10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC 20549

FORM 10-Q

x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended June 30, 2015

or

¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

Commission File Number: 333-191182

Armstrong Energy, Inc.

(Exact name of registrant as specified in its charter)

Delaware	20-8015664
(State or other jurisdiction of incorporation or organization)	(IRS Employer Identification No.)
7733 Forsyth Boulevard, Suite 1625 St. Louis, Missouri	63105
(Address of principal executive offices)	(Zip code)

(314) 721 – 8202

(Registrant’s telephone number, including area code)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    x  Yes    ¨  No

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate website, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).    x  Yes    ¨  No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer	¨	Accelerated filer	¨
Non-accelerated filer	x  (Do not check if a smaller reporting company)	Smaller reporting company	¨

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).    ¨  Yes    x  No

As of August 1, 2015, there were 21,853,224 shares of Armstrong Energy, Inc.’s Common Stock outstanding.

TABLE OF CONTENTS

		Page
	PART I – FINANCIAL INFORMATION
Item 1.	Financial Statements		1
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations		20
Item 3.	Quantitative and Qualitative Disclosures about Market Risk		29
Item 4.	Controls and Procedures		30
	PART II – OTHER INFORMATION
Item 1.	Legal Proceedings		30
Item 1A.	Risk Factors		30
Item 4.	Mine Safety Disclosures		31
Item 5.	Other Information		31
Item 6.	Exhibits		31
Signatures			32

PART I – FINANCIAL INFORMATION

Item 1. Financial Statements

Armstrong Energy, Inc. and Subsidiaries

CONDENSED CONSOLIDATED BALANCE SHEETS

(Dollars in thousands)

	June 30, 2015			December 31, 2014
	(Unaudited)
ASSETS
Current assets:
Cash and cash equivalents	$	63,303		$	59,518
Accounts receivable		21,213			21,799
Inventories		10,464			10,552
Prepaid and other assets		2,886			2,962
Deferred income taxes		1,454			735
Total current assets		99,320			95,566
Property, plant, equipment, and mine development, net		399,211			408,740
Investments		3,448			3,372
Other non-current assets		23,958			24,769
Total assets	$	525,937		$	532,447
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable	$	23,115		$	27,593
Accrued and other liabilities		20,884			17,117
Current portion of capital lease obligations		2,048			2,426
Current maturities of long-term debt		5,598			4,929
Total current liabilities		51,645			52,065
Long-term debt, less current maturities		200,764			198,960
Long-term obligation to related party		129,515			110,713
Related party payables, net		8,218			18,172
Asset retirement obligations		14,033			17,379
Long-term portion of capital lease obligations		441			1,358
Deferred income taxes		1,454			735
Other non-current liabilities		9,020			8,208
Total liabilities		415,090			407,590
Stockholders’ equity:
Common stock, $0.01 par value, 70,000,000 shares authorized, 21,853,224 and 21,936,844 shares issued and outstanding as of June 30, 2015 and December 31, 2014, respectively		218			219
Preferred stock, $0.01 par value, 1,000,000 shares authorized, zero shares issued and outstanding as of June 30, 2015 and December 31, 2014, respectively		—			—
Additional paid-in-capital		238,691			238,549
Accumulated deficit		(124,553	)		(110,193	)
Accumulated other comprehensive loss		(3,532	)		(3,741	)
Armstrong Energy, Inc.’s equity		110,824			124,834
Non-controlling interest		23			23
Total stockholders’ equity		110,847			124,857
Total liabilities and stockholders’ equity	$	525,937		$	532,447

See accompanying notes to unaudited condensed consolidated financial statements.

1

Armstrong Energy, Inc. and Subsidiaries

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Dollars in thousands)

	Three Months Ended June 30,						Six Months Ended June 30,
	2015			2014			2015			2014
Revenue	$	93,139		$	116,287		$	189,474		$	227,153
Costs and Expenses:
Cost of coal sales, exclusive of items shown separately below		70,153			95,166			148,983			185,285
Production royalty to related party		2,053			2,240			4,054			4,264
Depreciation, depletion, and amortization		10,505			9,731			27,409			19,938
Asset retirement obligation expenses		717			500			1,584			1,008
General and administrative expenses		4,283			4,743			8,922			9,989
Operating income (loss)		5,428			3,907			(1,478	)		6,669
Other income (expense):
Interest expense, net		(8,870	)		(8,290	)		(17,247	)		(16,534	)
Other, net		4,595			245			4,624			427
Income (loss) before income taxes		1,153			(4,138	)		(14,101	)		(9,438	)
Income tax provision		259			—			259			—
Net income (loss)		894			(4,138	)		(14,360	)		(9,438	)
Income attributable to non-controlling interest		—			—			—			—
Net income (loss) attributable to common stockholders	$	894		$	(4,138	)	$	(14,360	)	$	(9,438	)

See accompanying notes to unaudited condensed consolidated financial statements.

2

Armstrong Energy, Inc. and Subsidiaries

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

(Dollars in thousands)

	Three Months Ended June 30,					Six Months Ended June 30,
	2015		2014			2015			2014
Net income (loss)	$	894	$	(4,138	)	$	(14,360	)	$	(9,438	)
Other comprehensive income:
Postretirement benefit plan and other employee benefit obligations, net of tax of zero		104		26			209			52
Other comprehensive income		104		26			209			52
Comprehensive income (loss)		998		(4,112	)		(14,151	)		(9,386	)
Less: Comprehensive income (loss) attributable to non-controlling interest		—		—			—			—
Comprehensive income (loss) attributable to common stockholders	$	998	$	(4,112	)	$	(14,151	)	$	(9,386	)

See accompanying notes to unaudited condensed consolidated financial statements.

3

Armstrong Energy, Inc. and Subsidiaries

UNAUDITED CONSOLIDATED STATEMENT OF STOCKHOLDERS’ EQUITY

Six Months Ended June 30, 2015

(Amounts in thousands)

	Common Stock						Preferred Stock				Additional Paid-in- Capital		Accumulated Deficit			Accumulated Other Comprehensive Loss			Non-Controlling Interest		Total Stockholders’ Equity
	Number of Shares			Amount			Number of Shares		Amount
Balance at December 31, 2014		21,937		$	219			—	$	—	$	238,549	$	(110,193	)	$	(3,741	)	$	23	$	124,857
Net loss		—			—			—		—		—		(14,360	)		—			—		(14,360	)
Stock based compensation		—			—			—		—		141		—			—			—		141
Postretirement benefit plan and other employee benefit obligations, net of tax of zero		—			—			—		—		—		—			209			—		209
Repurchase of common stock		(84	)		(1	)		—		—		1		—			—			—		—
Balance at June 30, 2015		21,853		$	218			—	$	—	$	238,691	$	(124,553	)	$	(3,532	)	$	23	$	110,847

See accompanying notes to unaudited condensed consolidated financial statements.

4

Armstrong Energy, Inc. and Subsidiaries

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Dollars in thousands)

	Six Months Ended June 30,
	2015			2014
Cash Flows from Operating Activities:
Net loss	$	(14,360	)	$	(9,438	)
Adjustments to reconcile net loss to net cash provided by operating activities:
Non-cash stock compensation expense		141			(117	)
Income from equity affiliate		(76	)		(15	)
Loss on disposal of property, plant and equipment		72			2
Amortization of original issue discount		412			365
Amortization of debt issuance costs		751			621
Depreciation, depletion and amortization		27,409			19,938
Asset retirement obligation expenses		1,584			1,008
Non-cash activity with related party, net		8,849			7,064
Non-cash interest on long-term obligations		12			(16	)
Change in operating assets and liabilities:
Decrease (increase) in accounts receivable		586			(779	)
Decrease in inventories		88			338
Decrease in prepaid and other assets		77			1,317
Decrease (increase) in other non-current assets		46			(2,801	)
(Decrease) increase in accounts payable and accrued and other liabilities		(4,728	)		5,147
Increase in other non-current liabilities		812			498
Net cash provided by operating activities:		21,675			23,132
Cash Flows from Investing Activities:
Investment in property, plant, equipment, and mine development		(14,402	)		(6,843	)
Proceeds from disposal of fixed assets		475			5
Net cash used in investing activities		(13,927	)		(6,838	)
Cash Flows from Financing Activities:
Payment on capital lease obligations		(1,296	)		(1,509	)
Payments of long-term debt		(2,667	)		(3,741	)
Repurchase of employee stock relinquished for tax withholdings		—			(87	)
Net cash used in financing activities		(3,963	)		(5,337	)
Net change in cash and cash equivalents		3,785			10,957
Cash and cash equivalents, at the beginning of the period		59,518			51,632
Cash and cash equivalents, at the end of the period	$	63,303		$	62,589
	Six Months Ended June 30,
	2015			2014
Supplemental cash flow information:
Non-Cash Transactions:
Assets acquired with long-term debt	$	4,728		$	971
Non-cash portion of land and reserve sale/financing with related party	$	18,172		$	—

See accompanying notes to unaudited condensed consolidated financial statements.

5

Armstrong Energy, Inc. and Subsidiaries

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Dollars in thousands, except per share amounts)

1. DESCRIPTION OF BUSINESS AND ENTITY STRUCTURE

Business

The accompanying unaudited condensed consolidated financial statements include the accounts of Armstrong Energy, Inc. and its subsidiaries and controlled entities (collectively, the Company or AE). The Company’s primary business is the production of thermal coal from surface and underground mines located in western Kentucky, for sale to utility and industrial markets. Intercompany transactions and accounts have been eliminated in consolidation.

The Company’s wholly-owned subsidiary, Elk Creek GP, LLC (ECGP), is the sole general partner of and has an approximate 0.2% ownership in Thoroughbred Resources, L.P. (Thoroughbred) (formerly Armstrong Resource Partners, L.P.). The various limited partners of Thoroughbred are related parties, as the entity is majority owned by investment funds managed by Yorktown Partners LLC (Yorktown), which has a majority ownership in the Company. The Company does not consolidate the financial results of Thoroughbred and accounts for its ownership in Thoroughbred under the equity method.

The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (U.S. GAAP) for interim financial reporting and U.S. Securities and Exchange Commission (SEC) regulations. In the opinion of management, all adjustments consisting of normal, recurring accruals considered necessary for a fair presentation have been included. Balance sheet information presented herein as of December 31, 2014 has been derived from the Company’s audited consolidated balance sheet at that date. Results of operations for the three and six months ended June 30, 2015 are not necessarily indicative of results to be expected for the year ending December 31, 2015. Certain prior year amounts have been reclassified to conform with the 2015 presentation. These financial statements should be read in conjunction with the audited financial statements and related notes as of and for the year ended December 31, 2014 included in the Company’s Annual Report on Form 10-K filed with the SEC.

Recent Accounting Pronouncements

In April 2015, the Financial Accounting Standards Board (FASB) issued guidance requiring an entity to present debt issuance costs on the balance sheet as a direct deduction from the related debt liability as opposed to an asset. Amortization of the costs will continue to be reported as interest expense. The update is effective for annual reporting periods (including interim reporting periods within those periods) beginning after December 15, 2015. Early adoption is permitted for financial statements that have not been previously issued, and the new guidance would be applied retrospectively to all prior periods presented. The adoption of this standard update is not expected to have a material impact on the Company’s consolidated financial statements.

In August 2014, the FASB issued guidance on management’s responsibility in evaluating, at each annual and interim reporting period, whether there is substantial doubt about an entity’s ability to continue as a going concern and to provide related footnote disclosures. The new guidance is effective for the annual period ending after December 15, 2016, and for annual periods and interim periods thereafter with early adoption permitted.

In May 2014, the FASB issued a comprehensive revenue recognition standard that will supersede nearly all existing revenue recognition guidance under U.S. GAAP. The standard requires revenue to be recognized when promised goods or services are transferred to a customer in an amount that reflects the consideration expected in exchange for those goods or services. The standard permits the use of either the full retrospective or modified retrospective transition method. This guidance is effective for annual and interim reporting periods beginning after December 15, 2017, with early adoption permitted to the original effective date of December 15, 2016. The Company is currently evaluating the impact of this new pronouncement on its financial statements.

2. SIGNIFICANT ACCOUNTING POLICIES

Long-Lived Assets

If facts and circumstances suggest that a long-lived asset may be impaired, the carrying value is reviewed for recoverability. If this review indicates the carrying value of the asset will not be recovered, as determined based on projected undiscounted cash flows related to the asset over its remaining life, the carrying value of the asset is reduced to its estimated fair value through a non-cash impairment loss. During the first half of 2015, events and circumstances, including the continued decline in pricing and demand for U.S. coal, have indicated the carrying value of the Company’s long-lived assets might be impaired. However, the Company’s estimates of undiscounted cash flows indicated that such carrying amounts were expected to be recovered. Nonetheless, it is possible the estimate of undiscounted cash flows may change in the future resulting in the need to write down those assets to fair value.

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3. INVENTORIES

Inventories consist of the following amounts:

	June 30, 2015		December 31, 2014
Materials and supplies	$	9,613	$	10,378
Coal—raw and saleable		851		174
Total	$	10,464	$	10,552

4. ACCRUED AND OTHER LIABILITIES

Accrued and other liabilities consist of the following amounts:

	June 30, 2015		December 31, 2014
Payroll and related benefits	$	8,185	$	7,661
Taxes other than income taxes		5,592		4,588
Interest		1,004		991
Asset retirement obligations		2,587		342
Royalties		645		691
Other		2,871		2,844
Total	$	20,884	$	17,117

5. OTHER NON-CURRENT ASSETS

Other non-current assets consist of the following amounts:

	June 30, 2015		December 31, 2014
Escrows and deposits	$	4,668	$	4,649
Restricted surety and cash bonds		6,115		6,379
Advanced royalties		5,041		4,842
Deferred financing costs, net		8,014		8,765
Intangible assets, net		120		134
Total	$	23,958	$	24,769

6. RELATED PARTY TRANSACTIONS

Merger of Related Parties

On February 1, 2014, Armstrong Resource Partners, L.P. merged with and into Thoroughbred Resources, LLC, with Armstrong Resource Partners, L.P. as the surviving entity (the Merger). Effective with the Merger, Armstrong Resource Partners, L.P. changed its name to Thoroughbred. The Company’s wholly-owned subsidiary, ECGP, remained the general partner of the surviving entity, under the terms of the amended and restated limited partnership agreement, which is substantially the same as the limited partnership agreement in effect immediately prior to the Merger. As a result of the Merger, ECGP’s equity interest in the combined company was reduced to approximately 0.2%.

In January 2014, the Company’s investment in Ram Terminals, LLC (RAM), an entity majority owned by Yorktown, was converted into an equal ownership percentage of Terminal Holdings, LLC, a holding company which is the sole member of both RAM and MG Midstreaming, LLC. Subsequent to the Merger, but also on February 1, 2014, Terminal Holdings, LLC merged with and into a merger subsidiary of Thoroughbred created for the purpose of the transaction, with Terminal Holdings, LLC as the surviving entity. Terminal Holdings, LLC was owned by the Company and Yorktown in the same percentage as their prior interests in RAM, and by virtue of the merger, the Company’s equity interest in Terminal Holdings, LLC was converted into an equal number of common units representing limited partnership interests in Thoroughbred. Because of the Company’s ownership interest in Thoroughbred through ECGP, the newly converted interest, which equals an additional 0.9%, is accounted for under the equity method.

7

As of June 30, 2015, the Company’s total ownership in Thoroughbred equaled 1.1%. Income from the equity interest in Thoroughbred for the three months ended June 30, 2015 and 2014 totaled $41, and $9, respectively, and for the six months ended June 30, 2015 and 2014 totaled $76 and $15, respectively.

Sale of Coal Reserves

The Company has executed the sale of an undivided interest in certain land and mineral reserves to Thoroughbred, through a series of transactions beginning in February 2011. Subsequently, the Company entered into lease agreements with Thoroughbred pursuant to which Thoroughbred granted the Company leases to its undivided interests in the mining properties acquired and licenses to mine and sell coal from those properties in exchange for a production royalty. Due to the Company’s continuing involvement in the land and mineral reserves transferred, these transactions have been accounted for as financing arrangements. A long-term obligation has been established that is being amortized over the anticipated life of the mineral reserves, at an annual rate of 7% of the estimated gross revenue generated from the sale of the coal originating from the leased mineral reserves. In addition, effective February 2011, the Company and Thoroughbred entered into a Royalty Deferment and Option Agreement, whereby the Company has been granted an option to defer payment of any royalties earned by Thoroughbred on coal mined from these properties. Compensation for the aforementioned transactions has consisted of a combination of cash payments and the forgiveness of amounts owed by the Company, which primarily consisted of deferred royalties.

On October 1, 2014, the Company transferred to Thoroughbred a portion of its interest in certain land and mineral reserves the Company controls in Muhlenberg county in exchange for Thoroughbred conveying to the Company a 7.97% undivided interest in the land and mineral reserves previously transferred by the Company to Thoroughbred. This transaction was determined to be a fair and reasonable arm’s-length transaction by the conflicts committee of the board of directors of the Company, a committee comprised of only independent directors.

The Company sold a 3.85% undivided interest in certain leased and owned land and mineral reserves to Thoroughbred on October 1, 2014 in exchange for Thoroughbred forgiving amounts owed by the Company of $8,202. On May 1, 2015, the Company sold an additional 12.10% undivided interest in certain leased and owned land and mineral reserves to Thoroughbred in exchange for Thoroughbred forgiving amounts owed by the Company of $18,172. The amounts forgiven by Thoroughbred consisted primarily of deferred production royalties. The newly acquired interests in the mineral reserves were leased and/or subleased by Thoroughbred to the Company in exchange for a production royalty. These transactions were accounted for as financing arrangements and additional long-term obligations to Thoroughbred of $8,202 and $18,172 were recognized on October 1, 2014 and May 1, 2015, respectively.

The percentage interests in the land and mineral reserves sold to Thoroughbred in the above transactions was based on fair values determined by a third-party specialist. As a result of these transactions, Thoroughbred’s undivided interest in certain of the Company’s leased and owned land and mineral reserves in Muhlenberg and Ohio counties as of June 30, 2015 and December 31, 2014 was 61.38% and 49.28%, respectively.

As of June 30, 2015 and December 31, 2014, the outstanding long-term obligation to related party totaled $129,515 and $110,713, respectively. Interest expense recognized for the three months ended June 30, 2015 and 2014 associated with the long-term obligation to related party was $3,139 and $1,837, respectively, and for the six months ended June 30, 2015 and 2014 was $5,636 and $3,664, respectively. The effective interest rate of the long-term obligation to related party, which is adjusted based on significant mine plan changes and the completion of the periodic reserve transfers, was 9.2% as of June 30, 2015.

Lease of Coal Reserves

In February 2011, Thoroughbred entered into a lease and sublease agreement with the Company relating to its Elk Creek reserves and granted the Company a license to mine coal on those properties. The terms of this agreement mirror those of the lease agreements associated with the jointly owned reserves between the Company and Thoroughbred. Total production royalties owed from mining of the Elk Creek reserves, where the Company’s Kronos underground mine resides, for the three months ended June 30, 2015 and 2014 totaled $2,053 and $2,240, respectively, and for the six months ended June 30, 2015 and 2014 totaled $4,054 and $4,264, respectively.

In February 2014, the Company entered into an additional lease and/or sublease with Thoroughbred for certain mineral reserves located in Muhlenberg and McLean Counties of Kentucky, contiguous to its existing reserves, in exchange for a production royalty. Total proven and probable mineral reserves included as part of the transaction was approximately 198 million tons. The initial term of the lease is ten years, with an automatic extension of up to ten years. No mining of this reserve had commenced as of June 30, 2015.

8

Administrative Services Agreements

The Company entered into an administrative services agreement with Thoroughbred and its general partner, ECGP, pursuant to which the Company agreed to provide Thoroughbred with general administrative and management services, including, but not limited to, human resources, information technology, financial and accounting services and legal services. The administrative service fee, which is adjusted annually, is approved by the conflicts committee of the board of directors. As consideration for the use of the Company’s employees and services, and for certain shared fixed costs, Thoroughbred paid the Company $300 and $253 for the three months ended June 30, 2015 and 2014, respectively, and $600 and $507 for the six months ended June 30, 2015 and 2014, respectively.

Other

In 2006 and 2007, the Company entered into overriding royalty agreements with a current and a former executive employee to compensate them $0.05/ton of coal mined and sold from properties owned by certain subsidiaries of the Company. The agreements remain in effect for the later of 20 years from the date of the agreement or until all salable coal has been extracted. Both royalty agreements transfer with the property regardless of ownership or lease status. The royalties are payable the month following the sale of coal mined from the specified properties. The Company accounts for these royalty arrangements as expense in the period in which the coal is sold. Expense recorded in the three months ended June 30, 2015 and 2014, was $173 and $211, respectively, and $338 and $413 in the six months ended June 30, 2015 and 2014, respectively.

7. LONG-TERM DEBT

The Company’s total indebtedness consisted of the following:

Type	June 30, 2015		December 31, 2014
11.75% Senior Secured Notes due 2019	$	194,982	$	194,570
Senior Secured Credit Facility		—		—
Other		11,380		9,319
		206,362		203,889
Less: current maturities		5,598		4,929
Total long-term debt	$	200,764	$	198,960

Senior Secured Notes due 2019

On December 21, 2012, the Company completed a $200,000 offering of 11.75% Senior Secured Notes due 2019 (the Notes). The Notes were issued at an original issue discount (OID) of 96.567%. The OID was recorded on the Company’s balance sheet as a component of long-term debt, and is being amortized to interest expense over the life of the Notes. As of June 30, 2015 and December 31, 2014, the unamortized OID was $5,018 and $5,430, respectively. Interest on the Notes is due semiannually on June 15 and December 15 of each year. The Company used $123,698 of the proceeds from this issuance to prepay and terminate its previous senior secured credit facility, including accrued and unpaid interest. In addition, the Company used the proceeds to pay fees and expenses of $8,358 related to the Notes offering, which are being amortized to interest expense over the life of the Notes.

