RNS No 8788w
ATLANTIC RICHFIELD COMPANY
23rd March 1998

ARCO, Arch Coal Reach Agreement on Sale of ARCO's U.S. Coal Assets

          LOS ANGELES, March 23 /PRNewswire/ -- ARCO (NYSE: ARC) announced today
it has signed an agreement with Arch Coal, Inc. (NYSE: ACI) of St. Louis, Mo.,
to dispose of ARCO's U.S. coal assets in a transaction valued at approximately
$1.14 billion.

ARCO's U.S. coal operations include the Black Thunder and Coal Creek mines in
Wyoming, the West Elk mine in Colorado, and, through Canyon Fuel Company L.L.C.
with ITOCHU Corp. of Japan, three mines in Utah.  

In the agreement, ARCO Uinta, a subsidiary of Los Angeles-based ARCO, will sell
the Colorado and Utah coal operations to Arch Coal.  Simultaneously, Arch will
combine these operations with ARCO's Wyoming coal operations and its own Wyoming
coal operations in a new joint venture called Arch Western Resources LLC.  The
new company will be 99% owned by Arch and 1% owned by ARCO.  

ARCO will continue its effort to dispose of its coal properties in Australia.
These include joint venture interests in three mines in Queensland -- Curragh,
Gordonstone and Blair Athol.  

ARCO's discontinuance of its coal operations will not have a material impact on
the Company's earnings for the year.  

Last April, ARCO announced its intention to withdraw from the coal business
because it was no longer regarded as part of the Company's core business.  


Contact: Albert Greenstein of ARCO, 213-486-3384

END

DISBUGBXIGDCCIX
Atlantic Coal (LSE:ATC)
Historical Stock Chart
From Jun 2024 to Jul 2024 Click Here for more Atlantic Coal Charts.
Atlantic Coal (LSE:ATC)
Historical Stock Chart
From Jul 2023 to Jul 2024 Click Here for more Atlantic Coal Charts.