<?xml version="1.0"?>
<ownershipDocument>

    <schemaVersion>X0202</schemaVersion>

    <documentType>4</documentType>

    <periodOfReport>2006-04-10</periodOfReport>

    <notSubjectToSection16>0</notSubjectToSection16>

    <issuer>
        <issuerCik>0001301063</issuerCik>
        <issuerName>Foundation Coal Holdings, Inc.</issuerName>
        <issuerTradingSymbol>FCL</issuerTradingSymbol>
    </issuer>

    <reportingOwner>
        <reportingOwnerId>
            <rptOwnerCik>0001310347</rptOwnerCik>
            <rptOwnerName>Foley David</rptOwnerName>
        </reportingOwnerId>
        <reportingOwnerAddress>
            <rptOwnerStreet1>C/O THE BLACKSTONE GROUP</rptOwnerStreet1>
            <rptOwnerStreet2>345 PARK AVENUE</rptOwnerStreet2>
            <rptOwnerCity>NEW YORK</rptOwnerCity>
            <rptOwnerState>NY</rptOwnerState>
            <rptOwnerZipCode>10154</rptOwnerZipCode>
            <rptOwnerStateDescription></rptOwnerStateDescription>
        </reportingOwnerAddress>
        <reportingOwnerRelationship>
            <isDirector>1</isDirector>
            <isOfficer>0</isOfficer>
            <isTenPercentOwner>0</isTenPercentOwner>
            <isOther>0</isOther>
        </reportingOwnerRelationship>
    </reportingOwner>

    <nonDerivativeTable>
        <nonDerivativeTransaction>
            <securityTitle>
                <value>Common Stock, par value $0.01 per share</value>
            </securityTitle>
            <transactionDate>
                <value>2006-04-10</value>
            </transactionDate>
            <transactionCoding>
                <transactionFormType>4</transactionFormType>
                <transactionCode>A</transactionCode>
                <equitySwapInvolved>0</equitySwapInvolved>
            </transactionCoding>
            <transactionAmounts>
                <transactionShares>
                    <value>3000</value>
                </transactionShares>
                <transactionPricePerShare>
                    <footnoteId id="F1"/>
                </transactionPricePerShare>
                <transactionAcquiredDisposedCode>
                    <value>A</value>
                </transactionAcquiredDisposedCode>
            </transactionAmounts>
            <postTransactionAmounts>
                <sharesOwnedFollowingTransaction>
                    <value>3000</value>
                </sharesOwnedFollowingTransaction>
            </postTransactionAmounts>
            <ownershipNature>
                <directOrIndirectOwnership>
                    <value>D</value>
                </directOrIndirectOwnership>
            </ownershipNature>
        </nonDerivativeTransaction>
        <nonDerivativeHolding>
            <securityTitle>
                <value>Common Stock, par value $0.01 per share</value>
            </securityTitle>
            <postTransactionAmounts>
                <sharesOwnedFollowingTransaction>
                    <value>485328</value>
                </sharesOwnedFollowingTransaction>
            </postTransactionAmounts>
            <ownershipNature>
                <directOrIndirectOwnership>
                    <value>I</value>
                </directOrIndirectOwnership>
                <natureOfOwnership>
                    <value>See footnotes</value>
                    <footnoteId id="F2"/>
                    <footnoteId id="F6"/>
                </natureOfOwnership>
            </ownershipNature>
        </nonDerivativeHolding>
        <nonDerivativeHolding>
            <securityTitle>
                <value>Common Stock, par value $0.01 per share</value>
            </securityTitle>
            <postTransactionAmounts>
                <sharesOwnedFollowingTransaction>
                    <value>47696</value>
                </sharesOwnedFollowingTransaction>
            </postTransactionAmounts>
            <ownershipNature>
                <directOrIndirectOwnership>
                    <value>I</value>
                </directOrIndirectOwnership>
                <natureOfOwnership>
                    <value>See footnotes</value>
                    <footnoteId id="F3"/>
                    <footnoteId id="F6"/>
                </natureOfOwnership>
            </ownershipNature>
        </nonDerivativeHolding>
        <nonDerivativeHolding>
            <securityTitle>
                <value>Common Stock, par value $0.01 per share</value>
            </securityTitle>
            <postTransactionAmounts>
                <sharesOwnedFollowingTransaction>
                    <value>3672</value>
                </sharesOwnedFollowingTransaction>
            </postTransactionAmounts>
            <ownershipNature>
                <directOrIndirectOwnership>
                    <value>I</value>
                </directOrIndirectOwnership>
                <natureOfOwnership>
                    <value>See footnotes</value>
                    <footnoteId id="F4"/>
                    <footnoteId id="F6"/>
                </natureOfOwnership>
            </ownershipNature>
        </nonDerivativeHolding>
        <nonDerivativeHolding>
            <securityTitle>
                <value>Common Stock, par value $0.01 per share</value>
            </securityTitle>
            <postTransactionAmounts>
                <sharesOwnedFollowingTransaction>
                    <value>138922</value>
                </sharesOwnedFollowingTransaction>
            </postTransactionAmounts>
            <ownershipNature>
                <directOrIndirectOwnership>
                    <value>I</value>
                </directOrIndirectOwnership>
                <natureOfOwnership>
                    <value>See footnotes</value>
                    <footnoteId id="F5"/>
                    <footnoteId id="F6"/>
                </natureOfOwnership>
            </ownershipNature>
        </nonDerivativeHolding>
    </nonDerivativeTable>

