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Responsibility Report - Peabody Energy

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environmental responsibility | 42necessary infrastructure to produce, compress, meter, and transport methaneto the nearest natural gas pipeline. Since 2002, a total of 47 wells were drilledwithin the mine lease boundary to capture methane from the coal prior to miningfor use as fuel. This methane has been compressed and transported to a naturalgas pipeline. Over the last nine years, it is estimated that this project has capturedapproximately 2.7 million metric tons of CO 2e.• Increases in the grading efficiency of rangeland in arid and semi-arid regions. Thecompany’s techniques increase the energy efficiency of land restoration activities andresult in more productive carbon sinks, or restored lands that can retain more waterand sustain more vegetation, which provides for higher levels of carbon storage.• Expanded use of no-till and minimum tillage systems for re-vegetation andcropping. Besides reducing the amount of fuel used during tillage operations,these technologies create natural carbon sinks. These techniques also reduceerosion potential while improving water holding capacity and overall water quality.<strong>Peabody</strong> continues to invest in leading-edge technologies such as acousticlistening devices to help identify opportunities to reduce energy usage andenhance equipment performance.Employees are using the modular mining dispatch system at the North AntelopeRochelle Mine in the Southern Powder River Basin to monitor and minimizeequipment idling time. The technology has led to tenfold reduction in the numberof alerts of idling times of 30 minutes or more per day, driving a correspondingimprovement in fuel savings and the company’s carbon footprint.Operations also are retrofitting plants with energy efficient LED lights and installingtimers to automatically shut down these facilities during daylight hours when they areno longer needed to support the mining operations. Other initiatives include:• A drilling program at Australian surface mines to improve greenhouse gasmeasurement.• Upgrades and standardization in ventilation metering and emissions reportingstandards and the measurement of gas drainage, electrical installations,wastewater and non-combusted fuels at Australian underground mines.• A voluntary partnership with Public Services of New Mexico and its “Peak Saver”initiative. The electrical demand management program is designed to relieve theutility’s grid during periods of the greatest or peak electricity usage.• Expanded use of coalbed methane wells prior to mining. <strong>Peabody</strong> madesubstantial investments at its North Antelope Rochelle Mine to develop theThe company is pursuing a number of other carbon-reducing programs, including:• Using in-pit conveying of overburden to reduce truck haulage and diesel use.• Examining the feasibility of using limited wind power at <strong>Peabody</strong>’s SouthernPowder River Basin operations to supplement power supplies.• Evaluating the benefits of biomass production on restored property in the Midwest.• Expanding use of solar technology to power remote water and air monitoring sites aswell as weather stations, traffic warning lights and radio repeaters at many operations.• Assessing opportunities for capture and/or destruction of methane associated withventilation from underground coal mining operations.• Conducting energy audits to evaluate energy savings in Australia and at largerU.S. operations.Water ConservationWater is a core element of <strong>Peabody</strong>’s environmental approach to coal mining and use.2011 marked the first year in a three-year study of water intensity across <strong>Peabody</strong> <strong>Energy</strong>’sglobal operations. The company seeks to establish baseline amounts of groundwater usedon location or purchased from local sources such as water districts and local utilities. In thestudy’s initial year, the company used an average of four gallons per unit of production.<strong>Peabody</strong>’s water management program complies with and often surpasses both U.S.and Australian standards, and the company regularly provides detailed water use

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