The coal from Usibelli Coal Mine, located in Healy, is shipped south via the Alaska Railroad, where it is stockpiled to await export. From the time it arrives until the ships depart, the coal also produces substantial amounts of coal dust, a situation that has for years prompted concern from many Seward residents.

"Coal dust mitigation has been an ongoing issue since the conception of this facility," said Diane Dubuc of Alaska Saltwater Charters. "Local boat owners have spent hours on our coal dust remediation efforts."

Dubuc and others said plumes of coal dust develop above ships and fall into the bay from inadequately contained chutes. Coal also falls off the conveyor belt that extends over Resurrection Bay, they said.

On Oct. 29, several conservation groups served a 60-day notice on the Alaska Railroad and Aurora Energy Services of their intent to file suit over what they say are unpermitted discharges of coal into Resurrection Bay, in violation of the Clean Water Act.

"A lack of adequate pollution controls at the (coal loading) facility has resulted in ongoing dumping of coal debris into Resurrection Bay and uncontrolled blowing coal dust, damaging water quality in the bay and threatening the tourism industry it supports," the environmental groups said in a joint statement.

The Alaska Railroad is examining whether there is any merit to the claims, railroad spokeswoman Wendy Lindskoog said Nov. 1.

"The Alaska Railroad has owned the Seward coal loading facility for six years and has been in an operating partnership with Aurora Energy Services LLC, an affiliate of Usibelli Coal Mine, for almost three years," Lindskoog said. "We take environmental stewardship seriously and have made many improvements to the coal loading facility in the past, with planned improvements for 2010 and beyond."

Several calls to Usibelli Coal officials were not returned.

Usibelli, a family-owned mine located outside of Healy, has been in continuous operation since 1943.

In 1984, Usibelli began exporting coal, shipping about 700,000 tons a year via Seward to Korea Electric Power Corp.'s coal-fired power plant in Honam, South Korea. Those sales began tapering off in 2002, due to competition from coal producers in Asia.

Usibelli now markets much of its export sales through Glencore Ltd., an international brokerage firm. Glencore facilitated the first test shipments of Alaska coal to power plants in Chile in 2004 and shipments have continued since.

The mine produced 1.27 million tons of coal for export and in state consumption in 2007, according to the Alaska Department of Commerce. In that year the mine also employed 105 Alaskans, including several second and third generation employees, state officials said.

In 2008, despite a global recession, Usibelli experienced a strong upturn in coal exports. In early 2009, Usibelli officials said they were optimistic about another good year.

Economic benefits notwithstanding, a number of Seward residents have had long-term concerns about coal dust blowing from the coal terminal.

According to railroad reports, an average loading schedule of five to six days is required to load 70,000 metric tons of coal onto a ship. The coal can be loaded 24 hours a day.

When the winds blow across the Kenai Fjords and Resurrection Bay, coal dust from the stockpile and that being loaded onto ships spreads rapidly.

Pam Miller, executive director of Alaska Community Action on Toxics, said the coal dust is a public health concern.

"Chronic inhalation of coal dust is associated with pulmonary disease, bronchitis, decreased pulmonary function and emphysema," Miller said. "Putting Seward's residents at risk from coal in our air and water is unacceptable, especially when it can be prevented."

Paul David Foreman, a family practice physician in Seward, said there are some concerns for people with respiratory problems.

"We know coal dust is being spread into the community," Foreman said. "Coal dust has toxins that can leak into the water supply. My position is that until it is known that we don't have a problem, it would be smarter to stop the coal dust and wait. We should do air quality monitoring and prove it's not harming us."

As a physician, Foreman said, he has to ask two questions: "Is there a potential risk? Yes. Is there a defined risk? Nobody knows. That information doesn't exist, but if the coal dust can be controlled, we shouldn't be breathing it."

Margaret Bauman can be reached at

margie.bauman@alaskajournal.com.