2012 Credit Facility

Concurrently with the closing of the Notes offering on December 21, 2012, the Company entered into a new asset based revolving credit facility (the 2012 Credit Facility). The 2012 Credit Facility provides for a five-year $50,000 revolving credit facility that will expire on December 21, 2017. Borrowings under the 2012 Credit Facility may not exceed a borrowing base, as defined within the 2012 Credit Facility agreement. In addition, the 2012 Credit Facility includes a $10,000 letter of credit sub-facility and a $5,000 swingline loan sub-facility. As of June 30, 2015 and December 31, 2014, there were no borrowings outstanding under the 2012 Credit Facility, and the Company had $19,946 available for borrowing under the 2012 Credit Facility at June 30, 2015. The Company incurred $1,198 of deferred financing fees related to the 2012 Credit Facility that have been capitalized and are being amortized to interest expense over the life of the 2012 Credit Facility.

8. FAIR VALUE OF FINANCIAL INSTRUMENTS

The Company measures the fair value of assets and liabilities using a three-tier fair value hierarchy which prioritizes the inputs used in measuring fair value as follows: Level 1—observable inputs such as quoted prices in active markets; Level 2—inputs, other than quoted market prices in active markets, which are observable, either directly or indirectly; and Level 3—valuations derived from

9

valuation techniques in which one or more significant inputs are unobservable. In addition, the Company may use various valuation techniques including the market approach, using comparable market prices; the income approach, using present value of future income or cash flow; and the cost approach, using the replacement cost of assets.

The Company’s financial instruments consist of cash equivalents, accounts receivable, long-term debt, and other long-term obligations. For cash equivalents, accounts receivable and other long-term obligations, the carrying amounts approximate fair value due to the short maturity and financial nature of the balances. The estimated fair market values of the Company’s Notes, which was determined using Level 2 inputs, and long-term obligation to related party, which was determined using Level 3 inputs, are as follows:

	June 30, 2015				December 31, 2014
	Fair Value		Carrying Value		Fair Value		Carrying Value
11.75% Senior Secured Notes due 2019(1)	$	141,500	$	194,982	$	206,000	$	194,570
Long-term obligation to related party		104,005		129,515		115,731		110,713
Total	$	245,505	$	324,497	$	321,731	$	305,283

⁽¹⁾  The carrying value of the Notes is net of the unamortized OID as of June 30, 2015 and December 31, 2014, respectively.

The fair value of the Notes is based on quoted market prices, while the fair value of the long-term obligation to related party was based on estimated cash flows discounted to their present value.

9. INCOME TAXES

The Company has not recognized certain income tax benefits, as it does not believe it is more likely than not it will be able to realize its net deferred tax assets. The Company has, therefore, established a valuation allowance against its net deferred tax assets as of June 30, 2015 and December 31, 2014. Based on the anticipated reversals of its deferred tax assets and deferred tax liabilities, the Company has concluded a valuation allowance is necessary only for the excess of deferred tax assets over deferred tax liabilities.

10. EMPLOYEE BENEFIT PLANS

Effective January 1, 2013, the Company began providing certain health care benefits, including the reimbursement of a portion of out-of-pocket costs associated with insurance coverage, to qualifying salaried and hourly retirees and their dependents. Plan coverage for reimbursements will be provided to future hourly and salaried retirees in accordance with the plan document. The Company’s funding policy with respect to the plan is to fund the cost of all postretirement benefits as they are paid.

Net periodic postretirement benefit cost included the following components:

	Three months ended June 30,				Six months ended June 30,
	2015		2014		2015		2014
Service cost for benefits earned	$	304	$	259	$	608	$	517
Interest cost on accumulated postretirement benefit obligation		31		21		61		43
Amortization of prior service cost		26		26		52		52
Net periodic postretirement cost	$	361	$	306	$	721	$	612

10

11. ACCUMULATED OTHER COMPREHENSIVE LOSS

Changes in accumulated other comprehensive loss, net of tax, for the six months ended June 30, 2015 consisted of the following:

	Postretirement Benefit Plan and Other Employee Benefit Obligations			Accumulated Other Comprehensive Loss
Balance as of December 31, 2014	$	(3,741	)	$	(3,741	)
Other comprehensive loss before reclassifications		—			—
Amounts reclassified from accumulated other comprehensive loss		209			209
Net current-period accumulated other comprehensive loss		(3,532	)		(3,532	)
Balance as of June 30, 2015	$	(3,532	)	$	(3,532	)

The following is a summary of reclassifications out of accumulated other comprehensive loss for the three and six months ended June 30, 2015 and 2014:

Details about Accumulated Other Comprehensive Income (Loss) Components	Affected Line Item in the Condensed Consolidated Statement of Operations	Amounts Reclassified from Accumulated Other Comprehensive Loss For the Three Months Ended June 30,
		2015			2014
Amortization of prior service cost associated with postretirement benefit plan and other employee benefit obligations	Cost of coal sales	$	(104	)	$	(26	)
			(104	)		(26	)
Income taxes			—			—
Total reclassifications		$	(104	)	$	(26	)
Details about Accumulated Other Comprehensive Income (Loss) Components	Affected Line Item in the Condensed Consolidated Statement of Operations	Amounts Reclassified from Accumulated Other Comprehensive Loss For the Six Months Ended June 30,
		2015			2014
Amortization of prior service cost associated with postretirement benefit plan and other employee benefit obligations	Cost of coal sales	$	(209	)	$	(52	)
			(209	)		(52	)
Income taxes			—			—
Total reclassifications		$	(209	)	$	(52	)

12. CLOSURE OF LEWIS CREEK UNDERGROUND MINE

The Company’s Lewis Creek underground mine, which produced coal from the West Kentucky #9 seam, experienced significant operating inefficiencies due to the geological conditions of the portion of the reserve being mined. As a result of the ongoing mining difficulties, a final decision was made in August 2014 not to continue advancing under the current mine plan, but rather to retreat and mine only in the eastern portion of the reserve.

11

The Company completed mining of the Lewis Creek underground mine in March 2015 and has begun extracting the equipment, which will be utilized at its other mining operations in the future. As a result of the closure, the Company accelerated depreciation of the remaining net book value of the capitalized costs associated with the original development of the mine. Total expense recognized during the first quarter of 2015 to write-off the remaining asset was approximately $6,318, which is included as a component of depreciation, depletion, and amortization expense in the condensed consolidated statement of operations for the six months ended June 30, 2015.

13. COMMITMENTS AND CONTINGENCIES

The Company is subject to various market, operational, financial, regulatory, and legislative risks. Numerous federal, state, and local governmental permits and approvals are required for mining operations. Federal and state regulations require regular monitoring of mines and other facilities to document compliance. Monetary penalties of $1,583 and $1,747 related to Mine Safety and Health Administration fines were accrued as of June 30, 2015 and December 31, 2014, respectively.

The Company is involved from time to time in various legal matters arising in the ordinary course of business. In the opinion of management, the resolution of these matters will not have a material adverse effect on the Company’s consolidated cash flows, results of operations or financial condition.

Coal Sales Contracts

The Company has historically sold the majority of its coal under multi-year supply agreements of varying duration. These contracts typically have specific volume and pricing arrangements for each year of the agreement, which allows customers to secure a supply for their future needs and provides the Company with greater predictability of sales volume and sales prices. Quantities sold under some of these contracts may vary from year to year within certain limits at the option of the customer or the Company. The remaining terms of the Company’s long-term contracts range from one to five years. The Company, via contractual agreements, has committed volumes of sales in 2015 of approximately 8.4 million tons.

14. OTHER, NET

During the second quarter of 2015, the Company received a refund for a portion of the Kentucky sales and use taxes paid on the purchase of certain energy and energy producing fuels for the period of 2008 through 2013. The refund, including interest, totaled $4,482, which is included in other, net in the condensed consolidated statement of operations for the three and six months ended June 30, 2015.

15. SUPPLEMENTAL GUARANTOR/NON-GUARANTOR FINANCIAL INFORMATION

In accordance with the indenture governing the Notes, the Guarantor Subsidiaries have fully and unconditionally guaranteed the Notes, on a joint and several basis, subject to certain customary release provisions. Separate financial statements and other disclosures concerning the Guarantor Subsidiaries are not presented because management believes that such information is not material to the holders of the Notes. The following historical financial statement information is provided for the Guarantor Subsidiaries. The non-guarantor subsidiaries are considered to be “minor” as the term is defined in Rule 3-10 of Regulation S-X promulgated by the SEC, and the financial position, results of operations, and cash flows of the non-guarantor subsidiaries are, therefore, included in the condensed financial data of the Guarantor Subsidiaries.

12

Supplemental Condensed Consolidating Balance Sheets

	June 30, 2015
	Parent / Issuer			Guarantor Subsidiaries			Eliminations			Consolidated
ASSETS
Current assets:
Cash and cash equivalents	$	—		$	63,303		$	—		$	63,303
Accounts receivable		—			21,213			—			21,213
Inventories		—			10,464			—			10,464
Prepaid and other assets		269			2,617			—			2,886
Deferred income taxes		—			1,454			—			1,454
Total current assets		269			99,051			—			99,320
Property, plant, equipment, and mine development, net		15,359			383,852			—			399,211
Investments		—			3,448			—			3,448
Investments in subsidiaries		198,145			—			(198,145	)		—
Intercompany receivables		81,489			(81,489	)		—			—
Other non-current assets		8,229			15,729			—			23,958
Total assets	$	304,491		$	420,591		$	(198,145	)	$	525,937
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable	$	100		$	23,015		$	—		$	23,115
Accrued and other liabilities		1,235			19,649			—			20,884
Current portion of capital lease obligations		—			2,048			—			2,048
Current maturities of long-term debt		—			5,598			—			5,598
Total current liabilities		1,335			50,310			—			51,645
Long-term debt, less current maturities		194,982			5,782			—			200,764
Long-term obligation to related party		—			129,515			—			129,515
Related party payables, net		(3,811	)		12,029			—			8,218
Asset retirement obligations		—			14,033			—			14,033
Long-term portion of capital lease obligations		—			441			—			441
Deferred income taxes		—			1,454			—			1,454
Other non-current liabilities		161			8,859			—			9,020
Total liabilities		192,667			222,423			—			415,090
Stockholders’ equity:
Armstrong Energy, Inc.’s equity		110,824			198,145			(198,145	)		110,824
Non-controlling interest		—			23			—			23
Total stockholders’ equity		110,824			198,168			(198,145	)		110,847
Total liabilities and stockholders’ equity	$	303,491		$	420,591		$	(198,145	)	$	525,937

13

Supplemental Condensed Consolidating Balance Sheets

	December 31, 2014
	Parent / Issuer			Guarantor Subsidiaries			Eliminations			Consolidated
ASSETS
Current assets:
Cash and cash equivalents	$	—		$	59,518		$	—		$	59,518
Accounts receivable		—			21,799			—			21,799
Inventories		—			10,552			—			10,552
Prepaid and other assets		62			2,900			—			2,962
Deferred income taxes		735			—			—			735
Total current assets		797			94,769			—			95,566
Property, plant, equipment, and mine development, net		14,648			394,092			—			408,740
Investments		—			3,372			—			3,372
Investments in subsidiaries		199,435			—			(199,435	)		—
Intercompany receivables		96,755			(96,755	)		—			—
Other non-current assets		8,980			15,789			—			24,769
Total assets	$	320,615		$	411,267		$	(199,435	)	$	532,447
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable	$	100		$	27,493		$	—		$	27,593
Accrued and other liabilities		3,456			13,661			—			17,117
Current portion of capital lease obligations		—			2,426			—			2,426
Current maturities of long-term debt		—			4,929			—			4,929
Total current liabilities		3,556			48,509			—			52,065
Long-term debt, less current maturities		194,570			4,390			—			198,960
Long-term obligation to related party		—			110,713			—			110,713
Related party payables, net		(3,211	)		21,383			—			18,172
Asset retirement obligations		—			17,379			—			17,379
Long-term portion of capital lease obligations		—			1,358			—			1,358
Deferred income taxes		735			—			—			735
Other non-current liabilities		131			8,077			—			8,208
Total liabilities		195,781			211,809			—			407,590
Stockholders’ equity:
Armstrong Energy, Inc.’s equity		124,834			199,435			(199,435	)		124,834
Non-controlling interest		—			23			—			23
Total stockholders’ equity		124,834			199,458			(199,435	)		124,857
Total liabilities and stockholders’ equity	$	320,615		$	411,267		$	(199,435	)	$	532,447

14

Supplemental Condensed Consolidated Statements of Operations

	Three Months Ended June 30, 2015
	Parent / Issuer			Guarantor Subsidiaries			Eliminations			Consolidated
Revenue	$	—		$	93,139		$	—		$	93,139
Costs and Expenses:
Cost of coal sales, exclusive of items shown separately below		—			70,153			—			70,153
Production royalty to related party		—			2,053			—			2,053
Depreciation, depletion, and amortization		507			9,998			—			10,505
Asset retirement obligation expenses		—			717			—			717
General and administrative expenses		601			3,682			—			4,283
Operating (loss) income		(1,108	)		6,536			—			5,428
Other income (expense):
Interest expense, net		(5,568	)		(3,302	)		—			(8,870	)
Other, net		—			4,595			—			4,595
Income from investment in subsidiaries		7,570			—			(7,570	)		—
Income before income taxes		894			7,829			(7,570	)		1,153
Income tax provision		—			259			—			259
Net income		894			7,570			(7,570	)		894
Less: income attributable to non-controlling interest		—			—			—			—
Net income attributable to common stockholders	$	894		$	7,570		$	(7,570	)	$	894
	Three Months Ended June 30, 2014
	Parent / Issuer			Guarantor Subsidiaries			Eliminations			Consolidated
Revenue	$	—		$	116,287		$	—		$	116,287
Costs and Expenses:
Cost of coal sales, exclusive of items shown separately below		—			95,166			—			95,166
Production royalty to related party		—			2,240			—			2,240
Depreciation, depletion, and amortization		471			9,260			—			9,731
Asset retirement obligation expenses		—			500			—			500
General and administrative expenses		909			3,834			—			4,743
Operating (loss) income		(1,380	)		5,287			—			3,907
Other income (expense):
Interest expense, net		(6,237	)		(2,053	)		—			(8,290	)
Other, net		—			245			—			245
Income from investment in subsidiaries		3,479			—			(3,479	)		—
(Loss) income before income taxes		(4,138	)		3,479			(3,479	)		(4,138	)
Income tax provision		—			—			—			—
Net (loss) income		(4,138	)		3,479			(3,479	)		(4,138	)
Less: income attributable to non-controlling interest		—			—			—			—
Net (loss) income attributable to common stockholders	$	(4,138	)	$	3,479		$	(3,479	)	$	(4,138	)

15

Supplemental Condensed Consolidated Statements of Operations

	Six Months Ended June 30, 2015
	Parent / Issuer			Guarantor Subsidiaries			Eliminations			Consolidated
Revenue	$	—		$	189,474		$	—		$	189,474
Costs and Expenses:
Cost of coal sales, exclusive of items shown separately below		—			148,983			—			148,983
Production royalty to related party		—			4,054			—			4,054
Depreciation, depletion, and amortization		1,012			26,397			—			27,409
Asset retirement obligation expenses		—			1,584			—			1,584
General and administrative expenses		782			8,140			—			8,922
Operating (loss) income		(1,794	)		316			—			(1,478	)
Other income (expense):
Interest expense, net		(11,277	)		(5,970	)		—			(17,247	)
Other, net		—			4,624			—			4,624
Loss from investment in subsidiaries		(1,289	)		—			1,289			—
Loss before income taxes		(14,360	)		(1,030	)		1,289			(14,101	)
Income tax provision		—			259			—			259
Net loss		(14,360	)		(1,289	)		1,289			(14,360	)
Less: income attributable to non-controlling interest		—			—			—			—
Net loss attributable to common stockholders	$	(14,360	)	$	(1,289	)	$	1,289		$	(14,360	)
	Six Months Ended June 30, 2014
	Parent / Issuer			Guarantor Subsidiaries			Eliminations			Consolidated
Revenue	$	—		$	227,153		$	—		$	227,153
Costs and Expenses:
Cost of coal sales, exclusive of items shown separately below		—			185,285			—			185,285
Production royalty to related party		—			4,264			—			4,264
Depreciation, depletion, and amortization		947			18,991			—			19,938
Asset retirement obligation expenses		—			1,008			—			1,008
General and administrative expenses		1,829			8,160			—			9,989
Operating (loss) income		(2,776	)		9,445			—			6,669
Other income (expense):
Interest expense, net		(12,485	)		(4,049	)		—			(16,534	)
Other, net		—			427			—			427
Income from investment in subsidiaries		5,823			—			(5,823	)		—
(Loss) income before income taxes		(9,438	)		5,823			(5,823	)		(9,438	)
Income tax provision		—			—			—			—
Net (loss) income		(9,438	)		5,823			(5,823	)		(9,438	)
Less: income attributable to non-controlling interest		—			—			—			—
Net (loss) income attributable to common stockholders	$	(9,438	)	$	5,823		$	(5,823	)	$	(9,438	)

16

Supplemental Condensed Consolidated Statements of Comprehensive Income (Loss)

	Three Months Ended June 30, 2015
	Parent / Issuer			Guarantor Subsidiaries		Eliminations			Consolidated
Net income	$	894		$	7,570	$	(7,570	)	$	894
Other comprehensive income:
Postretirement benefit plan and other employee benefit obligation		—			104		—			104
Other comprehensive income		—			104		—			104
Comprehensive income		894			7,674		(7,570	)		998
Less: comprehensive income (loss) attributable to non-controlling interest		—			—		—			—
Comprehensive income attributable to common stockholders	$	894		$	7,674	$	(7,570	)	$	998
	Three Months Ended June 30, 2014
	Parent / Issuer			Guarantor Subsidiaries		Eliminations			Consolidated
Net (loss) income	$	(4,138	)	$	3,479	$	(3,479	)	$	(4,138	)
Other comprehensive income:
Postretirement benefit plan and other employee benefit obligation		—			26		—			26
Other comprehensive income		—			26		—			26
Comprehensive (loss) income		(4,138	)		3,505		(3,479	)		(4,112	)
Less: comprehensive income (loss) attributable to non-controlling interest		—			—		—			—
Comprehensive (loss) income attributable to common stockholders	$	(4,138	)	$	3,505	$	(2,395	)	$	(4,112	)

17

Supplemental Condensed Consolidated Statements of Comprehensive Income (Loss)

	Six Months Ended June 30, 2015
	Parent / Issuer			Guarantor Subsidiaries			Eliminations			Consolidated
Net loss	$	(14,360	)	$	(1,289	)	$	1,289		$	(14,360	)
Other comprehensive income:
Postretirement benefit plan and other employee benefit obligation		—			209			—			209
Other comprehensive income		—			209			—			209
Comprehensive loss		(14,360	)		(1,080	)		1,289			(14,151	)
Less: comprehensive income (loss) attributable to non-controlling interest		—			—			—			—
Comprehensive loss attributable to common stockholders	$	(14,360	)	$	(1,080	)	$	1,289		$	(14,151	)
	Six Months Ended June 30, 2014
	Parent / Issuer			Guarantor Subsidiaries			Eliminations			Consolidated
Net (loss) income	$	(9,438	)	$	5,823		$	(5,823	)	$	(9,438	)
Other comprehensive income:
Postretirement benefit plan and other employee benefit obligation		—			52			—			52
Other comprehensive income		—			52			—			52
Comprehensive (loss) income		(9,438	)		5,875			(5,823	)		(9,386	)
Less: comprehensive income (loss) attributable to non-controlling interest		—			—			—			—
Comprehensive (loss) income attributable to common stockholders	$	(9,438	)	$	5,875		$	(5,823	)	$	(9,386	)

18

Supplemental Condensed Consolidating Statements of Cash Flows

	Six Months Ended June 30, 2015
	Parent / Issuer			Guarantor Subsidiaries			Consolidated
Cash Flows from Operating Activities:
Net cash (used in) provided by operating activities:	$	(13,546	)	$	35,221		$	21,675
Cash Flows from Investing Activities:
Investment in property, plant, equipment, and mine development		(1,723	)		(12,679	)		(14,402	)
Proceeds from disposal of fixed assets		—			475			475
Net cash used in investing activities		(1,723	)		(12,204	)		(13,927	)
Cash Flows from Financing Activities:
Payment on capital lease obligations		—			(1,296	)		(1,296	)
Payment of long-term debt		—			(2,667	)		(2,667	)
Transactions with affiliates, net		15,269			(15,269	)		—
Net cash provided by (used in) financing activities		15,269			(19,232	)		(3,963	)
Net change in cash and cash equivalents		—			3,785			3,785
Cash and cash equivalents, at the beginning of the period		—			59,518			59,518
Cash and cash equivalents, at the end of the period	$	—		$	63,303		$	63,303
	Six Months Ended June 30, 2014
	Parent / Issuer			Guarantor Subsidiaries			Consolidated
Cash Flows from Operating Activities:
Net cash (used in) provided by operating activities:	$	(14,754	)	$	37,886		$	23,132
Cash Flows from Investing Activities:
Investment in property, plant, equipment, and mine development		(540	)		(6,303	)		(6,843	)
Proceeds from disposal of fixed assets		—			5			5
Net cash used in investing activities		(540	)		(6,298	)		(6,838	)
Cash Flows from Financing Activities:
Payment on capital lease obligations		—			(1,509	)		(1,509	)
Payment of long-term debt		—			(3,741	)		(3,741	)
Repurchase of employee stock relinquished for tax withholdings		(87	)		—			(87	)
Transactions with affiliates, net		15,381			(15,381	)		—
Net cash provided by (used in) financing activities		15,294			(20,631	)		(5,337	)
Net change in cash and cash equivalents		—			10,957			10,957
Cash and cash equivalents, at the beginning of the period		—			51,632			51,632
Cash and cash equivalents, at the end of the period	$	—		$	62,589		$	62,589

19

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations.