    <footnotes>
        <footnote id="F1">Restricted shares granted pursuant to Foundation Coal Holdings, Inc.'s 2004 Stock Incentive Plan, 20% of which will vest on
 December 31, 2006 and an additional 20% of which will vest on each anniversary thereof.</footnote>
        <footnote id="F2">These securities are owned by Blackstone Management Associates IV L.L.C. (&quot;BMA&quot;).  Mr. Foley is a member of BMA and may be
 deemed to share indirect beneficial ownership of these shares of Foundation Coal Holdings, Inc.'s common stock (&quot;Common
 Stock&quot;).  These shares were previously reported by Mr. Foley among those owned by Blackstone FCH Capital Partners IV L.P.
 (&quot;BCP&quot;).  On January 24, 2006, BCP distributed all of the shares of Common Stock then held by it to its partners, including
 BMA, pro rata pursuant to the terms of the organization documents governing BCP.</footnote>
        <footnote id="F3">These securities are owned by Blackstone Capital Commitment Partners IV L.P. (&quot;BCCP&quot;).  BMA is the sole general partner of
 BCCP and has investment and voting control over the shares of Common Stock held by BCCP.  Mr. Foley is a member of BMA and
 may be deemed to share indirect beneficial ownership of these shares of Common Stock.  These shares were previously reported
 by Mr. Foley among those owned by BCP.  On January 24, 2006, BCP distributed all of the shares of Common Stock then held by
 it to its partners, including BCCP, pro rata pursuant to the terms of the organization documents governing BCP.</footnote>
        <footnote id="F4">These securities are owned by Blackstone Participation Partnership IV L.P. (&quot;BPP&quot;).  BMA is the sole general partner of BPP
 and has investment and voting control over the shares of Common Stock held by BPP.  Mr. Foley is a member of BMA and may be
 deemed to share indirect beneficial ownership of these shares of Common Stock.  These shares were previously reported by Mr.
 Foley among those owned by BCP.  On January 24, 2006, BCP distributed all of the shares of Common Stock then held by it to
 its partners, including BPP, pro rata pursuant to the terms of the organization documents governing BCP.</footnote>
        <footnote id="F5">These securities are owned by Blackstone Family Investment Partnership IV-A L.P (&quot;BFIP&quot;).  BMA is the sole general partner of
 BFIP and has investment and voting control over the shares of Common Stock held by BFIP.  Mr. Foley is a member of BMA and
 may be deemed to share indirect beneficial ownership of these shares of Common Stock.  The number of shares reported as
 owned by BFIP on this Statement reflects the distribution of shares of Common Stock on January 24, 2006 by BFIP to certain
 of its partners, not including BMA, BCCP and BPP, pro rata pursuant to the terms of the organization documents governing
 BFIP.</footnote>
        <footnote id="F6">Pursuant to Rule 16a-1(a)(4) of the Securities Exchange Act of 1934, as amended, Mr. Foley herein states that this filing
 shall not be deemed an admission that he is the beneficial owner of any of the shares of Common Stock owned by BMA.   Mr.
 Foley disclaims beneficial ownership of those shares, except to the extent of his pecuniary interest in such shares of
 Common Stock.</footnote>
    </footnotes>

    <ownerSignature>
        <signatureName>/s/ David Foley</signatureName>
        <signatureDate>2006-04-11</signatureDate>
    </ownerSignature>
</ownershipDocument>
