By Kit Norton
Shares of Peabody Energy and other coal stocks advanced on Thursday ahead of an expected announcement from President Donald Trump that he will be funneling around $700 million to the sector.
Trump will announce $500 million in Defense Production Act money to 13 coal-fired power plants and an export terminal in California. The president also is expected to announce nearly $200 million in grants to build coal plants in Alaska and West Virginia, along with funding to restart a coal plant in Maryland, a White House official confirmed to Barron's.
Those would be the first new U.S. coal plants since 2013, according to the White House.
Trump is expected to make the announcements around 3 p.m. ET from the Oval Office, joined by other members of his administration.
Trump's plan was first reported by Bloomberg News.
This is the latest move by Trump to bolster the U.S. coal industry, after signing an executive order in February directing that military bases contract with coal plants for power.
Newcastle coal futures are currently down 0.2% to $147.70 a ton. Coal futures have risen 37% this year and have risen 41% over the past 12 months. according to according to Dow Jones Market Data.
The Range Global Coal Index ETF rose 1.7% on Thursday, while the S&P 500 Index advanced 0.3%. Among coal stocks, Peabody Energy gained 3.2% to $31.07.
Since bottoming at $23.36 on May 20, Peabody stock has rallied 33%.
Alpha Metallurgical Resources rose 2.2% and Warrior Met Coal added 1.9%. Core Natural Resources gained 1%.
Among utilities, Duke Energy edged up 0.2% and American Electric Power rose 0.8%.
Write to Kit Norton at kit.norton@barrons.com
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(END) Dow Jones Newswires
June 04, 2026 13:29 ET (17:29 GMT)
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