The following discussion and analysis of financial condition and results of operations should be read in conjunction with our unaudited consolidated financial statements and related notes included in Item 1 of Part I of this Quarterly Report on Form 10-Q and with our audited consolidated financial statements and related notes included in our Annual Report on Form 10-K filed with the Securities and Exchange Commission (the SEC) on March 26, 2015.

CAUTIONARY STATEMENT CONCERNING FORWARD-LOOKING STATEMENTS

Various statements contained in this quarterly report, including those that express a belief, expectation or intention, as well as those that are not statements of historical fact, are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, (the Securities Act) and Section 21E of the Securities Exchange Act of 1934, as amended (the Exchange Act). These forward-looking statements may include projections and estimates concerning the timing and success of specific projects and our future production, revenues, income and capital spending. Our forward-looking statements are generally accompanied by words such as “estimate,” “project,” “predict,” “believe,” “expect,” “anticipate,” “potential,” “plan,” “goal” or other words that convey the uncertainty of future events or outcomes. The forward-looking statements in this quarterly report speak only as of the date of this quarterly report; we disclaim any obligation to update these statements unless required by law, and we caution you not to rely on them unduly. We have based these forward-looking statements on our current expectations and assumptions about future events. While our management considers these expectations and assumptions to be reasonable, they are inherently subject to significant business, economic, competitive, regulatory and other risks, contingencies and uncertainties, most of which are difficult to predict and many of which are beyond our control. These and other important factors may cause our actual results, performance or achievements to differ materially from any future results, performance or achievements expressed or implied by these forward-looking statements. These risks, contingencies and uncertainties include, but are not limited to, the following:

• market demand for coal and electricity;

• geologic conditions, weather and other inherent risks of coal mining that are beyond our control;

• competition within our industry and with producers of competing energy sources;

• excess production and production capacity;

• our ability to acquire or develop coal reserves in an economically feasible manner;

• inaccuracies in our estimates of our coal reserves;

• availability and price of mining and other industrial supplies, including steel-based supplies, diesel fuel, rubber tires and explosives;

• the continued weakness in global economic conditions or in any industry in which our customers operate, or sustained uncertainty in financial markets, which may cause conditions we cannot predict;

• coal users switching to other fuels in order to comply with various environmental standards related to coal combustion;

• volatility in the capital and credit markets;

• availability of skilled employees and other workforce factors;

• our ability to collect payments from our customers;

• defects in title or the loss of a leasehold interest;

• railroad, barge, truck and other transportation performance costs;

• our ability to secure new coal supply arrangements or to renew existing coal supply arrangements;

• the deferral of contracted shipments of coal by our customers;

• our ability to service our outstanding indebtedness;

• our ability to comply with the restrictions imposed by our revolving credit facility, the indenture governing our notes and other financing arrangements;

• the availability and cost of surety bonds;

• our ability to obtain and renew various permits, including permits authorizing the disposition of certain mining waste;

• existing and future legislation and regulations affecting both our coal mining operations and our customers’ coal usage, governmental policies and taxes, including those aimed at reducing emissions of elements such as mercury, sulfur dioxide, nitrogen oxides, or toxic gases, such as hydrogen chloride, particulate matter or greenhouse gases;

20

• the accuracy of our estimates of reclamation and other mine closure obligations;

• our ability to attract and retain key management personnel; and

• efforts to organize our workforce for representation under a collective bargaining agreement.

When considering these forward-looking statements, you should keep in mind the cautionary statements in this document and in our other SEC filings, including the more detailed discussion of these factors and other factors that could affect our results included in “Risk Factors” in our Annual Report on Form 10-K filed with the SEC on March 26, 2015, as may be updated in subsequent filings with the SEC.

Overview

Armstrong Energy, Inc. (together with its subsidiaries, we or the Company) is a producer of low chlorine, high sulfur thermal coal from the Illinois Basin, with both surface and underground mines. We market our coal primarily to proximate and investment grade electric utility companies as fuel for their steam-powered generators. Based on 2014 production, we are the sixth largest producer in the Illinois Basin and the second largest in Western Kentucky. We were formed in 2006 to acquire and develop a large coal reserve holding. We commenced production in the second quarter of 2008 and currently operate seven mines, including four surface and three underground. We control approximately 563 million tons of proven and probable coal reserves. We also own and operate three coal processing plants, which support our mining operations. From our reserves, we mine coal from multiple seams that, in combination with our coal processing facilities, enhance our ability to meet customer requirements for blends of coal with different characteristics. The locations of our coal reserves and operations, adjacent to the Green River, together with our river dock coal handling and rail loadout facilities, allow us to optimize coal blending and handling, and provide our customers with rail, barge and truck transportation options.

We market our coal primarily to large utilities with coal-fired, base-load, scrubbed power plants under multi-year coal supply agreements. Our multi-year coal supply agreements usually have specific volume and pricing arrangements for each year of the agreement. These agreements allow customers to secure a supply for their future needs and provide us with greater predictability of sales volume and sales prices. At June 30, 2015, we had coal supply agreements with terms ranging from one to five years. As of June 30, 2015, we are contractually committed to sell approximately 8.4 million tons of coal in 2015. The average price per committed ton for 2015 is $46.23.

Recent Developments

Revisions to Mine Plans

Our Lewis Creek underground mine, which produced coal from the West Kentucky #9 seam, experienced significant operating inefficiencies due to the geological conditions of the portion of the reserve being mined. As a result of the ongoing mining difficulties, a final decision was made in August 2014 not to continue advancing under the current mine plan, but rather to retreat and mine only in the eastern portion of the reserve.

We completed mining of the Lewis Creek underground mine in March 2015 and have begun extracting the equipment, which will be utilized at our other mining operations in the future. As a result of the closure, we accelerated depreciation of the remaining net book value of the capitalized costs associated with the original development of the mine. Total expense recognized during the first quarter of 2015 to write-off the remaining asset was approximately $6.3 million, which is included as a component of depreciation, depletion, and amortization (DD&A) expense in the condensed consolidated statement of operations for the six months ended June 30, 2015.

In addition to the above, we periodically adjust our mine plans based on changes in current market conditions, the regulatory environment, and the anticipated cost structure at each of our mines. During the first quarter of 2015, we reevaluated the mine plans for certain of our surface operations and, as a result, determined the estimated useful lives of a portion of the machinery and equipment had been reduced based on the expected future utilization of these assets. As such, we have reduced the depreciable lives of the identified machinery and equipment which increased depreciation expense by approximately $0.6 million and $1.2 million for the three and six months ended June 30, 2015, respectively, and will continue to increase depreciation expense on a prospective basis.

Sale of Coal Reserves

On May 1, 2015, we sold a 12.10% undivided interest in certain leased and owned land and mineral reserves to our affiliate, Thoroughbred Resources, L.P. (Thoroughbred), in exchange for Thoroughbred forgiving amounts owed by the Company of $18.2 million, which consisted primarily of deferred production royalties. The newly acquired interests in the mineral reserves were leased and/or subleased by Thoroughbred to us in exchange for a production royalty. Similar to previous reserve transfers, this transaction was accounted for as a financing arrangement, and an additional long-term obligation to Thoroughbred of $18.2 million was recognized in the second quarter of 2015.

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The percentage interest in the land and mineral reserves sold was based on a fair value determined by a third-party specialist. As a result of this transaction, Thoroughbred’s undivided interest in certain of the Company’s leased and owned land and mineral reserves in Muhlenberg and Ohio counties increased to 61.38%. See Note 6, “Related Party Transactions,” to the unaudited condensed consolidated financial statements included in this report and “Item 13—Certain Relationships and Related Party Transactions, and Director Independence” in our Annual Report on Form 10-K filed with the SEC on March 26, 2015 for additional information concerning our leases with related parties.

Results of Operations

Non-GAAP Financial Information

Adjusted EBITDA, as presented in this Quarterly Report on Form 10-Q, is a supplemental measure of our performance that is not required by, or presented in accordance with, U.S. generally accepted accounting (GAAP). It is not a measurement of our financial performance under GAAP and should not be considered as an alternative to net income (loss) or any other performance measures derived in accordance with GAAP or as an alternative to cash flows from operating activities as measures of our liquidity.

We define “Adjusted EBITDA” as net income (loss) before deducting net interest expense, income taxes, depreciation, depletion and amortization, asset retirement obligation expense, non-cash production royalty to related party, loss on settlement of interest rate swap, loss on deferment of equity offering, gain on settlement of asset retirement obligations, non-cash stock compensation expense, non-cash employee benefit expense, non-cash charges related to non-recourse notes, gain on deconsolidation, and (gain) loss on extinguishment of debt. We caution investors that amounts presented in accordance with our definition of Adjusted EBITDA may not be comparable to similar measures disclosed by other issuers, because not all issuers and analysts calculate Adjusted EBITDA in the same manner. We present Adjusted EBITDA because we consider it an important supplemental measure of our performance and believe it is useful to an investor in evaluating our Company. We also include a quantitative reconciliation of Adjusted EBITDA to the most directly comparable GAAP financial performance measure, which is net income (loss), in the sections that follow.

Three Months Ended June 30, 2015 Compared to Three Months Ended June 30, 2014

Summary

	Three Months Ended June 30,					Change
	2015		2014			Amount			Percentage
	(In thousands, except per ton amounts)
Tons of coal sold		2,039		2,475			(436	)		(17.6	%)
Total revenue	$	93,139	$	116,287		$	(23,148	)		(19.9	%)
Average sales price per ton	$	45.68	$	46.98		$	(1.30	)		(2.8	%)
Cost of coal sales1	$	70,153	$	95,166		$	25,013			26.3	%
Average cost of sales per ton1	$	34.41	$	38.45		$	4.04			10.5	%
Net income (loss)	$	894	$	(4,138	)	$	5,032			121.6	%
Adjusted EBITDA2	$	23,548	$	16,443		$	7,105			43.2	%

¹  Includes revenue-based production taxes and royalties; excludes depreciation, depletion, and amortization, asset retirement obligation expenses, and general and administrative costs.

²  Non-GAAP measure; please see definition above and reconciliation below.

Revenue

Our coal sales revenue for the three months ended June 30, 2015 decreased by $23.1 million, or 19.9%, to $93.1 million, as compared to $116.3 million for the three months ended June 30, 2014. This decrease is attributable to an unfavorable volume variance of approximately $20.4 million year-over-year due to a decline in customer demand resulting in the delay of shipments and an unfavorable price variance of approximately $2.7 million due to unfavorable transportation adjustments included as a component of the price in certain of our long-term coal supply agreements as a result of declining diesel prices.

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Cost of Coal Sales

Cost of coal sales decreased 26.3% to $70.2 million in the three months ended June 30, 2015, from $95.2 million in the same period of 2014. The decline is attributable to selling 0.4 million tons less and a reduction in the operating cost per ton in the second quarter of 2015, as compared to the same period of 2014. On a per ton basis, our cost of coal sales decreased during the three months ended June 30, 2015, compared to the same period of 2014, from $38.45 per ton to $34.41 per ton. This decrease in the per ton amounts is due to favorable repair and maintenance costs at our underground mines, lower diesel fuel costs and better mining conditions experienced in the current year.

Production Royalty to Related Party

Production royalty to related party declined $0.2 million, or 8.3%, to $2.0 million during the three months ended June 30, 2015, as compared to the same period of 2014. This amount relates to production royalties earned by our affiliate, Thoroughbred, from sales originating from our Kronos underground mine (where the mineral reserves are leased directly from Thoroughbred). The reduction is due to sales volume declines experienced at our Kronos underground mine during the current quarter, along with lower average prices in the current quarter, as compared to the same period of 2014.

Depreciation, Depletion and Amortization

DD&A expense increased by $0.8 million, or 8.0%, to $10.5 million during the three months ended June 30, 2015, as compared to the same period of 2014. The increase is primarily due the impact of the revision in the first quarter of 2015 to the useful lives of a portion of the machinery and equipment associated with certain of our surface mines.

Asset Retirement Obligation Expenses

Asset retirement obligation expenses increased by $0.2 million, or 43.4%, to $0.7 million in the three months ended June 30, 2015, as compared to the same period of 2014. The increase is primarily attributable to changes in asset retirement cost estimates based on revisions to discount rates, reserve valuations and projected mine lives.

General and Administrative Expenses

General and administrative (G&A) expenses were $4.3 million for the three months ended June 30, 2015, which was $0.5 million, or 9.7%, lower than the three months ended June 30, 2014. The decrease in the three months ended June 30, 2015, as compared to the same period of 2014, is due primarily to lower expenses for labor and benefits.

Interest Expense, Net

Interest expense, net is derived from the following components:

	Three Months Ended June 30,
	2015			2014
	(In thousands)
11.75% Senior Secured Notes due 2019	$	5,875		$	5,875
Senior Secured Credit Facility		—			—
Long-term obligation to related party		3,139			1,837
Other, net		747			666
Capitalized interest		(891	)		(88	)
Total	$	8,870		$	8,290

Interest expense, net was $8.9 million for the three months ended June 30, 2015, as compared to $8.3 million for the three months ended June 30, 2014. The increase is principally attributable to an increase in the effective interest rate on the long-term obligation to related party due to revisions in the mine plan at December 31, 2014 and the increase in the principal balance of the long-term obligation to related party from the completion of the reserve transfers to Thoroughbred in October 2014 and May 2015, which increased the principal balance on the obligation by $6.1 million and $18.2 million, respectively. The year-over-year increase in interest expense was partially offset by a higher amount of capitalized interest during the current quarter, as compared to 2014.

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Other, Net

Other, net for the three months ended June 30, 2015 and 2014 was $4.6 million and $0.2 million, respectively. The increase is due to a $4.5 million refund during the second quarter of 2015 for a portion of Kentucky sales and use taxes paid on the purchase of certain energy and energy producing fuels for the period of 2008 through 2013.

Net Income (Loss)

Net income for the three months ended June 30, 2015 was $0.9 million, as compared to a net loss of $4.1 million for the same period of 2014. The increase in net income is driven by the improved operating income and the refund during the second quarter of 2015 of certain previously paid Kentucky sales and use taxes, partially offset by increased interest expenses in the current year.

Adjusted EBITDA

The following table reconciles Adjusted EBITDA to net income (loss), the most directly comparable GAAP measure:

	Three Months Ended June 30,
	2015		2014
	(In thousands)
Net income (loss)	$	894	$	(4,138	)
Depreciation, depletion, and amortization		10,505		9,731
Asset retirement obligation expenses		717		500
Non-cash production royalty to related party		2,053		2,240
Interest expense, net		8,870		8,290
Income tax provision		259		—
Non-cash employee benefit expense		167		—
Non-cash stock compensation expense		83		(180	)
Adjusted EBITDA	$	23,548	$	16,443

Our Adjusted EBITDA for the three months ended June 30, 2015 was $23.5 million, as compared to $16.4 million for the three months ended June 30, 2014. The increase in Adjusted EBITDA resulted primarily from the $4.5 million Kentucky sales and use tax refund during the second quarter of 2015, as well as an increase in gross margin as a result of production efficiencies in the three months ended June 30, 2015, as compared to the same period of 2014, and lower G&A costs, exclusive of stock compensation expense, experienced in the current quarter.

Six Months Ended June 30, 2015 Compared to Six Months Ended June 30, 2014

Summary

	Six Months Ended June 30,				Change
	2015		2014		Amount			Percentage
	(In thousands, except per ton amounts)
Tons of coal sold		4,005		4,832		(827	)		(17.1	%)
Total revenue	$	189,474	$	227,153	$	(37,679	)		(16.6	%)
Average sales price per ton	$	47.31	$	47.01	$	0.30			0.6	%
Cost of coal sales1	$	148,983	$	185,285	$	36,302			19.6	%
Average cost of sales per ton1	$	37.20	$	38.35	$	1.15			3.0	%
Net loss	$	14,360	$	9,438	$	(4,922	)		(52.2	%)
Adjusted EBITDA2	$	36,668	$	32,189	$	4,479			13.9	%

¹  Includes revenue-based production taxes and royalties; excludes depreciation, depletion, and amortization, asset retirement obligation expenses, and general and administrative costs.

²  Non-GAAP measure; please see definition above and reconciliation below.

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Revenue

Our coal sales revenue for the six months ended June 30, 2015 decreased by $37.7 million, or 16.6%, to $189.5 million, as compared to $227.2 million for the six months ended June 30, 2014. This decrease is attributable to an unfavorable volume variance of approximately $38.9 million year-over-year due to production and delivery issues during the first quarter of 2015 resulting from the inclement weather experienced in western Kentucky and a decline in customer demand resulting in the delay of shipments during the second quarter. This was partially offset by a favorable price variance of approximately $1.2 million due to customer mix and higher year-over-year contract prices.

Cost of Coal Sales

Cost of coal sales decreased 19.6% to $149.0 million in the six months ended June 30, 2015, from $185.3 million in the same period of 2014. The decline is primarily attributable to selling 0.8 million tons less in the first half of 2015, as compared to the same period of 2014. On a per ton basis, our cost of coal sales decreased during the six months ended June 30, 2015, compared to the same period of 2014, from $38.35 per ton to $37.20 per ton. This decrease in the per ton amounts is due to favorable repair and maintenance costs experienced at our underground mines, lower fuel costs and better mining conditions in the first half of 2015, partially offset by adverse weather conditions that occurred in the first quarter of 2015.

Production Royalty to Related Party

Production royalty to related party was $4.1 million and $4.3 million, respectively, for the six months ended June 30, 2015 and 2014. This amount relates to production royalties earned by our affiliate, Thoroughbred, from sales originating from our Kronos underground mine (where the mineral reserves are leased directly from Thoroughbred). Sales volume declines experienced at our Kronos underground mine during the six months ended June 30, 2015, along with lower average prices in the first half of 2015, resulted in the decline in the production royalty earned by Thoroughbred in the six months ended June 30, 2015, as compared to the same period of 2015.

Depreciation, Depletion and Amortization

DD&A expense increased by $7.5 million, or 37.5%, to $27.4 million during the six months ended June 30, 2015, as compared to the same period of 2014. The increase is primarily due to the accelerated depreciation of the capitalized mine development costs associated with the Lewis Creek underground mine resulting from the closure of the mine in the first quarter of 2015 and the impact of the revision during the first quarter of 2015 to the useful lives of a portion of the machinery and equipment associated with certain of our surface mines.

Asset Retirement Obligation Expenses

Asset retirement obligation expenses increased by $0.6 million, or 57.1%, to $1.6 million in the six months ended June 30, 2015, as compared to the same period of 2014. The increase is primarily attributable to changes in asset retirement cost estimates based on revisions to discount rates, reserve valuations and projected mine lives.

General and Administrative Expenses

G&A expenses were $8.9 million for the six months ended June 30, 2015, which was $1.1 million, or 10.7%, lower than the six months ended June 30, 2014. The decrease in the six months ended June 30, 2015, as compared to the same period of 2014, is due primarily to lower expenses for labor and benefits ($1.4 million), partially offset by higher legal and other professional fees ($0.3 million).

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Interest Expense, Net

Interest expense, net is derived from the following components:

	Six Months Ended June 30,
	2015			2014
	(In thousands)
11.75% Senior Secured Notes due 2019	$	11,750		$	11,750
Senior Secured Credit Facility		—			—
Long-term obligation to related party		5,636			3,664
Other, net		1,497			1,370
Capitalized interest		(1,636	)		(250	)
Total	$	17,247		$	16,534

Interest expense, net was $17.2 million for the six months ended June 30, 2015, as compared to $16.5 million for the six months ended June 30, 2014. The increase is principally attributable to an increase in the effective interest rate on the long-term obligation to related party due to revisions in the mine plan at December 31, 2014 and the increase in the principal balance of the long-term obligation to related party from the completion of the reserve transfers to Thoroughbred in October 2014 and May 2015, which increased the principal balance on the obligation by $6.1 million and $18.2 million, respectively. The year-over-year increase in interest expense was partially offset by a higher amount of capitalized interest during the first half of 2015, as compared to the same period of 2014.

Other, Net

Other, net for the six months ended June 30, 2015 and 2014 was $4.6 million and $0.4 million, respectively. The increase is due to a $4.5 million refund during the second quarter of 2015 for a portion of Kentucky sales and use taxes paid on the purchase of certain energy and energy producing fuels for the period of 2008 through 2013.

Net Loss

Net loss for the six months ended June 30, 2015 was $14.4 million, as compared to $9.4 million for the same period of 2014. The increase in net loss is largely due to the decline in gross margin and increase in DD&A expense, partially offset by the refund of certain previously paid Kentucky sales and use taxes during the second quarter of 2015.

Adjusted EBITDA

The following table reconciles Adjusted EBITDA to net loss, the most directly comparable GAAP measure:

	Six Months Ended June 30,
	2015			2014
	(In thousands)
Net loss	$	(14,360	)	$	(9,438	)
Depreciation, depletion, and amortization		27,409			19,938
Asset retirement obligation expenses		1,584			1,008
Non-cash production royalty to related party		4,054			4,264
Interest expense, net		17,247			16,534
Income tax provision		259			—
Non-cash employee benefit expense		334			—
Non-cash stock compensation expense		141			(117	)
Adjusted EBITDA	$	36,668		$	32,189

Our Adjusted EBITDA for the six months ended June 30, 2015 was $36.7 million, as compared to $32.2 million for the six months ended June 30, 2014. The increase in Adjusted EBITDA resulted primarily from the $4.5 million Kentucky sales and use tax refund during the second quarter of 2015 and lower G&A costs in the first half of 2015, exclusive of stock compensation expense, partially offset by a decline in the current year gross margin as a result of the decline in sales volume in the six months ended June 30, 2015, as compared to the same period of 2014.

