The Crow Tribe of Montana has reached a new agreement to develop a major coal resource on the reservation.

Cloud Peak Energy will pay the tribe $2.25 million up front for exploration rights and exclusive options on an estimated 1.4 billion tons of coal. The tribe will receive another $1.5 million once the agreement is approved by the Bureau of Indian Affairs.

The deal calls for Cloud Peak to make additional annual payments, for up to $10 million total. The firm will also provide $75,000 a year for scholarships, an amount that will double to $150,000 once development begins.

A signing ceremony is expected in the next month, Cloud Peak said in a press release. Approval from BIA is expected within another 180 days.

Get the Story:
Crow Tribe-Cloud Peak agreement back on track (The Billings Gazette 1/16)
Press Release: Crow Tribe of Indians Legislature Votes to Approve Option and Exploration Agreements with Cloud Peak Energy (Cloud Peak 1/15)
Prior Press Release: Cloud Peak Energy and the Crow Tribe of Indians Announce Pending Crow Tribal Authorization on Option Agreement for up to 1.4 Billion Tons of In-Place Coal Near Cloud Peak Energy’s Northern Powder River Basin Properties (Cloud Peak 7/23)