Coal giant Peabody teams with RWE for solar, storage on reclaimed mine lands

St. Louis-based coal miner Peabody Energy Corp. is partnering with RWE AG subsidiary RWE Clean Energy LLC to advance 5.5 GW of solar energy and battery storage projects across Indiana and Illinois on reclaimed land previously used for mining, the companies said in a Nov. 21 joint announcement.

RWE is to acquire a majority interest in the ownership group of R3 Renewables LLC, a joint venture Peabody formed in 2022 with Riverstone Credit Partners and Summit Partners Credit Advisors LP to pursue renewable energy projects. Peabody, one of the top US coal producers by volume, is retaining a 25% equity interest. RWE Clean Energy is among the largest owners and operators of onshore wind, solar and battery storage in the US.

R3, the joint venture, has a pipeline of 10 projects. RWE will acquire seven of the projects and enter into a joint venture with Peabody to continue developing the remaining three.

The portfolio is an expansion of the initial six projects announced for R3 Renewables.

Several US coal companies have been working to diversify their business lines, including into greener technologies, as demand for coal-fired electricity generation has sharply declined in the US.