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Liquidity and Capital Resources

Liquidity

Our business is capital intensive and requires substantial capital expenditures for purchasing, upgrading and maintaining equipment used in mining our reserves, as well as complying with applicable environmental laws and regulations. Our principal liquidity requirements are to finance current operations, fund capital expenditures, including acquisitions from time to time, and to service our debt. Historically, our primary sources of liquidity to meet these needs have been cash generated by our operations, borrowings under our credit facilities and contributions from our equity holders.

On December 21, 2012, we completed a $200.0 million offering of 11.75% senior secured notes due 2019 (the Notes) and received proceeds of $193.1 million, as the Notes were issued at an original issue discount of 96.567%. Interest on the Notes is due semiannually on June 15 and December 15 of each year. In connection with the offering, we prepaid and terminated our then existing senior secured credit facility. In addition, we entered into a new asset based revolving credit facility, which provides for revolving borrowings of up to $50.0 million (the 2012 Credit Facility).

The principal indicators of our liquidity are our cash on hand and availability under the 2012 Credit Facility. As of June 30, 2015, our available liquidity was $83.2 million, comprised of cash on hand of $63.3 million and $19.9 million available under the 2012 Credit Facility.

We believe that existing cash balances, cash generated from operations and borrowings under the 2012 Credit Facility will be sufficient to meet working capital requirements, anticipated capital expenditures and debt service requirements. We manage our exposure to changing commodity prices for our long-term coal contract portfolio through the use of multi-year coal supply agreements. We generally enter into fixed price, fixed volume supply contracts with terms greater than one year with customers with whom we have historically had limited collection issues. Our ability to satisfy debt service obligations, to fund planned capital expenditures, and to make acquisitions, will depend upon our future operating performance, which will be affected by prevailing economic conditions in the coal industry and financial, business and other factors, some of which are beyond our control.

Cash Flows

The following table reflects cash flows for the applicable periods:

	Six Months Ended June 30,
	2015			2014
	(In thousands)
Net cash provided by (used in):
Operating activities	$	21,675		$	23,132
Investing activities	$	(13,927	)	$	(6,838	)
Financing activities	$	(3,963	)	$	(5,337	)

Six Months Ended June 30, 2015 Compared to six Months Ended June 30, 2014

Net cash provided by operating activities was $21.7 million for the six months ended June 30, 2015, a decrease of $1.5 million from net cash provided by operating activities of $23.1 million for the same period of 2014. We experienced a decrease in operating income in the first half of 2015 due to the lower production levels and higher DD&A expense primarily from the accelerated depreciation of the capitalized mine development costs associated with the Lewis Creek underground mine and the revisions to the mine plans of certain of our surface operations that resulted in the reduction in the useful lives of certain machinery and equipment, which increased DD&A expense by approximately $7.5 million in the first half of 2015, as compared to the same period of 2014. Partially offsetting the decline in operating results was the receipt of a Kentucky sales and use tax refund totaling approximately $4.5 million during the second quarter of 2015, which is included as a component of other, net. Positively impacting cash flows from operations for the six months ended June 30, 2015 was an increase in the net related party liabilities of $8.8 million due to the deferment of amounts owed to our affiliate, Thoroughbred, including interest and royalties earned on leased reserves. Negatively impacting operating cash flows was a decrease in accounts payable and accrued and other liabilities due to the timing of payments. Cash flows from operations for the six months ended June 30, 2014 were positively impacted by an increase in accounts payable and accrued and other liabilities of $5.1 million and net related party liabilities of $7.1 million due to the deferment of amounts owed to Thoroughbred. Negatively impacting operating cash flows was an increase in other non-current assets during the six months ended June 30, 2014 due to an increase in collateral posted against outstanding surety bonds, which are used to secure the performance of our reclamation obligations, as well as an increase in accounts receivable related to the timing of cash receipts.

Net cash used in investing activities increased $7.1 million to $13.9 million for the six months ended June 30, 2015, compared to $6.8 million for the same period of 2014. The current year investment is primarily attributable to capital expenditures for equipment and mine development associated with a new underground mine at our Parkway complex, whereas the prior year investment is largely attributable to maintaining our existing fixed assets.

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Net cash used in financing activities was $4.0 million for the six months ended June 30, 2015, compared to net cash used in financing activities of $5.3 million for the six months ended June 30, 2014. The current year and prior year activity relates primarily to scheduled capital lease and other long-term debt payments.

Contractual Obligations

Our contractual obligations have not changed materially from the disclosures in our Annual Report on Form 10-K filed with the SEC on March 26, 2015.

Capital Expenditures

Our mining operations require investments to expand, upgrade or enhance existing operations and to comply with environmental and safety regulations. Our anticipated total capital expenditures for 2015 are estimated to be within a range of $27.0 million to $30.0 million. Management anticipates funding capital requirements with current cash balances and cash flows provided by operations. We will continue to have significant capital requirements over the long-term, which may require us to incur debt or seek additional equity capital. The availability and cost of additional capital will depend upon our financial condition and results of operations, as well as prevailing market conditions and several other factors over which we have limited control.

Mine Development Costs

Mine development costs are capitalized until production commences, other than production incidental to the mine development process, and are amortized on a units-of-production method based on the estimated proven and probable reserves. Mine development costs represent costs incurred in establishing access to mineral reserves and include costs associated with sinking or driving shafts and underground drifts, permanent excavations, roads and tunnels. The end of the development phase and the beginning of the production phase takes place when construction of the mine for economic extraction is substantially complete. Our estimate of when construction of the mine for economic extraction is substantially complete is based upon a number of assumptions, such as expectations regarding the economic recoverability of reserves, the type of mine under development, and the completion of certain mine requirements, such as ventilation. Coal extracted during the development phase is incidental to the mine’s production capacity and is not considered to shift the mine into the production phase.

We began development of a new underground mine in the second quarter of 2014 at our Parkway mine complex to extract coal from the West Kentucky #8 seam, which is anticipated to be completed in the third quarter of 2015. Annual production capacity at the mine is eventually expected to be expanded to approximately 2.4 million tons. Capitalized development costs as of June 30, 2015 totaled approximately $24.3 million.

Off-Balance Sheet Arrangements

In the normal course of business, we are a party to certain off-balance sheet arrangements. These arrangements include guarantees and financial instruments with off-balance sheet risk, such as surety bonds and performance bonds. No liabilities related to these arrangements are reflected in our consolidated balance sheet, and we do not expect any material adverse effects on our financial condition, results of operations or cash flows to result from these off-balance sheet arrangements.

Federal and state laws require us to secure certain long-term obligations such as mine closure and reclamation costs and other obligations. We typically secure these obligations by using surety bonds, an off-balance sheet instrument. The use of surety bonds is less expensive for us than the alternative of posting a 100% cash bond. To the extent that surety bonds become unavailable, we would seek to secure our reclamation obligations with letters of credit, cash deposits or other suitable forms of collateral. We also post performance bonds to secure our performance of various contractual obligations.

As of June 30, 2015, we had approximately $34.7 million in surety bonds outstanding to secure the performance of our reclamation obligations, which were supported by approximately $6.0 million of cash posted as collateral.

Related Party Transactions

In the normal course of business, we engage in certain related party transactions with Thoroughbred, as well as other affiliated parties. These transactions generally include production and overriding royalties, administrative service agreements, reserve leases, and certain financing arrangements. For more information regarding our related party transactions, see Note 6, “Related Party Transactions,” to the unaudited condensed consolidated financial statements included in this report and “Item 13—Certain Relationships and Related Party Transactions, and Director Independence” in our Annual Report on Form 10-K filed with the SEC on March 26, 2015.

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Critical Accounting Policies and Estimates

Our consolidated financial statements are prepared in accordance with GAAP. In connection with the preparation of our consolidated financial statements, we are required to make assumptions and estimates about future events, and apply judgments that affect the reported amounts of assets, liabilities, revenue, expenses and the related disclosures. We base our assumptions, estimates and judgments on historical experience, current trends and other factors that management believes to be relevant at the time our consolidated financial statements are prepared. On a regular basis, we review the accounting policies, assumptions, estimates and judgments to ensure that our consolidated financial statements are presented fairly and in accordance with GAAP. However, because future events and their effects cannot be determined with certainty, actual results could differ from our assumptions and estimates, and such differences could be material.

The most significant areas requiring the use of management estimates and assumptions relate to units-of-production amortization calculations, asset retirement obligations, useful lives for depreciation of fixed assets, and the accounting for the long-term obligation to related party. For a full discussion of our accounting estimates and assumptions that we have identified as critical in the preparation of our condensed consolidated financial statements, refer to our Annual Report on Form 10-K filed with the SEC on March 26, 2015.

Recent Accounting Pronouncements

In April 2015, the Financial Accounting Standards Board (FASB) issued guidance requiring an entity to present debt issuance costs on the balance sheet as a direct deduction from the related debt liability as opposed to an asset. Amortization of the costs will continue to be reported as interest expense. The update is effective for annual reporting periods (including interim reporting periods within those periods) beginning after December 15, 2015. Early adoption is permitted for financial statements that have not been previously issued, and the new guidance would be applied retrospectively to all prior periods presented. The adoption of this standard update is not expected to have a material impact on our consolidated financial statements.

In August 2014, the FASB issued guidance on management’s responsibility in evaluating, at each annual and interim reporting period, whether there is substantial doubt about an entity’s ability to continue as a going concern and to provide related footnote disclosures. The new guidance is effective for the annual period ending after December 15, 2016, and for annual periods and interim periods thereafter with early adoption permitted.

In May 2014, the FASB issued a comprehensive revenue recognition standard that will supersede nearly all existing revenue recognition guidance under U.S. GAAP. The standard requires revenue to be recognized when promised goods or services are transferred to a customer in an amount that reflects the consideration expected in exchange for those goods or services. The standard permits the use of either the full retrospective or modified retrospective transition method. This guidance is effective for annual and interim reporting periods beginning after December 15, 2017, with early adoption permitted to the original effective date of December 15, 2016. The Company is currently evaluating the impact of this new pronouncement on its financial statements.

Item 3. Quantitative and Qualitative Disclosures about Market Risk

We define market risk as the risk of economic loss as a consequence of the adverse movement of market rates and prices. We believe our principal market risks are commodity price risk and credit risk.

Commodity Price Risk

We sell most of the coal we produce under multi-year coal supply agreements. Historically, we have principally managed the commodity price risks from our coal sales by entering into multi-year coal supply agreements of varying terms and durations, rather than through the use of derivative instruments.

Some of the products used in our mining activities, such as diesel fuel, explosives and steel products for roof support used in our underground mining, are subject to price volatility. Through our suppliers, we utilize forward purchases to manage a portion of our exposure related to diesel fuel volatility. A hypothetical increase of $0.10 per gallon for diesel fuel would have negatively impacted our results of operations by $0.2 million and $0.3 million for the three and six months ended June 30, 2015, respectively. A hypothetical increase of 10% in steel prices would have negatively impacted our results of operations by $0.4 million and $0.9 million for the three and six months ended June 30, 2015, respectively. A hypothetical increase of 10% in explosives prices would have negatively impacted our results of operations by $0.3 million and $0.7 million for the three and six months ended June 30, 2015, respectively.

29

Credit Risk

Most of our coal sales are made to electric utilities. Therefore, our credit risk is primarily with domestic electric power generators. Our policy is to independently evaluate each customer’s creditworthiness prior to entering into a transaction with the customer and to constantly monitor outstanding accounts receivable against established credit limits. When deemed appropriate, we will take steps to reduce credit exposure to customers that do not meet our credit standards or whose credit has deteriorated. Credit losses are provided for in the financial statements and have historically been minimal.

Item 4. Controls and Procedures

Evaluation of Disclosure Controls and Procedures

Our disclosure controls and procedures are designed to provide reasonable assurance that information required to be disclosed in the reports that we file or submit under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in the rules and forms of the SEC, and that such information is accumulated and communicated to management, including our Chief Executive Officer and Chief Financial Officer, as appropriate, to allow timely decisions regarding required disclosure. Our management, including our Chief Executive Officer and Chief Financial Officer, reviewed and evaluated the effectiveness of our disclosure controls and procedures as of June 30, 2015. Based upon such review and evaluation, our Chief Executive Officer and Chief Financial Officer concluded that our disclosure controls and procedures were effective as of the date of such evaluation to provide reasonable assurance that information required to be disclosed by the Company in the reports that it files or submits under the Exchange Act is recorded, processed, summarized and reported within the time periods specified by the SEC’s rules and forms and that such information is accumulated and communicated to the Company’s management, including the Chief Executive Officer and Chief Financial Officer, as appropriate, to allow timely decisions regarding required disclosure.

Changes in Internal Control over Financial Reporting

During the second quarter of 2015, there has been no change in the Company’s internal control over financial reporting that has materially affected, or is reasonably likely to materially affect, the Company’s internal control over financial reporting.

PART II – OTHER INFORMATION

Item 1. Legal Proceedings

We are involved from time to time in various lawsuits and claims arising in the ordinary course of business. Although the outcomes of these lawsuits and claims are uncertain, we do not believe any of them will have a material adverse effect on our business, financial condition or results of operations.

Item 1A. Risk Factors

In addition to the other information set forth in this report, you should carefully consider the factors discussed in the “Risk Factors” sections in the Annual Report on Form 10-K for the year ended December 31, 2014, together with the cautionary statement under the caption “Cautionary Statement Regarding Forward Looking Statements” in “Management’s Discussion and Analysis of Financial Condition and Results of Operations” of this report. Except as set forth below, there have been no material changes in our risk factors from those disclosed in our Annual Report on Form 10-K filed with the SEC on March 26, 2015.

We may not recover our investments in our mining and other related assets, which may require us to recognize non-cash impairment charges related to those assets.

The value of our assets may be adversely affected by numerous uncertain factors, some of which are beyond our control, including:

• unfavorable changes in the economic environments in which we operate;

• lower-than-expected demand and coal pricing;

• unfavorable regulatory or legal developments impacting our industry;

• technical and geological operating difficulties;

• an inability to economically extract our coal reserves; and

• unanticipated increases in operating costs.

30

These may cause us to fail to recover all or a portion of our investments in those assets and may trigger the recognition of non-cash impairment charges in the future, which could have a substantial adverse impact on our results of operations. Because of the volatile nature of U.S. coal markets, it is reasonably possible that our current estimates of projected future cash flows from our mining assets may change in the near term, which may result in the need for adjustments to the carrying value of mineral rights and other mining assets.

Item 4. Mine Safety Disclosures

Information concerning mine safety violations or other regulatory matters required by Section 1503(a) of the Dodd-Frank Wall Street Reform and Consumer Protection Act and Item  104 of Regulation S-K is included in Exhibit 95.1 to this Quarterly Report on Form 10-Q.

Item 5. Other Information

(a) None

(b) There have been no material changes to the procedures by which security holders may recommend nominees to the Company’s Board of Directors during the fiscal quarter ended June 30, 2015.

Item 6. Exhibits

		Incorporated by Reference				Filed or Furnished Herewith
Exhibit Number	Description	Form	File Number	Exhibit	Filing Date
31.1	Certification of Principal Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.					X
31.2	Certification of Principal Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.					X
32.1#	Certification of Principal Executive Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.					X
32.2#	Certification of Principal Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.					X
95.1	Federal Mine Safety and Health Act Information.					X
101.INS	XBRL Instance Document					X
101.SCH	XBRL Taxonomy Extension Scheme Document					X
101.CAL	XBRL Taxonomy Extension Calculation Linkbase Document					X
101.DEF	XBRL Taxonomy Extension Definition Linkbase Document					X
101.LAB	XBRL Taxonomy Extension Label Linkbase Document					X
101.PRE	XBRL Taxonomy Extension Presentation Linkbase Document					X

# This certification is deemed not “filed” for purposes of Section 18 of the Exchange Act or otherwise subject to the liability of that section, nor shall it be deemed incorporated by reference into any filing under the Securities Act or the Exchange Act.

31

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

	ARMSTRONG ENERGY, INC.
Date: August 14, 2015	By:	/s/ J. Richard Gist
		J. Richard Gist
		Senior Vice President and Chief Financial Officer
		(On behalf of the registrant and as Principal Financial Officer)

32

EX-31.1

Exhibit 31.1

CERTIFICATION

I, Martin D. Wilson, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of Armstrong Energy, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a–15(f) and 15d-15(f)) for the registrant and have:

a. Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b. Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c. Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d. Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a. All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b. Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: August 14, 2015	By:	/s/ Martin D. Wilson
		Martin D. Wilson
		President and Chief Executive Officer
		(Principal Executive Officer)

EX-31.2

Exhibit 31.2

CERTIFICATION

I, J. Richard Gist, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of Armstrong Energy, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a–15(f) and 15d-15(f)) for the registrant and have:

a. Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b. Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c. Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d. Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a. All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b. Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: August 14, 2015	By:	/s/ J. Richard Gist
		J. Richard Gist
		Senior Vice President and Chief Financial Officer
		(Principal Financial Officer)

EX-32.1

Exhibit 32.1

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

I, Martin D. Wilson, President and Chief Executive Officer of Armstrong Energy, Inc. (the “Company”), certify, pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, 18 U.S.C. Section 1350, that:

(1) The Quarterly Report on Form 10-Q of the Company for the quarter ended June 30, 2015 (the “Report”) fully complies with the requirements of Section 13(a) of the Securities Exchange Act of 1934 (15 U.S.C. 78m); and

(2) The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

/s/ Martin D. Wilson

Martin D. Wilson

President and Chief Executive Officer

(Principal Executive Officer)

August 14, 2015

EX-32.2

Exhibit 32.2

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

I, J. Richard Gist, Senior Vice President and Chief Financial Officer of Armstrong Energy, Inc. (the “Company”), certify, pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, 18 U.S.C. Section 1350, that:

(1) The Quarterly Report on Form 10-Q of the Company for the quarter ended June 30, 2015 (the “Report”) fully complies with the requirements of Section 13(a) of the Securities Exchange Act of 1934 (15 U.S.C. 78m); and

(2) The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

/s/ J. Richard Gist

J. Richard Gist

Senior Vice President and Chief Financial Officer

(Principal Financial Officer)

August 14, 2015

EX-95.1

Exhibit 95.1

Mine Safety and Health Administration (MSHA) Safety Data

Armstrong Energy, Inc.’s mining operations are subject to regulations issued by MSHA under the U.S. Federal Mine Safety and Health Act of 1977 (the Mine Act). MSHA inspects our mines on a regular basis and issues various citations and orders when it believes a violation has occurred under the Mine Act. Whenever MSHA issues a citation or order, it also generally proposes a civil penalty, or fine, related to the alleged violation. Citations or orders can be contested and appealed, and as part of that process, are often reduced in severity and amount, and are sometimes dismissed. The number of citations, orders and proposed assessments varies depending on the size and type (underground or surface) of the mine, among other factors.

The following disclosures have been provided pursuant to Section 1503(a) of the Dodd-Frank Wall Street Reform and Consumer Protection Act (the Act).

Mine Safety Data. The following provides additional information about references used in the table below to describe the categories of violations, orders or citations issued by MSHA under the Mine Act:

• Section 104 S&S Citations: Citations issued by MSHA under Section 104(a) of the Mine Act for violations of health or safety standards that could significantly and substantially contribute to a serious injury if left unabated.

• Section 104(b) Orders: Orders issued under Section 104(b) of the Mine Act, which represent a failure to abate a citation under Section 104(a) within the period prescribed by MSHA. This results in an order of immediate withdrawal from the area of the mine affected by the condition until MSHA determines that the violation has been abated.

• Section 104(d) Citations and Orders: Citations and orders issued by MSHA under Section 104(d) of the Mine Act for unwarrantable failure to comply with mandatory health or safety standards. These types of violations could significantly and substantially contribute to a serious injury; however, the conditions do not cause imminent danger (refer to discussion of imminent danger orders below).

• Section 104(e) Notices: Notices issued by MSHA under Section 104(e) of the Mine Act for an alleged pattern of violations of mandatory health or safety standards that could significantly and substantially contribute to mine health or safety hazards.

• Section 110(b)(2) Violations: Flagrant violations identified by MSHA under Section 110(b)(2) of the Mine Act. The term flagrant with respect to a violation is defined as “a reckless or repeated failure to make reasonable efforts to eliminate a known violation of a mandatory health or safety standard that substantially and proximately caused, or reasonably could have expected to cause, death or serious bodily injury.”

• Section 107(a) Orders: Orders issued by MSHA under Section 107(a) of the Mine Act for situations in which MSHA determined an imminent danger existed. Orders issued under Section 107(a) of the Mine Act require the operator of the mine to cause all persons (except authorized persons) to be withdrawn from the mine until the imminent danger and the conditions that caused such imminent danger cease to exist.

