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Question: Case Study – Bethesda Mining Company Bethesda Mining is a midsized coal mining company with 20 mines located in Ohio, Pennsylvania, West ia, and Kentucky. The company operates deep mines as well as strip mines. Most of the coal mined is sold under contract, with excess production sold on the spot market.

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Bethesda mining company will pay operational costs of $49 million in additional equipment which will be used for the new mine. Company is considering opening a strip mine in Ohio on 5,000 acres of land that was purchased ten years ago for 5.4 million. Variable Cost +$2, Required Return +2%.

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PROBLEM: BETHESDA MINING COMPANY Considering the price per ton is $86, the total value to be sold under the contract is 500,000 tons m SPOT Value: The projected coal for the next 4 years is as follows: Year Production 1st year 620,000 tons 2nd year …

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Solved: Bethesda Mining Is A Midsized Coal Mining . Bethesda Mining is a midsized coal mining company with 20 mines located in Ohio, Pennsylvania, West ia, and Kentucky The company operates deep mines as well as strip minds Most of the coal mined is sold under contract, with excess production sold on the spot marketThe coal mining industry, especially highsulfur coal operations such

Finance 526 Team Mini-Case Analysis Bethesda Mining Company Case Analysis The following is a brief case analysis for Bethesda Mining a midsized coal mining company with 20 mines located in Ohio, Pennsylvania, West ia, and Kentucky. The company operates deep mines as well as strip mines. Bethesda has just been approached by Mid-Ohio Electric Company with a request to supply …

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