Exhibit 99.11
Acquisitions
Michael D. Bauersachs Vice President—Planning September 26, 2005
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Growth Through Acquisitions
Coal Reserves Tripled
Millions of Tons
2500 2000 1500 1000 500 0
757
2,326
88 90 92 94 96 98 00 02 04
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Strategy/Planning
Opportunistic—Acquire properties during counter-cyclical times (8 bankruptcy transactions).
Target strategic reserves/infrastructure Embrace trends
Development—Proven record of opening new mines provide opportunities that others ignore.
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Opportunistic Transaction (Example)
Republic (4 separate transactions)
Eagle Land – Lodestar bankruptcy Hanna Land – Horizon bankruptcy Moran outside interests Skitter Creek – Horizon bankruptcy
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Eagle Land Tract
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Moran Tract
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Skitter Crk.Tracts
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Area |
| map 8 |
Strategic Reserves/Infrastructure (Example)
Mammoth Development
Kanawha Energy reserves
Mariner’s Museum property (Horizon lessor)
Cannelton acquisition
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Area Map 13
Embrace Trends (Example)
Starfire (sellers market)
Acquire property ($5.0 million)
Sell property for $52.0 million, and retain equipment
Employ shovel, dragline, and mobile equipment at other Massey mines
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Area Map 15
Development (Example)
Rostraver (Pennsylvania)
Acquired from National Steel Liquidating Trust 65.0 million recoverable Upper Freeport tons High vol. metallurgical coal/steam Strategic location (river, rail, truck and industrial markets) Methane development potential
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Donora 17
Why Successful (Fundamentals)
Empower – Resource Groups encouraged to reach out
Always acquire “tuck in” acquisitions where attractive
Knowledge
Due diligence
Convert raw data to Massey standards
Hands on approach with experienced review team
Deal structure – Asset deals where possible, and target acquisitions that can be integrated and managed the “Massey way”.
Execution – The only transactions that count are the ones that are closed.
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Doing the Right Thing. with Energy
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