The following table details the violations, citations and orders issued to us by MSHA during the three months ended June 30, 2015, not taking into account any changes to the severity or amount of such citations or orders during the review and approval process as described above:

Mine(1)	MSHA ID		Section 104 S&S Citations (#)		Section 104(b) Orders (#)		Section 104(d) Citations and Orders (#)		Section 110 (b)(2) Violations (#)		Section 107(a) Orders (#)		Total Dollar Value of Proposed MSHA Assessments (in thousands) ($)		Total Number of Mining Related Fatalities (#)		Received Notice of Pattern of Violations Under Section 104(e) (yes/no)		Received Notice of Potential to Have Pattern of Violations Under Section 104(e) (yes/no)
Midway		15-19217		4		0		0		0		0	$	0.1		0		No		No
Parkway Underground		15-19358		15		0		0		0		0		43.4		0		No		No
East Fork		15-19407		0		0		0		0		0		0.0		0		No		No
Equality Boot		15-19344		4		0		0		0		0		2.7		0		No		No
Lewis Creek		15-19511		0		0		0		0		0		0.0		0		No		No
Kronos Underground		15-19535		23		0		0		0		1		57.0		0		No		No
Lewis Creek Underground		15-19669		0		0		0		0		0		0.0		0		No		No
Survant Underground		15-19744		2		0		0		0		0		1.1		0		No		No
Midway Prep.		15-19165		5		0		0		0		0		1.2		0		No		No
Parkway Prep.		15-19356		0		0		0		0		0		0.0		0		No		No
Armstrong Prep. & Dock		15-19345		0		0		0		0		0		0.0		0		No		No

⁽¹⁾  The table does not include the following: (i) facilities which have been idled or closed unless they received a citation or order issued by MSHA; and (ii) permitted mining sites where we have not begun operations and therefore have not received any citations.

Pending Legal Actions. The table below provides a summary of legal actions pending before the Federal Mine Safety and Health Review Commission (the Commission) as of June 30, 2015, as well as the aggregate number of legal actions instituted and resolved during the three months ended June 30, 2015. The Commission is an independent adjudicative agency established by the Mine Act that provides administrative trial and appellate review of legal disputes arising under the Mine Act. These cases may involve, among other questions, challenges by operators to citations, orders and penalties they have received from MSHA, or complaints of discrimination by miners under Section 105 of the Mine Act.

The following provides additional information of the types of proceedings that may be brought before the Commission:

• Contest Proceedings – A contest proceeding may be filed by an operator to challenge the issuance of a citation or order issued by MSHA.

• Civil Penalty Proceedings – A civil penalty proceeding may be filed by an operator to challenge a civil penalty MSHA has proposed for a violation contained in a citation or order. The validity of the citation may be challenged in this proceeding, as well.

• Discrimination Proceedings – Involves a miner’s allegation that he or she has suffered adverse employment action because he or she engaged in activity protected under the Mine Act, such as making a safety complaint. Also includes temporary reinstatement proceedings involving cases in which a miner has filed a complaint with MSHA stating that he or she has suffered discrimination and the miner has lost his or her position.

• Compensation Proceedings – A compensation proceeding may be filed by miners entitled to compensation when a mine is closed by certain closure orders issued by MSHA. The purpose of the proceeding is to determine the amount of compensation, if any, due to miners idled by the orders.

• Temporary Relief – Applications for temporary relief are applications filed under section 105(b)(2) of the Mine Act for temporary relief from any modification or termination of any order.

• Appeals – An appeal may be filed by an operator to challenge judges’ decisions or orders to the Commission, including petitions for discretionary review and review by the Commission on its own motion.

Mine	MSHA ID		Legal Actions Pending as of Last Day of Period (#)		Contests of Citations and Orders (#)		Contests of Proposed Penalties (#)		Complaints for Compensation (#)		Complaints of Discharge, Discrimination, or Interference (#)		Applications for Temporary Relief (#)		Appeals of Judges’ Decisions or Orders (#)		Legal Actions Initiated During Period (#)		Legal Actions Resolved During Period (#)
Midway		15-19217		11		0		11		0		0		0		0		7		2
Parkway Underground		15-19358		150		1		149		0		0		0		0		50		91
East Fork		15-19407		1		0		1		0		0		0		0		1		0
Equality Boot		15-19344		14		0		14		0		0		0		0		2		14
Lewis Creek		15-19511		5		0		5		0		0		0		0		2		0
Kronos Underground		15-19535		243		0		243		0		0		0		0		54		62
Lewis Creek Underground		15-19669		44		0		44		0		0		0		0		10		55
Survant Underground		15-19744		2		0		2		0		0		0		0		2		0
Midway Prep.		15-19165		2		0		2		0		0		0		0		2		3
Parkway Prep.		15-19356		3		0		3		0		0		0		0		3		0
Armstrong Prep. & Dock		15-19345		9		0		9		0		0		0		0		3		5
Big Run Underground		15-18552		0		0		0		0		0		0		0		0		0

XML

Long-Term Debt - Summary of Long-Term Indebtedness (Detail) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Long-term Debt, Current and Noncurrent [Abstract]
Other	$ 11,380	$ 9,319
Long-term debt	206,362	203,889
Long-term debt	206,362	203,889
Less: current maturities	5,598	4,929
Total long-term debt	200,764	198,960
11.75% Senior Secured Notes due 2019 [Member]
Long-term Debt, Current and Noncurrent [Abstract]
11.75% Senior Secured Notes due 2019	194,982	194,570
Senior Secured Credit Facility [Member]
Long-term Debt, Current and Noncurrent [Abstract]
Senior Secured Credit Facility	$ 0	$ 0

XML

Commitments and Contingencies - Additional Information (Detail) $ in Thousands, T in Millions	6 Months Ended
	Jun. 30, 2015 USD ($) T	Dec. 31, 2014 USD ($)
Coal Supply Commitment [Member]
Contingencies And Commitments [Line Items]
Coal supply agreements range, minimum	1 year
Coal supply agreements range, maximum	5 years
Committed volume of sales in 2015	8.4
Mine Safety and Health Administration [Member]
Contingencies And Commitments [Line Items]
Penalties accrued | $	$ 1,583	$ 1,747

XML

Accumulated Other Comprehensive Loss - Summary of Reclassifications Out of Accumulated Other Comprehensive Loss (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Income taxes	$ (259)		$ (259)
Amounts Reclassified from Accumulated Other Comprehensive Income (Loss) [Member]
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Total reclassifications	(104)	$ (26)	(209)	$ (52)
Postretirement Benefit Plan [Member] | Amounts Reclassified from Accumulated Other Comprehensive Income (Loss) [Member]
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Other Comprehensive Loss, Reclassification Adjustment from AOCI, Pension and Other Postretirement Benefit Plans, before Tax	(104)	(26)	(209)	(52)
Income taxes	0	0	0	0
Postretirement Benefit Plan [Member] | Amounts Reclassified from Accumulated Other Comprehensive Income (Loss) [Member] | Cost of Coal Sales [Member]
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Prior service cost	$ (104)	$ (26)	$ (209)	$ (52)

XML

Supplemental Guarantor/Non-Guarantor Financial Information (Tables)

6 Months Ended

Jun. 30, 2015

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Supplemental Condensed Consolidating Balance Sheets

Supplemental Condensed Consolidating Balance Sheets

	June 30, 2015
	Parent / Issuer			Guarantor Subsidiaries			Eliminations			Consolidated
ASSETS
Current assets:
Cash and cash equivalents	$	—		$	63,303		$	—		$	63,303
Accounts receivable		—			21,213			—			21,213
Inventories		—			10,464			—			10,464
Prepaid and other assets		269			2,617			—			2,886
Deferred income taxes		—			1,454			—			1,454
Total current assets		269			99,051			—			99,320
Property, plant, equipment, and mine development, net		15,359			383,852			—			399,211
Investments		—			3,448			—			3,448
Investments in subsidiaries		198,145			—			(198,145	)		—
Intercompany receivables		81,489			(81,489	)		—			—
Other non-current assets		8,229			15,729			—			23,958
Total assets	$	304,491		$	420,591		$	(198,145	)	$	525,937
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable	$	100		$	23,015		$	—		$	23,115
Accrued and other liabilities		1,235			19,649			—			20,884
Current portion of capital lease obligations		—			2,048			—			2,048
Current maturities of long-term debt		—			5,598			—			5,598
Total current liabilities		1,335			50,310			—			51,645
Long-term debt, less current maturities		194,982			5,782			—			200,764
Long-term obligation to related party		—			129,515			—			129,515
Related party payables, net		(3,811	)		12,029			—			8,218
Asset retirement obligations		—			14,033			—			14,033
Long-term portion of capital lease obligations		—			441			—			441
Deferred income taxes		—			1,454			—			1,454
Other non-current liabilities		161			8,859			—			9,020
Total liabilities		192,667			222,423			—			415,090
Stockholders’ equity:
Armstrong Energy, Inc.’s equity		110,824			198,145			(198,145	)		110,824
Non-controlling interest		—			23			—			23
Total stockholders’ equity		110,824			198,168			(198,145	)		110,847
Total liabilities and stockholders’ equity	$	303,491		$	420,591		$	(198,145	)	$	525,937

Supplemental Condensed Consolidating Balance Sheets

	December 31, 2014
	Parent / Issuer			Guarantor Subsidiaries			Eliminations			Consolidated
ASSETS
Current assets:
Cash and cash equivalents	$	—		$	59,518		$	—		$	59,518
Accounts receivable		—			21,799			—			21,799
Inventories		—			10,552			—			10,552
Prepaid and other assets		62			2,900			—			2,962
Deferred income taxes		735			—			—			735
Total current assets		797			94,769			—			95,566
Property, plant, equipment, and mine development, net		14,648			394,092			—			408,740
Investments		—			3,372			—			3,372
Investments in subsidiaries		199,435			—			(199,435	)		—
Intercompany receivables		96,755			(96,755	)		—			—
Other non-current assets		8,980			15,789			—			24,769
Total assets	$	320,615		$	411,267		$	(199,435	)	$	532,447
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable	$	100		$	27,493		$	—		$	27,593
Accrued and other liabilities		3,456			13,661			—			17,117
Current portion of capital lease obligations		—			2,426			—			2,426
Current maturities of long-term debt		—			4,929			—			4,929
Total current liabilities		3,556			48,509			—			52,065
Long-term debt, less current maturities		194,570			4,390			—			198,960
Long-term obligation to related party		—			110,713			—			110,713
Related party payables, net		(3,211	)		21,383			—			18,172
Asset retirement obligations		—			17,379			—			17,379
Long-term portion of capital lease obligations		—			1,358			—			1,358
Deferred income taxes		735			—			—			735
Other non-current liabilities		131			8,077			—			8,208
Total liabilities		195,781			211,809			—			407,590
Stockholders’ equity:
Armstrong Energy, Inc.’s equity		124,834			199,435			(199,435	)		124,834
Non-controlling interest		—			23			—			23
Total stockholders’ equity		124,834			199,458			(199,435	)		124,857
Total liabilities and stockholders’ equity	$	320,615		$	411,267		$	(199,435	)	$	532,447

Supplemental Condensed Consolidated Statements of Operations

Supplemental Condensed Consolidated Statements of Operations

	Three Months Ended June 30, 2015
	Parent / Issuer			Guarantor Subsidiaries			Eliminations			Consolidated
Revenue	$	—		$	93,139		$	—		$	93,139
Costs and Expenses:
Cost of coal sales, exclusive of items shown separately below		—			70,153			—			70,153
Production royalty to related party		—			2,053			—			2,053
Depreciation, depletion, and amortization		507			9,998			—			10,505
Asset retirement obligation expenses		—			717			—			717
General and administrative expenses		601			3,682			—			4,283
Operating (loss) income		(1,108	)		6,536			—			5,428
Other income (expense):
Interest expense, net		(5,568	)		(3,302	)		—			(8,870	)
Other, net		—			4,595			—			4,595
Income from investment in subsidiaries		7,570			—			(7,570	)		—
Income before income taxes		894			7,829			(7,570	)		1,153
Income tax provision		—			259			—			259
Net income		894			7,570			(7,570	)		894
Less: income attributable to non-controlling interest		—			—			—			—
Net income attributable to common stockholders	$	894		$	7,570		$	(7,570	)	$	894
	Three Months Ended June 30, 2014
	Parent / Issuer			Guarantor Subsidiaries			Eliminations			Consolidated
Revenue	$	—		$	116,287		$	—		$	116,287
Costs and Expenses:
Cost of coal sales, exclusive of items shown separately below		—			95,166			—			95,166
Production royalty to related party		—			2,240			—			2,240
Depreciation, depletion, and amortization		471			9,260			—			9,731
Asset retirement obligation expenses		—			500			—			500
General and administrative expenses		909			3,834			—			4,743
Operating (loss) income		(1,380	)		5,287			—			3,907
Other income (expense):
Interest expense, net		(6,237	)		(2,053	)		—			(8,290	)
Other, net		—			245			—			245
Income from investment in subsidiaries		3,479			—			(3,479	)		—
(Loss) income before income taxes		(4,138	)		3,479			(3,479	)		(4,138	)
Income tax provision		—			—			—			—
Net (loss) income		(4,138	)		3,479			(3,479	)		(4,138	)
Less: income attributable to non-controlling interest		—			—			—			—
Net (loss) income attributable to common stockholders	$	(4,138	)	$	3,479		$	(3,479	)	$	(4,138	)

Supplemental Condensed Consolidated Statements of Operations

	Six Months Ended June 30, 2015
	Parent / Issuer			Guarantor Subsidiaries			Eliminations			Consolidated
Revenue	$	—		$	189,474		$	—		$	189,474
Costs and Expenses:
Cost of coal sales, exclusive of items shown separately below		—			148,983			—			148,983
Production royalty to related party		—			4,054			—			4,054
Depreciation, depletion, and amortization		1,012			26,397			—			27,409
Asset retirement obligation expenses		—			1,584			—			1,584
General and administrative expenses		782			8,140			—			8,922
Operating (loss) income		(1,794	)		316			—			(1,478	)
Other income (expense):
Interest expense, net		(11,277	)		(5,970	)		—			(17,247	)
Other, net		—			4,624			—			4,624
Loss from investment in subsidiaries		(1,289	)		—			1,289			—
Loss before income taxes		(14,360	)		(1,030	)		1,289			(14,101	)
Income tax provision		—			259			—			259
Net loss		(14,360	)		(1,289	)		1,289			(14,360	)
Less: income attributable to non-controlling interest		—			—			—			—
Net loss attributable to common stockholders	$	(14,360	)	$	(1,289	)	$	1,289		$	(14,360	)
	Six Months Ended June 30, 2014
	Parent / Issuer			Guarantor Subsidiaries			Eliminations			Consolidated
Revenue	$	—		$	227,153		$	—		$	227,153
Costs and Expenses:
Cost of coal sales, exclusive of items shown separately below		—			185,285			—			185,285
Production royalty to related party		—			4,264			—			4,264
Depreciation, depletion, and amortization		947			18,991			—			19,938
Asset retirement obligation expenses		—			1,008			—			1,008
General and administrative expenses		1,829			8,160			—			9,989
Operating (loss) income		(2,776	)		9,445			—			6,669
Other income (expense):
Interest expense, net		(12,485	)		(4,049	)		—			(16,534	)
Other, net		—			427			—			427
Income from investment in subsidiaries		5,823			—			(5,823	)		—
(Loss) income before income taxes		(9,438	)		5,823			(5,823	)		(9,438	)
Income tax provision		—			—			—			—
Net (loss) income		(9,438	)		5,823			(5,823	)		(9,438	)
Less: income attributable to non-controlling interest		—			—			—			—
Net (loss) income attributable to common stockholders	$	(9,438	)	$	5,823		$	(5,823	)	$	(9,438	)

Supplemental Condensed Consolidated Statements of Comprehensive Income (Loss)

Supplemental Condensed Consolidated Statements of Comprehensive Income (Loss)

	Three Months Ended June 30, 2015
	Parent / Issuer			Guarantor Subsidiaries		Eliminations			Consolidated
Net income	$	894		$	7,570	$	(7,570	)	$	894
Other comprehensive income:
Postretirement benefit plan and other employee benefit obligation		—			104		—			104
Other comprehensive income		—			104		—			104
Comprehensive income		894			7,674		(7,570	)		998
Less: comprehensive income (loss) attributable to non-controlling interest		—			—		—			—
Comprehensive income attributable to common stockholders	$	894		$	7,674	$	(7,570	)	$	998
	Three Months Ended June 30, 2014
	Parent / Issuer			Guarantor Subsidiaries		Eliminations			Consolidated
Net (loss) income	$	(4,138	)	$	3,479	$	(3,479	)	$	(4,138	)
Other comprehensive income:
Postretirement benefit plan and other employee benefit obligation		—			26		—			26
Other comprehensive income		—			26		—			26
Comprehensive (loss) income		(4,138	)		3,505		(3,479	)		(4,112	)
Less: comprehensive income (loss) attributable to non-controlling interest		—			—		—			—
Comprehensive (loss) income attributable to common stockholders	$	(4,138	)	$	3,505	$	(2,395	)	$	(4,112	)

Supplemental Condensed Consolidated Statements of Comprehensive Income (Loss)

	Six Months Ended June 30, 2015
	Parent / Issuer			Guarantor Subsidiaries			Eliminations			Consolidated
Net loss	$	(14,360	)	$	(1,289	)	$	1,289		$	(14,360	)
Other comprehensive income:
Postretirement benefit plan and other employee benefit obligation		—			209			—			209
Other comprehensive income		—			209			—			209
Comprehensive loss		(14,360	)		(1,080	)		1,289			(14,151	)
Less: comprehensive income (loss) attributable to non-controlling interest		—			—			—			—
Comprehensive loss attributable to common stockholders	$	(14,360	)	$	(1,080	)	$	1,289		$	(14,151	)
	Six Months Ended June 30, 2014
	Parent / Issuer			Guarantor Subsidiaries			Eliminations			Consolidated
Net (loss) income	$	(9,438	)	$	5,823		$	(5,823	)	$	(9,438	)
Other comprehensive income:
Postretirement benefit plan and other employee benefit obligation		—			52			—			52
Other comprehensive income		—			52			—			52
Comprehensive (loss) income		(9,438	)		5,875			(5,823	)		(9,386	)
Less: comprehensive income (loss) attributable to non-controlling interest		—			—			—			—
Comprehensive (loss) income attributable to common stockholders	$	(9,438	)	$	5,875		$	(5,823	)	$	(9,386	)

Supplemental Condensed Consolidating Statements of Cash Flows

Supplemental Condensed Consolidating Statements of Cash Flows

	Six Months Ended June 30, 2015
	Parent / Issuer			Guarantor Subsidiaries			Consolidated
Cash Flows from Operating Activities:
Net cash (used in) provided by operating activities:	$	(13,546	)	$	35,221		$	21,675
Cash Flows from Investing Activities:
Investment in property, plant, equipment, and mine development		(1,723	)		(12,679	)		(14,402	)
Proceeds from disposal of fixed assets		—			475			475
Net cash used in investing activities		(1,723	)		(12,204	)		(13,927	)
Cash Flows from Financing Activities:
Payment on capital lease obligations		—			(1,296	)		(1,296	)
Payment of long-term debt		—			(2,667	)		(2,667	)
Transactions with affiliates, net		15,269			(15,269	)		—
Net cash provided by (used in) financing activities		15,269			(19,232	)		(3,963	)
Net change in cash and cash equivalents		—			3,785			3,785
Cash and cash equivalents, at the beginning of the period		—			59,518			59,518
Cash and cash equivalents, at the end of the period	$	—		$	63,303		$	63,303
	Six Months Ended June 30, 2014
	Parent / Issuer			Guarantor Subsidiaries			Consolidated
Cash Flows from Operating Activities:
Net cash (used in) provided by operating activities:	$	(14,754	)	$	37,886		$	23,132
Cash Flows from Investing Activities:
Investment in property, plant, equipment, and mine development		(540	)		(6,303	)		(6,843	)
Proceeds from disposal of fixed assets		—			5			5
Net cash used in investing activities		(540	)		(6,298	)		(6,838	)
Cash Flows from Financing Activities:
Payment on capital lease obligations		—			(1,509	)		(1,509	)
Payment of long-term debt		—			(3,741	)		(3,741	)
Repurchase of employee stock relinquished for tax withholdings		(87	)		—			(87	)
Transactions with affiliates, net		15,381			(15,381	)		—
Net cash provided by (used in) financing activities		15,294			(20,631	)		(5,337	)
Net change in cash and cash equivalents		—			10,957			10,957
Cash and cash equivalents, at the beginning of the period		—			51,632			51,632
Cash and cash equivalents, at the end of the period	$	—		$	62,589		$	62,589

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Significant Accounting Policies (Policies)

6 Months Ended

Jun. 30, 2015

Accounting Policies [Abstract]

Long-Lived Assets

Long-Lived Assets

If facts and circumstances suggest that a long-lived asset may be impaired, the carrying value is reviewed for recoverability. If this review indicates the carrying value of the asset will not be recovered, as determined based on projected undiscounted cash flows related to the asset over its remaining life, the carrying value of the asset is reduced to its estimated fair value through a non-cash impairment loss. During the first half of 2015, events and circumstances, including the continued decline in pricing and demand for U.S. coal, have indicated the carrying value of the Company’s long-lived assets might be impaired. However, the Company’s estimates of undiscounted cash flows indicated that such carrying amounts were expected to be recovered. Nonetheless, it is possible the estimate of undiscounted cash flows may change in the future resulting in the need to write down those assets to fair value.

