A new agreement will allow a St. Louis-based company to mine 731,000,000 tons of coal in southeastern Montana.
The deal increases pressure on Governor Brian Schweitzer to lease adjacent coal tracts that are under state control.
Arch Coal, Inc. signed the agreement with Great Northern Properties, which gives it rights to 9,600 acres of coal tracts near Ashland.
On Monday, Montana's land board, chaired by Governor Schweitzer, will consider putting up for lease 572,000,000 tons of coal on parcels interspersed with the Great Northern tracts.
The move would significantly boost the state's coal production, but environmentalists have lobbied against a lease sale.