Patriot Coal Corp. has lined up a deal to sell most of its operating mines to Blackhawk Mining LLC, in a debt-fueled transaction that leaves retirees and union contracts behind, Dow Jones Daily Bankruptcy Review reported today. In bankruptcy for the second time in recent years, Patriot's been struggling against declining demand for coal. It's racing to get a deal in place before it runs out of money and is forced to shut down but faces resistance from some creditors to the sale. Patriot returned to bankruptcy in May, less than 18 months after emerging from chapter 11. The West Virginia mining company said that it had a sale in the works that would help it tackle its debt load, which includes $791 million in loans and bond debt.