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Supplemental Guarantor/Non - Guarantor Financial Information - Supplemental Condensed Consolidating Balance Sheets (Detail) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014	Jun. 30, 2014	Dec. 31, 2013
Current assets:
Cash and cash equivalents	$ 63,303	$ 59,518	$ 62,589	$ 51,632
Accounts receivable	21,213	21,799
Inventories	10,464	10,552
Prepaid and other assets	2,886	2,962
Deferred income taxes	1,454	735
Total current assets	99,320	95,566
Property, plant, equipment, and mine development, net	399,211	408,740
Investments	3,448	3,372
Other non-current assets	23,958	24,769
Total assets	525,937	532,447
Current liabilities:
Accounts payable	23,115	27,593
Accrued and other liabilities	20,884	17,117
Current portion of capital lease obligations	2,048	2,426
Current maturities of long-term debt	5,598	4,929
Total current liabilities	51,645	52,065
Long-term debt, less current maturities	200,764	198,960
Long-term obligation to related party	129,515	110,713
Related party payables, net	8,218	18,172
Asset retirement obligations	14,033	17,379
Long-term portion of capital lease obligations	441	1,358
Deferred income taxes	1,454	735
Other non-current liabilities	9,020	8,208
Total liabilities	415,090	407,590
Stockholders' equity:
Armstrong Energy, Inc.'s equity	110,824	124,834
Non-controlling interest	23	23
Total stockholders' equity	110,847	124,857
Total liabilities and stockholders' equity	525,937	532,447
Eliminations [Member]
Current assets:
Investments in subsidiaries	(198,145)	(199,435)
Total assets	(198,145)	(199,435)
Stockholders' equity:
Armstrong Energy, Inc.'s equity	(198,145)	(199,435)
Total stockholders' equity	(198,145)	(199,435)
Total liabilities and stockholders' equity	(198,145)	(199,435)
Parent / Issuer [Member]
Current assets:
Prepaid and other assets	269	62
Deferred income taxes		735
Total current assets	269	797
Property, plant, equipment, and mine development, net	15,359	14,648
Investments in subsidiaries	198,145	199,435
Intercompany receivables	81,489	96,755
Other non-current assets	8,229	8,980
Total assets	304,491	320,615
Current liabilities:
Accounts payable	100	100
Accrued and other liabilities	1,235	3,456
Total current liabilities	1,335	3,556
Long-term debt, less current maturities	194,982	194,570
Related party payables, net	(3,811)	(3,211)
Deferred income taxes		735
Other non-current liabilities	161	131
Total liabilities	192,667	195,781
Stockholders' equity:
Armstrong Energy, Inc.'s equity	110,824	124,834
Total stockholders' equity	110,824	124,834
Total liabilities and stockholders' equity	303,491	320,615
Guarantor Subsidiaries [Member]
Current assets:
Cash and cash equivalents	63,303	59,518	$ 62,589	$ 51,632
Accounts receivable	21,213	21,799
Inventories	10,464	10,552
Prepaid and other assets	2,617	2,900
Deferred income taxes	1,454
Total current assets	99,051	94,769
Property, plant, equipment, and mine development, net	383,852	394,092
Investments	3,448	3,372
Intercompany receivables	(81,489)	(96,755)
Other non-current assets	15,729	15,789
Total assets	420,591	411,267
Current liabilities:
Accounts payable	23,015	27,493
Accrued and other liabilities	19,649	13,661
Current portion of capital lease obligations	2,048	2,426
Current maturities of long-term debt	5,598	4,929
Total current liabilities	50,310	48,509
Long-term debt, less current maturities	5,782	4,390
Long-term obligation to related party	129,515	110,713
Related party payables, net	12,029	21,383
Asset retirement obligations	14,033	17,379
Long-term portion of capital lease obligations	441	1,358
Deferred income taxes	1,454
Other non-current liabilities	8,859	8,077
Total liabilities	222,423	211,809
Stockholders' equity:
Armstrong Energy, Inc.'s equity	198,145	199,435
Non-controlling interest	23	23
Total stockholders' equity	198,168	199,458
Total liabilities and stockholders' equity	$ 420,591	$ 411,267

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Fair Value of Financial Instruments - Estimated Fair Market Values of Company's Notes (Detail) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Schedule Of Carrying Values And Estimated Fair Values Of Debt Instruments [Line Items]
Carrying value of senior notes	$ 206,362	$ 203,889
Carrying value of long-term obligation to related party	129,515	110,713
Carrying Value [Member]
Schedule Of Carrying Values And Estimated Fair Values Of Debt Instruments [Line Items]
Carrying value of senior notes and long term obligation to related party, Total	324,497	305,283
Carrying Value [Member] | Level 2 Inputs [Member] | 11.75% Senior Secured Notes due 2019 [Member]
Schedule Of Carrying Values And Estimated Fair Values Of Debt Instruments [Line Items]
Carrying value of senior notes	194,982	194,570
Carrying Value [Member] | Level 3 Inputs [Member]
Schedule Of Carrying Values And Estimated Fair Values Of Debt Instruments [Line Items]
Carrying value of long-term obligation to related party	129,515	110,713
Fair Value [Member]
Schedule Of Carrying Values And Estimated Fair Values Of Debt Instruments [Line Items]
Fair value of senior notes and long term obligation to related party, Total	245,505	321,731
Fair Value [Member] | Level 2 Inputs [Member] | 11.75% Senior Secured Notes due 2019 [Member]
Schedule Of Carrying Values And Estimated Fair Values Of Debt Instruments [Line Items]
Fair value of senior notes and long term obligation to related party	141,500	206,000
Fair Value [Member] | Level 3 Inputs [Member]
Schedule Of Carrying Values And Estimated Fair Values Of Debt Instruments [Line Items]
Fair value of long term obligation to related party	$ 104,005	$ 115,731

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Other Non-Current Assets - Details of Other Non-Current Assets (Detail) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Other Assets, Noncurrent [Abstract]
Escrows and deposits	$ 4,668	$ 4,649
Restricted surety and cash bonds	6,115	6,379
Advanced royalties	5,041	4,842
Deferred financing costs, net	8,014	8,765
Intangible assets, net	120	134
Total	$ 23,958	$ 24,769

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Supplemental Guarantor/Non - Guarantor Financial Information - Supplemental Condensed Consolidated Statements of Comprehensive Income (Loss) (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Financial Information For Guarantors And Non Guarantors [Line Items]
Net income (loss)	$ 894	$ (4,138)	$ (14,360)	$ (9,438)
Other comprehensive income:
Postretirement benefit plan and other employee benefit obligation	104	26	209	52
Other comprehensive income	104	26	209	52
Comprehensive income (loss)	998	(4,112)	(14,151)	(9,386)
Less: Comprehensive income (loss) attributable to non-controlling interest	0	0	0	0
Comprehensive income (loss) attributable to common stockholders	998	(4,112)	(14,151)	(9,386)
Eliminations [Member]
Financial Information For Guarantors And Non Guarantors [Line Items]
Net income (loss)	(7,570)	(3,479)	1,289	(5,823)
Other comprehensive income:
Comprehensive income (loss)	(7,570)	(3,479)	1,289	(5,823)
Less: Comprehensive income (loss) attributable to non-controlling interest	0	0	0	0
Comprehensive income (loss) attributable to common stockholders	(7,570)	(2,395)	1,289	(5,823)
Parent / Issuer [Member]
Financial Information For Guarantors And Non Guarantors [Line Items]
Net income (loss)	894	(4,138)	(14,360)	(9,438)
Other comprehensive income:
Comprehensive income (loss)	894	(4,138)	(14,360)	(9,438)
Less: Comprehensive income (loss) attributable to non-controlling interest	0	0	0	0
Comprehensive income (loss) attributable to common stockholders	894	(4,138)	(14,360)	(9,438)
Guarantor Subsidiaries [Member]
Financial Information For Guarantors And Non Guarantors [Line Items]
Net income (loss)	7,570	3,479	(1,289)	5,823
Other comprehensive income:
Postretirement benefit plan and other employee benefit obligation	104	26	209	52
Other comprehensive income	104	26	209	52
Comprehensive income (loss)	7,674	3,505	(1,080)	5,875
Less: Comprehensive income (loss) attributable to non-controlling interest	0	0	0	0
Comprehensive income (loss) attributable to common stockholders	$ 7,674	$ 3,505	$ (1,080)	$ 5,875

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Closure of Lewis Creek Underground Mine - Additional Information (Detail) $ in Thousands	3 Months Ended
	Mar. 31, 2015 USD ($)
Depreciation Depletion and Amortization Expenses [Member] | Mine development costs [Member]
Components Of Balance Sheet [Line Items]
Total expense recognized to write-off mine	$ 6,318

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Unaudited Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Cash Flows from Operating Activities:
Net loss	$ (14,360)	$ (9,438)
Adjustments to reconcile net loss to net cash provided by operating activities:
Non-cash stock compensation expense	141	(117)
Income from equity affiliate	(76)	(15)
Loss on disposal of property, plant and equipment	72	2
Amortization of original issue discount	412	365
Amortization of debt issuance costs	751	621
Depreciation, depletion and amortization	27,409	19,938
Asset retirement obligation expenses	1,584	1,008
Non-cash activity with related party, net	8,849	7,064
Non-cash interest on long-term obligations	12	(16)
Change in operating assets and liabilities:
Decrease (increase) in accounts receivable	586	(779)
Decrease in inventories	88	338
Decrease in prepaid and other assets	77	1,317
Decrease (increase) in other non-current assets	46	(2,801)
(Decrease) increase in accounts payable and accrued and other liabilities	(4,728)	5,147
Increase in other non-current liabilities	812	498
Net cash provided by operating activities	21,675	23,132
Cash Flows from Investing Activities:
Investment in property, plant, equipment, and mine development	(14,402)	(6,843)
Proceeds from disposal of fixed assets	475	5
Net cash used in investing activities	(13,927)	(6,838)
Cash Flows from Financing Activities:
Payment on capital lease obligations	(1,296)	(1,509)
Payments of long-term debt	(2,667)	(3,741)
Repurchase of employee stock relinquished for tax withholdings		(87)
Net cash provided by (used in) financing activities	(3,963)	(5,337)
Net change in cash and cash equivalents	3,785	10,957
Cash and cash equivalents, at the beginning of the period	59,518	51,632
Cash and cash equivalents, at the end of the period	63,303	62,589
Non-Cash Transactions:
Assets acquired with long-term debt	4,728	$ 971
Non-cash portion of land and reserve sale/financing with related party	$ 18,172

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Fair Value of Financial Instruments - Estimated Fair Market Values of Company's Notes (Parenthetical) (Detail) - Level 2 Inputs [Member]	6 Months Ended	12 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
Carrying Value [Member]
Schedule Of Carrying Values And Estimated Fair Values Of Debt Instruments [Line Items]
Interest rate on notes	11.75%	11.75%
Debt instrument maturity year	2019	2019
Fair Value [Member]
Schedule Of Carrying Values And Estimated Fair Values Of Debt Instruments [Line Items]
Interest rate on notes	11.75%	11.75%
Debt instrument maturity year	2019	2019

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Long-Term Debt (Tables)

6 Months Ended

Jun. 30, 2015

Debt Disclosure [Abstract]

Summary of Long-Term Indebtedness

The Company’s total indebtedness consisted of the following:

Type	June 30, 2015		December 31, 2014
11.75% Senior Secured Notes due 2019	$	194,982	$	194,570
Senior Secured Credit Facility		—		—
Other		11,380		9,319
		206,362		203,889
Less: current maturities		5,598		4,929
Total long-term debt	$	200,764	$	198,960

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Other Non-Current Assets (Tables)

6 Months Ended

Jun. 30, 2015

Text Block [Abstract]

Details of Other Non-Current Assets

Other non-current assets consist of the following amounts:

	June 30, 2015		December 31, 2014
Escrows and deposits	$	4,668	$	4,649
Restricted surety and cash bonds		6,115		6,379
Advanced royalties		5,041		4,842
Deferred financing costs, net		8,014		8,765
Intangible assets, net		120		134
Total	$	23,958	$	24,769

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Employee Benefit Plans - Schedule of Net Periodic Postretirement Benefit Cost (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Postemployment Benefits [Abstract]
Service cost for benefits earned	$ 304	$ 259	$ 608	$ 517
Interest cost on accumulated postretirement benefit obligation	31	21	61	43
Amortization of prior service cost	26	26	52	52
Net periodic postretirement cost	$ 361	$ 306	$ 721	$ 612

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Fair Value of Financial Instruments (Tables)

6 Months Ended

Jun. 30, 2015

Fair Value Disclosures [Abstract]

Estimated Fair Market Values of Company's Notes

The estimated fair market values of the Company’s Notes, which was determined using Level 2 inputs, and long-term obligation to related party, which was determined using Level 3 inputs, are as follows:

	June 30, 2015				December 31, 2014
	Fair Value		Carrying Value		Fair Value		Carrying Value
11.75% Senior Secured Notes due 2019(1)	$	141,500	$	194,982	$	206,000	$	194,570
Long-term obligation to related party		104,005		129,515		115,731		110,713
Total	$	245,505	$	324,497	$	321,731	$	305,283

⁽¹⁾  The carrying value of the Notes is net of the unamortized OID as of June 30, 2015 and December 31, 2014, respectively.

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Employee Benefit Plans (Tables)

6 Months Ended

Jun. 30, 2015

Postemployment Benefits [Abstract]

Schedule of Net Periodic Postretirement Benefit Cost

Net periodic postretirement benefit cost included the following components:

	Three months ended June 30,				Six months ended June 30,
	2015		2014		2015		2014
Service cost for benefits earned	$	304	$	259	$	608	$	517
Interest cost on accumulated postretirement benefit obligation		31		21		61		43
Amortization of prior service cost		26		26		52		52
Net periodic postretirement cost	$	361	$	306	$	721	$	612

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Unaudited Consolidated Statement of Stockholders' Equity (Parenthetical) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015
Postretirement benefit plan and other employee benefit obligations, tax	$ 0
Accumulated Other Comprehensive Loss [Member]
Postretirement benefit plan and other employee benefit obligations, tax	$ 0

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Accumulated Other Comprehensive Loss (Tables)

6 Months Ended

Jun. 30, 2015

Equity [Abstract]

Changes in Accumulated Other Comprehensive Loss, Net of Tax

Changes in accumulated other comprehensive loss, net of tax, for the six months ended June 30, 2015 consisted of the following:

	Postretirement Benefit Plan and Other Employee Benefit Obligations			Accumulated Other Comprehensive Loss
Balance as of December 31, 2014	$	(3,741	)	$	(3,741	)
Other comprehensive loss before reclassifications		—			—
Amounts reclassified from accumulated other comprehensive loss		209			209
Net current-period accumulated other comprehensive loss		(3,532	)		(3,532	)
Balance as of June 30, 2015	$	(3,532	)	$	(3,532	)

Summary of Reclassifications Out of Accumulated Other Comprehensive Loss

The following is a summary of reclassifications out of accumulated other comprehensive loss for the three and six months ended June 30, 2015 and 2014:

Details about Accumulated Other Comprehensive Income (Loss) Components	Affected Line Item in the Condensed Consolidated Statement of Operations	Amounts Reclassified from Accumulated Other Comprehensive Loss For the Three Months Ended June 30,
		2015			2014
Amortization of prior service cost associated with postretirement benefit plan and other employee benefit obligations	Cost of coal sales	$	(104	)	$	(26	)
			(104	)		(26	)
Income taxes			—			—
Total reclassifications		$	(104	)	$	(26	)
Details about Accumulated Other Comprehensive Income (Loss) Components	Affected Line Item in the Condensed Consolidated Statement of Operations	Amounts Reclassified from Accumulated Other Comprehensive Loss For the Six Months Ended June 30,
		2015			2014
Amortization of prior service cost associated with postretirement benefit plan and other employee benefit obligations	Cost of coal sales	$	(209	)	$	(52	)
			(209	)		(52	)
Income taxes			—			—
Total reclassifications		$	(209	)	$	(52	)

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Long-Term Debt - Summary of Long-Term Indebtedness (Parenthetical) (Detail) - 11.75% Senior Secured Notes due 2019 [Member]	6 Months Ended	12 Months Ended
	Jun. 30, 2015	Dec. 31, 2014	Dec. 21, 2012
Long-term Debt, Current and Noncurrent [Abstract]
Interest rate on notes	11.75%		11.75%
Debt instrument maturity year	2019	2019

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Supplemental Guarantor/Non - Guarantor Financial Information - Supplemental Condensed Consolidating Statements of Cash Flows (Detail) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Cash Flows from Operating Activities:
Net cash (used in) provided by operating activities:	$ 21,675	$ 23,132
Cash Flows from Investing Activities:
Investment in property, plant, equipment, and mine development	(14,402)	(6,843)
Proceeds from disposal of fixed assets	475	5
Net cash used in investing activities	(13,927)	(6,838)
Cash Flows from Financing Activities:
Payment on capital lease obligations	(1,296)	(1,509)
Payment of long-term debt	(2,667)	(3,741)
Repurchase of employee stock relinquished for tax withholdings		(87)
Net cash provided by (used in) financing activities	(3,963)	(5,337)
Net change in cash and cash equivalents	3,785	10,957
Cash and cash equivalents, at the beginning of the period	59,518	51,632
Cash and cash equivalents, at the end of the period	63,303	62,589
Parent / Issuer [Member]
Cash Flows from Operating Activities:
Net cash (used in) provided by operating activities:	(13,546)	(14,754)
Cash Flows from Investing Activities:
Investment in property, plant, equipment, and mine development	(1,723)	(540)
Net cash used in investing activities	(1,723)	(540)
Cash Flows from Financing Activities:
Repurchase of employee stock relinquished for tax withholdings		(87)
Transactions with affiliates, net	15,269	15,381
Net cash provided by (used in) financing activities	15,269	15,294
Guarantor Subsidiaries [Member]
Cash Flows from Operating Activities:
Net cash (used in) provided by operating activities:	35,221	37,886
Cash Flows from Investing Activities:
Investment in property, plant, equipment, and mine development	(12,679)	(6,303)
Proceeds from disposal of fixed assets	475	5
Net cash used in investing activities	(12,204)	(6,298)
Cash Flows from Financing Activities:
Payment on capital lease obligations	(1,296)	(1,509)
Payment of long-term debt	(2,667)	(3,741)
Transactions with affiliates, net	(15,269)	(15,381)
Net cash provided by (used in) financing activities	(19,232)	(20,631)
Net change in cash and cash equivalents	3,785	10,957
Cash and cash equivalents, at the beginning of the period	59,518	51,632
Cash and cash equivalents, at the end of the period	$ 63,303	$ 62,589

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Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Current assets:
Cash and cash equivalents	$ 63,303	$ 59,518
Accounts receivable	21,213	21,799
Inventories	10,464	10,552
Prepaid and other assets	2,886	2,962
Deferred income taxes	1,454	735
Total current assets	99,320	95,566
Property, plant, equipment, and mine development, net	399,211	408,740
Investments	3,448	3,372
Other non-current assets	23,958	24,769
Total assets	525,937	532,447
Current liabilities:
Accounts payable	23,115	27,593
Accrued and other liabilities	20,884	17,117
Current portion of capital lease obligations	2,048	2,426
Current maturities of long-term debt	5,598	4,929
Total current liabilities	51,645	52,065
Long-term debt, less current maturities	200,764	198,960
Long-term obligation to related party	129,515	110,713
Related party payables, net	8,218	18,172
Asset retirement obligations	14,033	17,379
Long-term portion of capital lease obligations	441	1,358
Deferred income taxes	1,454	735
Other non-current liabilities	9,020	8,208
Total liabilities	415,090	407,590
Stockholders' equity:
Common stock, $0.01 par value, 70,000,000 shares authorized, 21,853,224 and 21,936,844 shares issued and outstanding as of June 30, 2015 and December 31, 2014, respectively	$ 218	$ 219
Preferred stock, $0.01 par value, 1,000,000 shares authorized, zero shares issued and outstanding as of June 30, 2015 and December 31, 2014, respectively
Additional paid-in-capital	$ 238,691	$ 238,549
Accumulated deficit	(124,553)	(110,193)
Accumulated other comprehensive loss	(3,532)	(3,741)
Armstrong Energy, Inc.'s equity	110,824	124,834
Non-controlling interest	23	23
Total stockholders' equity	110,847	124,857
Total liabilities and stockholders' equity	$ 525,937	$ 532,447

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Accumulated Other Comprehensive Loss - Changes in Accumulated Other Comprehensive Loss, Net of Tax (Detail) $ in Thousands	6 Months Ended
	Jun. 30, 2015 USD ($)
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning Balance	$ (3,741)
Other comprehensive loss before reclassifications	0
Amounts reclassified from accumulated other comprehensive loss	209
Net current-period accumulated other comprehensive loss	(3,532)
Ending Balance	(3,532)
Postretirement Benefit Plan [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning Balance	(3,741)
Other comprehensive loss before reclassifications	0
Amounts reclassified from accumulated other comprehensive loss	209
Net current-period accumulated other comprehensive loss	(3,532)
Ending Balance	$ (3,532)

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Unaudited Condensed Consolidated Statements of Comprehensive Income (Loss) (Parenthetical) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Statement of Comprehensive Income [Abstract]
Postretirement benefit plan and other employee benefit obligations, tax	$ 0	$ 0	$ 0	$ 0

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Inventories - Summary of Inventories (Detail) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Inventory Disclosure [Abstract]
Materials and supplies	$ 9,613	$ 10,378
Coal-raw and saleable	851	174
Total	$ 10,464	$ 10,552

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Commitments and Contingencies

6 Months Ended

Jun. 30, 2015

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

13. COMMITMENTS AND CONTINGENCIES

The Company is subject to various market, operational, financial, regulatory, and legislative risks. Numerous federal, state, and local governmental permits and approvals are required for mining operations. Federal and state regulations require regular monitoring of mines and other facilities to document compliance. Monetary penalties of $1,583 and $1,747 related to Mine Safety and Health Administration fines were accrued as of June 30, 2015 and December 31, 2014, respectively.

The Company is involved from time to time in various legal matters arising in the ordinary course of business. In the opinion of management, the resolution of these matters will not have a material adverse effect on the Company’s consolidated cash flows, results of operations or financial condition.

Coal Sales Contracts

The Company has historically sold the majority of its coal under multi-year supply agreements of varying duration. These contracts typically have specific volume and pricing arrangements for each year of the agreement, which allows customers to secure a supply for their future needs and provides the Company with greater predictability of sales volume and sales prices. Quantities sold under some of these contracts may vary from year to year within certain limits at the option of the customer or the Company. The remaining terms of the Company’s long-term contracts range from one to five years. The Company, via contractual agreements, has committed volumes of sales in 2015 of approximately 8.4 million tons.

