Wyoming Towns Face Economic Challenge Amid Coal Industry Decline
Kemmerer, Wednesday, 2 April 2025.
Kemmerer and Diamondville in Wyoming confront economic uncertainty following recent layoffs at a local coal mine, with hopes pinned on a shift to nuclear energy solutions.
Recent Layoffs Signal Deepening Crisis
The Kemmerer coal mine, a cornerstone of local employment, laid off 28 workers on March 21, 2025, affecting approximately 13% of its workforce [1]. This latest reduction continues a concerning trend, as the mine has shed 92 jobs since the fourth quarter of 2017, alongside nearly half of its annual coal production [2]. The economic impact is particularly severe for these small Wyoming communities, with Kemmerer Mayor Robert Bowen estimating a $1.4 million loss to the local economy from these recent layoffs [2].
Imminent Challenges to Coal Operations
The situation appears likely to worsen as the Naughton power plant, which currently accounts for 42% of the Kemmerer mine’s coal production, is scheduled to cease coal operations by the end of 2025, transitioning instead to natural gas [2]. This transition represents a significant shift in the region’s energy landscape and poses additional challenges for the already struggling coal industry [alert! ‘exact timeline of power plant transition implementation not specified’].
Nuclear Future Offers Mixed Prospects
While the coal industry contracts, the region is positioning itself for a transition to nuclear energy. TerraPower, backed by Microsoft’s Bill Gates, has begun construction on a $4 billion Natrium nuclear power plant in Kemmerer [2]. The project is expected to reach peak workforce numbers of 1,600 by 2028 [3]. However, local residents express mixed feelings about this transition, with some mining workers noting the significant skills gap between coal mining and nuclear operations [2].
Community Adaptation and Economic Diversification
The region is seeing additional economic development efforts, including ExxonMobil’s $400 million carbon capture expansion at its Shute Creek natural gas plant [2]. Furthermore, the Bureau of Land Management has recently approved a significant carbon storage project in southwest Wyoming, capable of storing 600 million metric tons of carbon dioxide over 30 years [4]. These initiatives represent potential new economic directions for communities traditionally dependent on coal mining.