1/3/2006: Sago Mine's poor safety record
The Tallmansville, WV coal mine where 13 miners are currently trapped has a deplorable safety record, making this probable impending tragedy even worse.
16 workers were injured at the mine in 2005 - double the number of 2004 injuries. The mine was cited for 208 safety violations in 2005: 14 of those were in December, and most were related to air quality and ventilation regulations. The number is up dramatically from 68 citations in 2004.
The mine has been owned by International Coal Group (NYSE: ICO) since early 2005. The company has reported healthy profits - $8.6 million in the third quarter of 2005 alone. Fines for the Sago 2005 safety violations have only totaled $24,000, of which they've paid just short of $15,000 to date.
There's been no sign of life from within the mine, where an explosion trapped the miners Monday morning. Holes drilled by rescue workers showed toxic levels of carbon monoxide.
Is this company in your stock portfolio or mutual fund? It's not surprising the parent company isn't too bothered to fix the code violations when the fines are so minor in comparison to its profits.. but are these kind of healthy profits worth 13 lives? Not to mention the devastating effect the loss of these men would have on the tiny community of approx. 400 people.
Update: As of Tuesday evening, the first body has been found and removed. Fortunately - and miraculously - the other 12 miners were found alive shortly after. Let's hope that one lost life will lead to some reforms about the safety issues at this and other coal mines.
Update: Come Wednesday morning, outrageous insult was added to tragic injury when it was reported that only one miner survived. Nobody's taking credit for the erroneous news that flashed across the country happily but briefly, and International Coal's CEO Bennett Hatfield made a point during a press conference to talk about the company's financial strength and future growth potential.. what's wrong with that picture?
The surviving miner is in critical condition as of now. My thoughts & best wishes go to him and his family, the families and friends of the lost 12, and the entire community of Tallmansville.
