EXHIBIT 23.2
 
              CONSENT OF ERNST & YOUNG LLP, INDEPENDENT AUDITORS
 
  We consent to the reference to our firm under the caption "Experts" in the
Registration Statement (Form S-4) and the related Prospectus of P&L Coal
Holdings Corporation for the registration of 8 7/8% series B Senior Notes due
2008 and 9 5/8% series B Senior Subordinated Notes due 2008, and to the
inclusion of our reports dated April 24, 1998, with respect to the combined
financial statements and schedule of P&L Coal Group for the year ended March
31, 1998, the six months ended March 31, 1997, and each of the two years ended
September 30, 1996, filed with the Securities and Exchange Commission.
 
St. Louis, MO                                   /s/ Ernst & Young LLP
September 2, 1998