Uncommitted and unpriced

74%

56%

24%

26%

44%

76%

100%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2007

2008

2009

2010

58%

28%

42%

72%

93%

94%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2007

2008

2009

2010

15%

85%

100%

73%

27%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2007

2008

2009

2010

25.6 MM

42.0 MM

64.0 MM

2.5 MM

•

Powder River Basin

–

Belle Ayr Mine can expand to 30 million tons of capacity by 2008, if market warrants

•

Phase I (2006)

5 million tons

•

Phase II (2008)

5 million tons possible

•

Phase III (by 2012)

10 million tons possible

–

Eagle Butte LBA in 2007 is expected to add approximately 230 million tons of

additional reserves

•

Central Appalachia

–

Harts Creek reserve

•

63.8 million tons of high quality, low sulfur reserves

•

1.5 million tons per year of run-rate production

•

Northern Appalachia

–

Foundation Mine

•

Several hundred million tons of high Btu Pittsburgh Seam reserves

•

6-7 million tons of run-rate replacement production

–

Freeport reserve (continuous miner)

•

70+ million tons of high Btu, low sulfur steam/metallurgical grade reserves

•

3 million tons per year of run-rate production

A WEALTH OF GROWTH AND SUSTAINABILITY

PROJECTS ENSURE FUTURE PRODUCTION POTENTIAL

FCL VALUATION VERSUS ITS PEERS

Valuation

Comparison

Notes: 2007 EBITDA per 2/20/07 First Call Mean, Enterprise Value

as of 2/9/07

10x

12x

FCL

< 50 MM TPY, regional

> 50 MM TPY, diversified

> 50 MM TPY, regional

•

Major player in NAPP and PRB

•

Successful business strategy

•

Proven record of performance

•

Well-balanced near-term and future contract

position

•

Favorable long-term market fundamentals

•

Excellent long-term outlook

Solid company, solid performance

SUMMARY

Alpha Natural Resources Inactive 8-KStatements in this presentation which are not statements of historical fact