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Accrued and Other Liabilities - Summary of Accrued and Other Liabilities (Detail) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Payables and Accruals [Abstract]
Payroll and related benefits	$ 8,185	$ 7,661
Taxes other than income taxes	5,592	4,588
Interest	1,004	991
Asset retirement obligations	2,587	342
Royalties	645	691
Other	2,871	2,844
Total	$ 20,884	$ 17,117

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Supplemental Guarantor/Non-Guarantor Financial Information

6 Months Ended

Jun. 30, 2015

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Supplemental Guarantor/Non-Guarantor Financial Information

15. SUPPLEMENTAL GUARANTOR/NON-GUARANTOR FINANCIAL INFORMATION

In accordance with the indenture governing the Notes, the Guarantor Subsidiaries have fully and unconditionally guaranteed the Notes, on a joint and several basis, subject to certain customary release provisions. Separate financial statements and other disclosures concerning the Guarantor Subsidiaries are not presented because management believes that such information is not material to the holders of the Notes. The following historical financial statement information is provided for the Guarantor Subsidiaries. The non-guarantor subsidiaries are considered to be “minor” as the term is defined in Rule 3-10 of Regulation S-X promulgated by the SEC, and the financial position, results of operations, and cash flows of the non-guarantor subsidiaries are, therefore, included in the condensed financial data of the Guarantor Subsidiaries.

Supplemental Condensed Consolidating Balance Sheets

	June 30, 2015
	Parent / Issuer			Guarantor Subsidiaries			Eliminations			Consolidated
ASSETS
Current assets:
Cash and cash equivalents	$	—		$	63,303		$	—		$	63,303
Accounts receivable		—			21,213			—			21,213
Inventories		—			10,464			—			10,464
Prepaid and other assets		269			2,617			—			2,886
Deferred income taxes		—			1,454			—			1,454
Total current assets		269			99,051			—			99,320
Property, plant, equipment, and mine development, net		15,359			383,852			—			399,211
Investments		—			3,448			—			3,448
Investments in subsidiaries		198,145			—			(198,145	)		—
Intercompany receivables		81,489			(81,489	)		—			—
Other non-current assets		8,229			15,729			—			23,958
Total assets	$	304,491		$	420,591		$	(198,145	)	$	525,937
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable	$	100		$	23,015		$	—		$	23,115
Accrued and other liabilities		1,235			19,649			—			20,884
Current portion of capital lease obligations		—			2,048			—			2,048
Current maturities of long-term debt		—			5,598			—			5,598
Total current liabilities		1,335			50,310			—			51,645
Long-term debt, less current maturities		194,982			5,782			—			200,764
Long-term obligation to related party		—			129,515			—			129,515
Related party payables, net		(3,811	)		12,029			—			8,218
Asset retirement obligations		—			14,033			—			14,033
Long-term portion of capital lease obligations		—			441			—			441
Deferred income taxes		—			1,454			—			1,454
Other non-current liabilities		161			8,859			—			9,020
Total liabilities		192,667			222,423			—			415,090
Stockholders’ equity:
Armstrong Energy, Inc.’s equity		110,824			198,145			(198,145	)		110,824
Non-controlling interest		—			23			—			23
Total stockholders’ equity		110,824			198,168			(198,145	)		110,847
Total liabilities and stockholders’ equity	$	303,491		$	420,591		$	(198,145	)	$	525,937

Supplemental Condensed Consolidating Balance Sheets

	December 31, 2014
	Parent / Issuer			Guarantor Subsidiaries			Eliminations			Consolidated
ASSETS
Current assets:
Cash and cash equivalents	$	—		$	59,518		$	—		$	59,518
Accounts receivable		—			21,799			—			21,799
Inventories		—			10,552			—			10,552
Prepaid and other assets		62			2,900			—			2,962
Deferred income taxes		735			—			—			735
Total current assets		797			94,769			—			95,566
Property, plant, equipment, and mine development, net		14,648			394,092			—			408,740
Investments		—			3,372			—			3,372
Investments in subsidiaries		199,435			—			(199,435	)		—
Intercompany receivables		96,755			(96,755	)		—			—
Other non-current assets		8,980			15,789			—			24,769
Total assets	$	320,615		$	411,267		$	(199,435	)	$	532,447
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable	$	100		$	27,493		$	—		$	27,593
Accrued and other liabilities		3,456			13,661			—			17,117
Current portion of capital lease obligations		—			2,426			—			2,426
Current maturities of long-term debt		—			4,929			—			4,929
Total current liabilities		3,556			48,509			—			52,065
Long-term debt, less current maturities		194,570			4,390			—			198,960
Long-term obligation to related party		—			110,713			—			110,713
Related party payables, net		(3,211	)		21,383			—			18,172
Asset retirement obligations		—			17,379			—			17,379
Long-term portion of capital lease obligations		—			1,358			—			1,358
Deferred income taxes		735			—			—			735
Other non-current liabilities		131			8,077			—			8,208
Total liabilities		195,781			211,809			—			407,590
Stockholders’ equity:
Armstrong Energy, Inc.’s equity		124,834			199,435			(199,435	)		124,834
Non-controlling interest		—			23			—			23
Total stockholders’ equity		124,834			199,458			(199,435	)		124,857
Total liabilities and stockholders’ equity	$	320,615		$	411,267		$	(199,435	)	$	532,447

Supplemental Condensed Consolidated Statements of Operations

	Three Months Ended June 30, 2015
	Parent / Issuer			Guarantor Subsidiaries			Eliminations			Consolidated
Revenue	$	—		$	93,139		$	—		$	93,139
Costs and Expenses:
Cost of coal sales, exclusive of items shown separately below		—			70,153			—			70,153
Production royalty to related party		—			2,053			—			2,053
Depreciation, depletion, and amortization		507			9,998			—			10,505
Asset retirement obligation expenses		—			717			—			717
General and administrative expenses		601			3,682			—			4,283
Operating (loss) income		(1,108	)		6,536			—			5,428
Other income (expense):
Interest expense, net		(5,568	)		(3,302	)		—			(8,870	)
Other, net		—			4,595			—			4,595
Income from investment in subsidiaries		7,570			—			(7,570	)		—
Income before income taxes		894			7,829			(7,570	)		1,153
Income tax provision		—			259			—			259
Net income		894			7,570			(7,570	)		894
Less: income attributable to non-controlling interest		—			—			—			—
Net income attributable to common stockholders	$	894		$	7,570		$	(7,570	)	$	894
	Three Months Ended June 30, 2014
	Parent / Issuer			Guarantor Subsidiaries			Eliminations			Consolidated
Revenue	$	—		$	116,287		$	—		$	116,287
Costs and Expenses:
Cost of coal sales, exclusive of items shown separately below		—			95,166			—			95,166
Production royalty to related party		—			2,240			—			2,240
Depreciation, depletion, and amortization		471			9,260			—			9,731
Asset retirement obligation expenses		—			500			—			500
General and administrative expenses		909			3,834			—			4,743
Operating (loss) income		(1,380	)		5,287			—			3,907
Other income (expense):
Interest expense, net		(6,237	)		(2,053	)		—			(8,290	)
Other, net		—			245			—			245
Income from investment in subsidiaries		3,479			—			(3,479	)		—
(Loss) income before income taxes		(4,138	)		3,479			(3,479	)		(4,138	)
Income tax provision		—			—			—			—
Net (loss) income		(4,138	)		3,479			(3,479	)		(4,138	)
Less: income attributable to non-controlling interest		—			—			—			—
Net (loss) income attributable to common stockholders	$	(4,138	)	$	3,479		$	(3,479	)	$	(4,138	)

Supplemental Condensed Consolidated Statements of Operations

	Six Months Ended June 30, 2015
	Parent / Issuer			Guarantor Subsidiaries			Eliminations			Consolidated
Revenue	$	—		$	189,474		$	—		$	189,474
Costs and Expenses:
Cost of coal sales, exclusive of items shown separately below		—			148,983			—			148,983
Production royalty to related party		—			4,054			—			4,054
Depreciation, depletion, and amortization		1,012			26,397			—			27,409
Asset retirement obligation expenses		—			1,584			—			1,584
General and administrative expenses		782			8,140			—			8,922
Operating (loss) income		(1,794	)		316			—			(1,478	)
Other income (expense):
Interest expense, net		(11,277	)		(5,970	)		—			(17,247	)
Other, net		—			4,624			—			4,624
Loss from investment in subsidiaries		(1,289	)		—			1,289			—
Loss before income taxes		(14,360	)		(1,030	)		1,289			(14,101	)
Income tax provision		—			259			—			259
Net loss		(14,360	)		(1,289	)		1,289			(14,360	)
Less: income attributable to non-controlling interest		—			—			—			—
Net loss attributable to common stockholders	$	(14,360	)	$	(1,289	)	$	1,289		$	(14,360	)
	Six Months Ended June 30, 2014
	Parent / Issuer			Guarantor Subsidiaries			Eliminations			Consolidated
Revenue	$	—		$	227,153		$	—		$	227,153
Costs and Expenses:
Cost of coal sales, exclusive of items shown separately below		—			185,285			—			185,285
Production royalty to related party		—			4,264			—			4,264
Depreciation, depletion, and amortization		947			18,991			—			19,938
Asset retirement obligation expenses		—			1,008			—			1,008
General and administrative expenses		1,829			8,160			—			9,989
Operating (loss) income		(2,776	)		9,445			—			6,669
Other income (expense):
Interest expense, net		(12,485	)		(4,049	)		—			(16,534	)
Other, net		—			427			—			427
Income from investment in subsidiaries		5,823			—			(5,823	)		—
(Loss) income before income taxes		(9,438	)		5,823			(5,823	)		(9,438	)
Income tax provision		—			—			—			—
Net (loss) income		(9,438	)		5,823			(5,823	)		(9,438	)
Less: income attributable to non-controlling interest		—			—			—			—
Net (loss) income attributable to common stockholders	$	(9,438	)	$	5,823		$	(5,823	)	$	(9,438	)

Supplemental Condensed Consolidated Statements of Comprehensive Income (Loss)

	Three Months Ended June 30, 2015
	Parent / Issuer			Guarantor Subsidiaries		Eliminations			Consolidated
Net income	$	894		$	7,570	$	(7,570	)	$	894
Other comprehensive income:
Postretirement benefit plan and other employee benefit obligation		—			104		—			104
Other comprehensive income		—			104		—			104
Comprehensive income		894			7,674		(7,570	)		998
Less: comprehensive income (loss) attributable to non-controlling interest		—			—		—			—
Comprehensive income attributable to common stockholders	$	894		$	7,674	$	(7,570	)	$	998
	Three Months Ended June 30, 2014
	Parent / Issuer			Guarantor Subsidiaries		Eliminations			Consolidated
Net (loss) income	$	(4,138	)	$	3,479	$	(3,479	)	$	(4,138	)
Other comprehensive income:
Postretirement benefit plan and other employee benefit obligation		—			26		—			26
Other comprehensive income		—			26		—			26
Comprehensive (loss) income		(4,138	)		3,505		(3,479	)		(4,112	)
Less: comprehensive income (loss) attributable to non-controlling interest		—			—		—			—
Comprehensive (loss) income attributable to common stockholders	$	(4,138	)	$	3,505	$	(2,395	)	$	(4,112	)

Supplemental Condensed Consolidated Statements of Comprehensive Income (Loss)

	Six Months Ended June 30, 2015
	Parent / Issuer			Guarantor Subsidiaries			Eliminations			Consolidated
Net loss	$	(14,360	)	$	(1,289	)	$	1,289		$	(14,360	)
Other comprehensive income:
Postretirement benefit plan and other employee benefit obligation		—			209			—			209
Other comprehensive income		—			209			—			209
Comprehensive loss		(14,360	)		(1,080	)		1,289			(14,151	)
Less: comprehensive income (loss) attributable to non-controlling interest		—			—			—			—
Comprehensive loss attributable to common stockholders	$	(14,360	)	$	(1,080	)	$	1,289		$	(14,151	)
	Six Months Ended June 30, 2014
	Parent / Issuer			Guarantor Subsidiaries			Eliminations			Consolidated
Net (loss) income	$	(9,438	)	$	5,823		$	(5,823	)	$	(9,438	)
Other comprehensive income:
Postretirement benefit plan and other employee benefit obligation		—			52			—			52
Other comprehensive income		—			52			—			52
Comprehensive (loss) income		(9,438	)		5,875			(5,823	)		(9,386	)
Less: comprehensive income (loss) attributable to non-controlling interest		—			—			—			—
Comprehensive (loss) income attributable to common stockholders	$	(9,438	)	$	5,875		$	(5,823	)	$	(9,386	)

Supplemental Condensed Consolidating Statements of Cash Flows

	Six Months Ended June 30, 2015
	Parent / Issuer			Guarantor Subsidiaries			Consolidated
Cash Flows from Operating Activities:
Net cash (used in) provided by operating activities:	$	(13,546	)	$	35,221		$	21,675
Cash Flows from Investing Activities:
Investment in property, plant, equipment, and mine development		(1,723	)		(12,679	)		(14,402	)
Proceeds from disposal of fixed assets		—			475			475
Net cash used in investing activities		(1,723	)		(12,204	)		(13,927	)
Cash Flows from Financing Activities:
Payment on capital lease obligations		—			(1,296	)		(1,296	)
Payment of long-term debt		—			(2,667	)		(2,667	)
Transactions with affiliates, net		15,269			(15,269	)		—
Net cash provided by (used in) financing activities		15,269			(19,232	)		(3,963	)
Net change in cash and cash equivalents		—			3,785			3,785
Cash and cash equivalents, at the beginning of the period		—			59,518			59,518
Cash and cash equivalents, at the end of the period	$	—		$	63,303		$	63,303
	Six Months Ended June 30, 2014
	Parent / Issuer			Guarantor Subsidiaries			Consolidated
Cash Flows from Operating Activities:
Net cash (used in) provided by operating activities:	$	(14,754	)	$	37,886		$	23,132
Cash Flows from Investing Activities:
Investment in property, plant, equipment, and mine development		(540	)		(6,303	)		(6,843	)
Proceeds from disposal of fixed assets		—			5			5
Net cash used in investing activities		(540	)		(6,298	)		(6,838	)
Cash Flows from Financing Activities:
Payment on capital lease obligations		—			(1,509	)		(1,509	)
Payment of long-term debt		—			(3,741	)		(3,741	)
Repurchase of employee stock relinquished for tax withholdings		(87	)		—			(87	)
Transactions with affiliates, net		15,381			(15,381	)		—
Net cash provided by (used in) financing activities		15,294			(20,631	)		(5,337	)
Net change in cash and cash equivalents		—			10,957			10,957
Cash and cash equivalents, at the beginning of the period		—			51,632			51,632
Cash and cash equivalents, at the end of the period	$	—		$	62,589		$	62,589

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Unaudited Consolidated Statement of Stockholders' Equity - 6 months ended Jun. 30, 2015 - USD ($) $ in Thousands	Total	Common Stock [Member]	Preferred Stock [Member]	Additional Paid-in Capital [Member]	Accumulated Deficit [Member]	Accumulated Other Comprehensive Loss [Member]	Non - Controlling Interest [Member]
Beginning Balance at Dec. 31, 2014	$ 124,857	$ 219	$ 0	$ 238,549	$ (110,193)	$ (3,741)	$ 23
Beginning Balance, Shares at Dec. 31, 2014	21,936,844	21,936,844
Net loss	$ (14,360)				(14,360)
Stock based compensation	141			141
Postretirement benefit plan and other employee benefit obligations, net of tax of zero	209					209
Repurchase of common stock		$ (1)		1
Repurchase of common stock, Shares		(84,000)
Ending Balance at Jun. 30, 2015	$ 110,847	$ 218	$ 0	$ 238,691	$ (124,553)	$ (3,532)	$ 23
Ending Balance, Shares at Jun. 30, 2015	21,853,224	21,853,224

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Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Jun. 30, 2015	Dec. 31, 2014
Statement of Financial Position [Abstract]
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	70,000,000	70,000,000
Common stock, shares issued	21,853,224	21,936,844
Common stock, shares outstanding	21,853,224	21,936,844
Preferred stock, par value	$ 0.01	$ 0.01
Preferred stock, shares authorized	1,000,000	1,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0

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Fair Value of Financial Instruments

6 Months Ended

Jun. 30, 2015

Fair Value Disclosures [Abstract]

Fair Value of Financial Instruments

8. FAIR VALUE OF FINANCIAL INSTRUMENTS

The Company measures the fair value of assets and liabilities using a three-tier fair value hierarchy which prioritizes the inputs used in measuring fair value as follows: Level 1—observable inputs such as quoted prices in active markets; Level 2—inputs, other than quoted market prices in active markets, which are observable, either directly or indirectly; and Level 3—valuations derived from valuation techniques in which one or more significant inputs are unobservable. In addition, the Company may use various valuation techniques including the market approach, using comparable market prices; the income approach, using present value of future income or cash flow; and the cost approach, using the replacement cost of assets.

The Company’s financial instruments consist of cash equivalents, accounts receivable, long-term debt, and other long-term obligations. For cash equivalents, accounts receivable and other long-term obligations, the carrying amounts approximate fair value due to the short maturity and financial nature of the balances. The estimated fair market values of the Company’s Notes, which was determined using Level 2 inputs, and long-term obligation to related party, which was determined using Level 3 inputs, are as follows:

	June 30, 2015				December 31, 2014
	Fair Value		Carrying Value		Fair Value		Carrying Value
11.75% Senior Secured Notes due 2019(1)	$	141,500	$	194,982	$	206,000	$	194,570
Long-term obligation to related party		104,005		129,515		115,731		110,713
Total	$	245,505	$	324,497	$	321,731	$	305,283

⁽¹⁾  The carrying value of the Notes is net of the unamortized OID as of June 30, 2015 and December 31, 2014, respectively.

The fair value of the Notes is based on quoted market prices, while the fair value of the long-term obligation to related party was based on estimated cash flows discounted to their present value.

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Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2015	Aug. 01, 2015
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2015
Document Fiscal Year Focus	2015
Document Fiscal Period Focus	Q2
Trading Symbol	ck0001532288
Entity Registrant Name	Armstrong Energy, Inc.
Entity Central Index Key	0001532288
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Entity Common Stock, Shares Outstanding		21,853,224

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Income Taxes

6 Months Ended

Jun. 30, 2015

Income Tax Disclosure [Abstract]

Income Taxes

9. INCOME TAXES

The Company has not recognized certain income tax benefits, as it does not believe it is more likely than not it will be able to realize its net deferred tax assets. The Company has, therefore, established a valuation allowance against its net deferred tax assets as of June 30, 2015 and December 31, 2014. Based on the anticipated reversals of its deferred tax assets and deferred tax liabilities, the Company has concluded a valuation allowance is necessary only for the excess of deferred tax assets over deferred tax liabilities.

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Unaudited Condensed Consolidated Statements of Operations - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Income Statement [Abstract]
Revenue	$ 93,139	$ 116,287	$ 189,474	$ 227,153
Costs and Expenses:
Cost of coal sales, exclusive of items shown separately below	70,153	95,166	148,983	185,285
Production royalty to related party	2,053	2,240	4,054	4,264
Depreciation, depletion, and amortization	10,505	9,731	27,409	19,938
Asset retirement obligation expenses	717	500	1,584	1,008
General and administrative expenses	4,283	4,743	8,922	9,989
Operating income (loss)	5,428	3,907	(1,478)	6,669
Other income (expense):
Interest expense, net	(8,870)	(8,290)	(17,247)	(16,534)
Other, net	4,595	245	4,624	427
Income (loss) before income taxes	1,153	(4,138)	(14,101)	(9,438)
Income tax provision	259		259
Net income (loss)	894	(4,138)	(14,360)	(9,438)
Income attributable to non-controlling interest	0	0	0	0
Net income (loss) attributable to common stockholders	$ 894	$ (4,138)	$ (14,360)	$ (9,438)

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Inventories

6 Months Ended

Jun. 30, 2015

Inventory Disclosure [Abstract]

Inventories

3. INVENTORIES

Inventories consist of the following amounts:

	June 30, 2015		December 31, 2014
Materials and supplies	$	9,613	$	10,378
Coal—raw and saleable		851		174
Total	$	10,464	$	10,552

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Significant Accounting Policies

6 Months Ended

Jun. 30, 2015

Accounting Policies [Abstract]

Significant Accounting Policies

2. SIGNIFICANT ACCOUNTING POLICIES

Long-Lived Assets

If facts and circumstances suggest that a long-lived asset may be impaired, the carrying value is reviewed for recoverability. If this review indicates the carrying value of the asset will not be recovered, as determined based on projected undiscounted cash flows related to the asset over its remaining life, the carrying value of the asset is reduced to its estimated fair value through a non-cash impairment loss. During the first half of 2015, events and circumstances, including the continued decline in pricing and demand for U.S. coal, have indicated the carrying value of the Company’s long-lived assets might be impaired. However, the Company’s estimates of undiscounted cash flows indicated that such carrying amounts were expected to be recovered. Nonetheless, it is possible the estimate of undiscounted cash flows may change in the future resulting in the need to write down those assets to fair value.

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Other, Net

6 Months Ended

Jun. 30, 2015

Other Income and Expenses [Abstract]

Other, Net

14. OTHER, NET

During the second quarter of 2015, the Company received a refund for a portion of the Kentucky sales and use taxes paid on the purchase of certain energy and energy producing fuels for the period of 2008 through 2013. The refund, including interest, totaled $4,482, which is included in other, net in the condensed consolidated statement of operations for the three and six months ended June 30, 2015.

