Cloud Peak Energy Inc. and the Crow Tribe of Indians announced that they have signed the option and exploration agreements covering an estimated 1.4 billion tons of in-place coal in the Northern Powder River Basin (NPRB). The agreements will now be submitted to the U.S. Department of the Interior for review with a request for approval within 180 days. Department of the Interior approval is required in order to consummate the transactions contemplated by the agreements.

Cloud Peak Energy made a $2.25 million payment to the Crow Tribe at signing and, if approved by the Department of the Interior, will make an additional $1.5 million payment, followed by annual option payments over an initial five-year term. Total payments through the initial five-year option period could amount to $10 million.