Construction of the Otter Creek coal mine would significantly boost Montana jobs, household income and tax revenues as the Asian demand for resource expands.
According to an economic impact study conducted by the University of Montana Bureau of Business and Economic Research, construction of the Otter Creek coal mine would generate substantial economic impacts during the operations phase. About 1,740 new permanent year round jobs would be created while the mine is operating.
Otter Creek mine operations would raise state and local tax revenue by almost 92 million per year due to both coal specific taxes and growth in the overall tax base. Patrick Barkey is the director for BBER, he says the study is based on a what if scenario.
"What impact would that have on the state economy and so if that were to take place the first thing you have to realize is its one of the bigger construction projects that the state has ever seen" said Barkey.
The anticipated increase in coal demand in China between 2010 and 2035 is more than twice the current U.S. production of coal.