Department of Interior, BLM and Warrior Met Celebrate Blue Creek Mine Expansion and Local Impact

In January, leaders from the Department of the Interior and Bureau of Land Management joined executives from Warrior Met Coal, Inc., and other local and state officials to celebrate a milestone in advancing the Administration’s energy dominance agenda. 

Acting BLM Director Bill Groffy, Eastern States State Director Mitchell Leverette and DOI Senior Advisor Ryan Hofmann participated in a ribbon cutting ceremony for the expansion of the Blue Creek Mine coal operation in Alabama. The mine expansion represents a significant economic impact for rural Alabama that brings significant economic benefits to rural communities in the state, underscoring a strong partnership between government and industry. 

The approximately $1 billion investment by Warrior Met Coal will increase production capacity by 75% and support more than 300 jobs. In its first 10 years, the mine will produce over six million short tons of metallurgical coal, used exclusively in steelmaking.  

The investment followed a September 2025 Eastern States coal lease sale that generated $46 million in bonus bids and will generate approximately $750 million in estimated royalties going back to the federal treasury (U.S. taxpayers) and the state of Alabama. 

“Today’s milestone shows what collaboration and determination can deliver for America’s energy future and communities across the country,” said Acting BLM Director Bill Groffy. “By working closely with Warrior Met Coal and our state and federal partners, we are unlocking access to 53 million tons of world-class metallurgical coal reserves to support steel production, create good-paying jobs, and deliver fair returns for the American people.” 

Metallurgical coal, often called met coal, has unique physical properties and is used exclusively in steel production. Steel made using met coal is critical for infrastructure, manufacturing, transportation and construction projects in the United States and abroad. 

As part of its role managing federally owned coal resources, the BLM worked with Warrior Met Coal through the Lease by Application process to provide responsible access to adjacent federal mineral estate while ensuring environmental review and public engagement requirements were met. The Blue Creek Mine expansion is expected to have a productive life of more than 20 years. 

The BLM Eastern States office manages more than 42 million acres of subsurface mineral estate, oversaw the expansion and ongoing partnership. 

“The expansion of the Blue Creek Mine reflects how responsible resource development of federally owned mineral estate can support local communities while meeting critical national needs,” said Mitch Leverette, Eastern States State Director. “Through close coordination with Warrior Met Coal and our state and federal partners, this project demonstrates how thoughtful planning, environmental review and collaboration can lead to win-wins for everyone – long-term economic benefits, high-quality jobs and responsible stewardship of public resources.” 

The BLM’s leasing of the federal coal for the Blue Creek Mine demonstrates the agency's commitment to its multiple use mission, and to responsibly managing public resources for current and future generations.