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Employee Benefit Plans

6 Months Ended

Jun. 30, 2015

Postemployment Benefits [Abstract]

Employee Benefit Plans

10. EMPLOYEE BENEFIT PLANS

Effective January 1, 2013, the Company began providing certain health care benefits, including the reimbursement of a portion of out-of-pocket costs associated with insurance coverage, to qualifying salaried and hourly retirees and their dependents. Plan coverage for reimbursements will be provided to future hourly and salaried retirees in accordance with the plan document. The Company’s funding policy with respect to the plan is to fund the cost of all postretirement benefits as they are paid.

Net periodic postretirement benefit cost included the following components:

	Three months ended June 30,				Six months ended June 30,
	2015		2014		2015		2014
Service cost for benefits earned	$	304	$	259	$	608	$	517
Interest cost on accumulated postretirement benefit obligation		31		21		61		43
Amortization of prior service cost		26		26		52		52
Net periodic postretirement cost	$	361	$	306	$	721	$	612

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Related Party Transactions

6 Months Ended

Jun. 30, 2015

Related Party Transactions [Abstract]

Related Party Transactions

6. RELATED PARTY TRANSACTIONS

Merger of Related Parties

On February 1, 2014, Armstrong Resource Partners, L.P. merged with and into Thoroughbred Resources, LLC, with Armstrong Resource Partners, L.P. as the surviving entity (the Merger). Effective with the Merger, Armstrong Resource Partners, L.P. changed its name to Thoroughbred. The Company’s wholly-owned subsidiary, ECGP, remained the general partner of the surviving entity, under the terms of the amended and restated limited partnership agreement, which is substantially the same as the limited partnership agreement in effect immediately prior to the Merger. As a result of the Merger, ECGP’s equity interest in the combined company was reduced to approximately 0.2%.

In January 2014, the Company’s investment in Ram Terminals, LLC (RAM), an entity majority owned by Yorktown, was converted into an equal ownership percentage of Terminal Holdings, LLC, a holding company which is the sole member of both RAM and MG Midstreaming, LLC. Subsequent to the Merger, but also on February 1, 2014, Terminal Holdings, LLC merged with and into a merger subsidiary of Thoroughbred created for the purpose of the transaction, with Terminal Holdings, LLC as the surviving entity. Terminal Holdings, LLC was owned by the Company and Yorktown in the same percentage as their prior interests in RAM, and by virtue of the merger, the Company’s equity interest in Terminal Holdings, LLC was converted into an equal number of common units representing limited partnership interests in Thoroughbred. Because of the Company’s ownership interest in Thoroughbred through ECGP, the newly converted interest, which equals an additional 0.9%, is accounted for under the equity method.

As of June 30, 2015, the Company’s total ownership in Thoroughbred equaled 1.1%. Income from the equity interest in Thoroughbred for the three months ended June 30, 2015 and 2014 totaled $41, and $9, respectively, and for the six months ended June 30, 2015 and 2014 totaled $76 and $15, respectively.

Sale of Coal Reserves

The Company has executed the sale of an undivided interest in certain land and mineral reserves to Thoroughbred, through a series of transactions beginning in February 2011. Subsequently, the Company entered into lease agreements with Thoroughbred pursuant to which Thoroughbred granted the Company leases to its undivided interests in the mining properties acquired and licenses to mine and sell coal from those properties in exchange for a production royalty. Due to the Company’s continuing involvement in the land and mineral reserves transferred, these transactions have been accounted for as financing arrangements. A long-term obligation has been established that is being amortized over the anticipated life of the mineral reserves, at an annual rate of 7% of the estimated gross revenue generated from the sale of the coal originating from the leased mineral reserves. In addition, effective February 2011, the Company and Thoroughbred entered into a Royalty Deferment and Option Agreement, whereby the Company has been granted an option to defer payment of any royalties earned by Thoroughbred on coal mined from these properties. Compensation for the aforementioned transactions has consisted of a combination of cash payments and the forgiveness of amounts owed by the Company, which primarily consisted of deferred royalties.

On October 1, 2014, the Company transferred to Thoroughbred a portion of its interest in certain land and mineral reserves the Company controls in Muhlenberg county in exchange for Thoroughbred conveying to the Company a 7.97% undivided interest in the land and mineral reserves previously transferred by the Company to Thoroughbred. This transaction was determined to be a fair and reasonable arm’s-length transaction by the conflicts committee of the board of directors of the Company, a committee comprised of only independent directors.

The Company sold a 3.85% undivided interest in certain leased and owned land and mineral reserves to Thoroughbred on October 1, 2014 in exchange for Thoroughbred forgiving amounts owed by the Company of $8,202. On May 1, 2015, the Company sold an additional 12.10% undivided interest in certain leased and owned land and mineral reserves to Thoroughbred in exchange for Thoroughbred forgiving amounts owed by the Company of $18,172. The amounts forgiven by Thoroughbred consisted primarily of deferred production royalties. The newly acquired interests in the mineral reserves were leased and/or subleased by Thoroughbred to the Company in exchange for a production royalty. These transactions were accounted for as financing arrangements and additional long-term obligations to Thoroughbred of $8,202 and $18,172 were recognized on October 1, 2014 and May 1, 2015, respectively.

The percentage interests in the land and mineral reserves sold to Thoroughbred in the above transactions was based on fair values determined by a third-party specialist. As a result of these transactions, Thoroughbred’s undivided interest in certain of the Company’s leased and owned land and mineral reserves in Muhlenberg and Ohio counties as of June 30, 2015 and December 31, 2014 was 61.38% and 49.28%, respectively.

As of June 30, 2015 and December 31, 2014, the outstanding long-term obligation to related party totaled $129,515 and $110,713, respectively. Interest expense recognized for the three months ended June 30, 2015 and 2014 associated with the long-term obligation to related party was $3,139 and $1,837, respectively, and for the six months ended June 30, 2015 and 2014 was $5,636 and $3,664, respectively. The effective interest rate of the long-term obligation to related party, which is adjusted based on significant mine plan changes and the completion of the periodic reserve transfers, was 9.2% as of June 30, 2015.

Lease of Coal Reserves

In February 2011, Thoroughbred entered into a lease and sublease agreement with the Company relating to its Elk Creek reserves and granted the Company a license to mine coal on those properties. The terms of this agreement mirror those of the lease agreements associated with the jointly owned reserves between the Company and Thoroughbred. Total production royalties owed from mining of the Elk Creek reserves, where the Company’s Kronos underground mine resides, for the three months ended June 30, 2015 and 2014 totaled $2,053 and $2,240, respectively, and for the six months ended June 30, 2015 and 2014 totaled $4,054 and $4,264, respectively.

In February 2014, the Company entered into an additional lease and/or sublease with Thoroughbred for certain mineral reserves located in Muhlenberg and McLean Counties of Kentucky, contiguous to its existing reserves, in exchange for a production royalty. Total proven and probable mineral reserves included as part of the transaction was approximately 198 million tons. The initial term of the lease is ten years, with an automatic extension of up to ten years. No mining of this reserve had commenced as of June 30, 2015.

Administrative Services Agreements

The Company entered into an administrative services agreement with Thoroughbred and its general partner, ECGP, pursuant to which the Company agreed to provide Thoroughbred with general administrative and management services, including, but not limited to, human resources, information technology, financial and accounting services and legal services. The administrative service fee, which is adjusted annually, is approved by the conflicts committee of the board of directors. As consideration for the use of the Company’s employees and services, and for certain shared fixed costs, Thoroughbred paid the Company $300 and $253 for the three months ended June 30, 2015 and 2014, respectively, and $600 and $507 for the six months ended June 30, 2015 and 2014, respectively.

Other

In 2006 and 2007, the Company entered into overriding royalty agreements with a current and a former executive employee to compensate them $0.05/ton of coal mined and sold from properties owned by certain subsidiaries of the Company. The agreements remain in effect for the later of 20 years from the date of the agreement or until all salable coal has been extracted. Both royalty agreements transfer with the property regardless of ownership or lease status. The royalties are payable the month following the sale of coal mined from the specified properties. The Company accounts for these royalty arrangements as expense in the period in which the coal is sold. Expense recorded in the three months ended June 30, 2015 and 2014, was $173 and $211, respectively, and $338 and $413 in the six months ended June 30, 2015 and 2014, respectively.

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Accrued and Other Liabilities

6 Months Ended

Jun. 30, 2015

Payables and Accruals [Abstract]

Accrued and Other Liabilities

4. ACCRUED AND OTHER LIABILITIES

Accrued and other liabilities consist of the following amounts:

	June 30, 2015		December 31, 2014
Payroll and related benefits	$	8,185	$	7,661
Taxes other than income taxes		5,592		4,588
Interest		1,004		991
Asset retirement obligations		2,587		342
Royalties		645		691
Other		2,871		2,844
Total	$	20,884	$	17,117

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Other Non-Current Assets

6 Months Ended

Jun. 30, 2015

Text Block [Abstract]

Other Non-Current Assets

5. OTHER NON-CURRENT ASSETS

Other non-current assets consist of the following amounts:

	June 30, 2015		December 31, 2014
Escrows and deposits	$	4,668	$	4,649
Restricted surety and cash bonds		6,115		6,379
Advanced royalties		5,041		4,842
Deferred financing costs, net		8,014		8,765
Intangible assets, net		120		134
Total	$	23,958	$	24,769

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Long-Term Debt

6 Months Ended

Jun. 30, 2015

Debt Disclosure [Abstract]

Long-Term Debt

7. LONG-TERM DEBT

The Company’s total indebtedness consisted of the following:

Type	June 30, 2015		December 31, 2014
11.75% Senior Secured Notes due 2019	$	194,982	$	194,570
Senior Secured Credit Facility		—		—
Other		11,380		9,319
		206,362		203,889
Less: current maturities		5,598		4,929
Total long-term debt	$	200,764	$	198,960

Senior Secured Notes due 2019

On December 21, 2012, the Company completed a $200,000 offering of 11.75% Senior Secured Notes due 2019 (the Notes). The Notes were issued at an original issue discount (OID) of 96.567%. The OID was recorded on the Company’s balance sheet as a component of long-term debt, and is being amortized to interest expense over the life of the Notes. As of June 30, 2015 and December 31, 2014, the unamortized OID was $5,018 and $5,430, respectively. Interest on the Notes is due semiannually on June 15 and December 15 of each year. The Company used $123,698 of the proceeds from this issuance to prepay and terminate its previous senior secured credit facility, including accrued and unpaid interest. In addition, the Company used the proceeds to pay fees and expenses of $8,358 related to the Notes offering, which are being amortized to interest expense over the life of the Notes.

2012 Credit Facility

Concurrently with the closing of the Notes offering on December 21, 2012, the Company entered into a new asset based revolving credit facility (the 2012 Credit Facility). The 2012 Credit Facility provides for a five-year $50,000 revolving credit facility that will expire on December 21, 2017. Borrowings under the 2012 Credit Facility may not exceed a borrowing base, as defined within the 2012 Credit Facility agreement. In addition, the 2012 Credit Facility includes a $10,000 letter of credit sub-facility and a $5,000 swingline loan sub-facility. As of June 30, 2015 and December 31, 2014, there were no borrowings outstanding under the 2012 Credit Facility, and the Company had $19,946 available for borrowing under the 2012 Credit Facility at June 30, 2015. The Company incurred $1,198 of deferred financing fees related to the 2012 Credit Facility that have been capitalized and are being amortized to interest expense over the life of the 2012 Credit Facility.

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Description of Business and Entity Structure - Additional Information (Detail)	Jun. 30, 2015
Elk Creek General Partner [Member]
Schedule Of Description Of Business [Line Items]
Ownership percentage	0.20%

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Supplemental Guarantor/Non - Guarantor Financial Information - Supplemental Condensed Consolidated Statements of Operations (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Schedule Of Condensed Consolidating Statement Of Operations [Line Items]
Revenue	$ 93,139	$ 116,287	$ 189,474	$ 227,153
Costs and Expenses:
Cost of coal sales, exclusive of items shown separately below	70,153	95,166	148,983	185,285
Production royalty to related party	2,053	2,240	4,054	4,264
Depreciation, depletion, and amortization	10,505	9,731	27,409	19,938
Asset retirement obligation expenses	717	500	1,584	1,008
General and administrative expenses	4,283	4,743	8,922	9,989
Operating income (loss)	5,428	3,907	(1,478)	6,669
Other income (expense):
Interest expense, net	(8,870)	(8,290)	(17,247)	(16,534)
Other, net	4,595	245	4,624	427
Income (loss) before income taxes	1,153	(4,138)	(14,101)	(9,438)
Income tax provision	259		259
Net (loss) income	894	(4,138)	(14,360)	(9,438)
Less: income attributable to non-controlling interest	0	0	0	0
Net (loss) income attributable to common stockholders	894	(4,138)	(14,360)	(9,438)
Eliminations [Member]
Other income (expense):
Income (loss) from investment in subsidiaries	(7,570)	(3,479)	1,289	(5,823)
Income (loss) before income taxes	(7,570)	(3,479)	1,289	(5,823)
Net (loss) income	(7,570)	(3,479)	1,289	(5,823)
Less: income attributable to non-controlling interest	0	0	0	0
Net (loss) income attributable to common stockholders	(7,570)	(3,479)	1,289	(5,823)
Parent / Issuer [Member]
Costs and Expenses:
Depreciation, depletion, and amortization	507	471	1,012	947
General and administrative expenses	601	909	782	1,829
Operating income (loss)	(1,108)	(1,380)	(1,794)	(2,776)
Other income (expense):
Interest expense, net	(5,568)	(6,237)	(11,277)	(12,485)
Income (loss) from investment in subsidiaries	7,570	3,479	(1,289)	5,823
Income (loss) before income taxes	894	(4,138)	(14,360)	(9,438)
Net (loss) income	894	(4,138)	(14,360)	(9,438)
Less: income attributable to non-controlling interest	0	0	0	0
Net (loss) income attributable to common stockholders	894	(4,138)	(14,360)	(9,438)
Guarantor Subsidiaries [Member]
Schedule Of Condensed Consolidating Statement Of Operations [Line Items]
Revenue	93,139	116,287	189,474	227,153
Costs and Expenses:
Cost of coal sales, exclusive of items shown separately below	70,153	95,166	148,983	185,285
Production royalty to related party	2,053	2,240	4,054	4,264
Depreciation, depletion, and amortization	9,998	9,260	26,397	18,991
Asset retirement obligation expenses	717	500	1,584	1,008
General and administrative expenses	3,682	3,834	8,140	8,160
Operating income (loss)	6,536	5,287	316	9,445
Other income (expense):
Interest expense, net	(3,302)	(2,053)	(5,970)	(4,049)
Other, net	4,595	245	4,624	427
Income (loss) before income taxes	7,829	3,479	(1,030)	5,823
Income tax provision	259		259
Net (loss) income	7,570	3,479	(1,289)	5,823
Less: income attributable to non-controlling interest	0	0	0	0
Net (loss) income attributable to common stockholders	$ 7,570	$ 3,479	$ (1,289)	$ 5,823

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Closure of Lewis Creek Underground Mine

6 Months Ended

Jun. 30, 2015

Text Block [Abstract]

Closure of Lewis Creek Underground Mine

12. CLOSURE OF LEWIS CREEK UNDERGROUND MINE

The Company’s Lewis Creek underground mine, which produced coal from the West Kentucky #9 seam, experienced significant operating inefficiencies due to the geological conditions of the portion of the reserve being mined. As a result of the ongoing mining difficulties, a final decision was made in August 2014 not to continue advancing under the current mine plan, but rather to retreat and mine only in the eastern portion of the reserve.

The Company completed mining of the Lewis Creek underground mine in March 2015 and has begun extracting the equipment, which will be utilized at its other mining operations in the future. As a result of the closure, the Company accelerated depreciation of the remaining net book value of the capitalized costs associated with the original development of the mine. Total expense recognized during the first quarter of 2015 to write-off the remaining asset was approximately $6,318, which is included as a component of depreciation, depletion, and amortization expense in the condensed consolidated statement of operations for the six months ended June 30, 2015.

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Inventories (Tables)

6 Months Ended

Jun. 30, 2015

Inventory Disclosure [Abstract]

Summary of Inventories

Inventories consist of the following amounts:

	June 30, 2015		December 31, 2014
Materials and supplies	$	9,613	$	10,378
Coal—raw and saleable		851		174
Total	$	10,464	$	10,552

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Other, Net - Additional Information (Detail) - Jun. 30, 2015 - USD ($) $ in Thousands	Total	Total
Kentucky [Member] | Other, Net [Member]
Other Income Expense [Line Items]
Refund received	$ 4,482	$ 4,482

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Long-Term Debt - Additional Information (Detail) - USD ($)	6 Months Ended	12 Months Ended
	Jun. 30, 2015	Dec. 31, 2014	Dec. 21, 2012
Debt Instrument [Line Items]
Long-term debt	$ 206,362,000	$ 203,889,000
11.75% Senior Secured Notes due 2019 [Member]
Debt Instrument [Line Items]
Interest rate on notes	11.75%		11.75%
Debt instrument maturity year	2019	2019
Notes issued at an original issue discount			96.567%
Unamortized original issue discount	$ 5,018,000	$ 5,430,000
Proceeds to prepay and terminate debt issuance	123,698,000
Proceeds to pay fees and expenses	8,358,000
2012 Credit Facility [Member]
Debt Instrument [Line Items]
Credit facility	50,000,000
Credit facility, available for borrowings	$ 19,946,000
Revolving credit facility, expire date	Dec. 21, 2017
Revolving credit facility, period	5 years
Deferred finance fees	$ 1,198,000
Credit facility, amount outstanding	0	$ 0
Swingline Loan Sub-Facility [Member] | 2012 Credit Facility [Member]
Debt Instrument [Line Items]
Credit facility	5,000,000
Debt Offering Amount [Member] | 11.75% Senior Secured Notes due 2019 [Member]
Debt Instrument [Line Items]
Long-term debt			$ 200,000,000
Letter of Credit [Member] | 2012 Credit Facility [Member]
Debt Instrument [Line Items]
Credit facility	$ 10,000,000

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Unaudited Condensed Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Statement of Comprehensive Income [Abstract]
Net income (loss)	$ 894	$ (4,138)	$ (14,360)	$ (9,438)
Other comprehensive income:
Postretirement benefit plan and other employee benefit obligations, net of tax of zero	104	26	209	52
Other comprehensive income	104	26	209	52
Comprehensive income (loss)	998	(4,112)	(14,151)	(9,386)
Less: Comprehensive income (loss) attributable to non-controlling interest	0	0	0	0
Comprehensive income (loss) attributable to common stockholders	$ 998	$ (4,112)	$ (14,151)	$ (9,386)

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Description of Business and Entity Structure

6 Months Ended

Jun. 30, 2015

Accounting Policies [Abstract]

Description of Business and Entity Structure

1. DESCRIPTION OF BUSINESS AND ENTITY STRUCTURE

Business

The accompanying unaudited condensed consolidated financial statements include the accounts of Armstrong Energy, Inc. and its subsidiaries and controlled entities (collectively, the Company or AE). The Company’s primary business is the production of thermal coal from surface and underground mines located in western Kentucky, for sale to utility and industrial markets. Intercompany transactions and accounts have been eliminated in consolidation.

The Company’s wholly-owned subsidiary, Elk Creek GP, LLC (ECGP), is the sole general partner of and has an approximate 0.2% ownership in Thoroughbred Resources, L.P. (Thoroughbred) (formerly Armstrong Resource Partners, L.P.). The various limited partners of Thoroughbred are related parties, as the entity is majority owned by investment funds managed by Yorktown Partners LLC (Yorktown), which has a majority ownership in the Company. The Company does not consolidate the financial results of Thoroughbred and accounts for its ownership in Thoroughbred under the equity method.

The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (U.S. GAAP) for interim financial reporting and U.S. Securities and Exchange Commission (SEC) regulations. In the opinion of management, all adjustments consisting of normal, recurring accruals considered necessary for a fair presentation have been included. Balance sheet information presented herein as of December 31, 2014 has been derived from the Company’s audited consolidated balance sheet at that date. Results of operations for the three and six months ended June 30, 2015 are not necessarily indicative of results to be expected for the year ending December 31, 2015. Certain prior year amounts have been reclassified to conform with the 2015 presentation. These financial statements should be read in conjunction with the audited financial statements and related notes as of and for the year ended December 31, 2014 included in the Company’s Annual Report on Form 10-K filed with the SEC.

Recent Accounting Pronouncements

In April 2015, the Financial Accounting Standards Board (FASB) issued guidance requiring an entity to present debt issuance costs on the balance sheet as a direct deduction from the related debt liability as opposed to an asset. Amortization of the costs will continue to be reported as interest expense. The update is effective for annual reporting periods (including interim reporting periods within those periods) beginning after December 15, 2015. Early adoption is permitted for financial statements that have not been previously issued, and the new guidance would be applied retrospectively to all prior periods presented. The adoption of this standard update is not expected to have a material impact on the Company’s consolidated financial statements.

In August 2014, the FASB issued guidance on management’s responsibility in evaluating, at each annual and interim reporting period, whether there is substantial doubt about an entity’s ability to continue as a going concern and to provide related footnote disclosures. The new guidance is effective for the annual period ending after December 15, 2016, and for annual periods and interim periods thereafter with early adoption permitted.

In May 2014, the FASB issued a comprehensive revenue recognition standard that will supersede nearly all existing revenue recognition guidance under U.S. GAAP. The standard requires revenue to be recognized when promised goods or services are transferred to a customer in an amount that reflects the consideration expected in exchange for those goods or services. The standard permits the use of either the full retrospective or modified retrospective transition method. This guidance is effective for annual and interim reporting periods beginning after December 15, 2017, with early adoption permitted to the original effective date of December 15, 2016. The Company is currently evaluating the impact of this new pronouncement on its financial statements.

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Accrued and Other Liabilities (Tables)

6 Months Ended

Jun. 30, 2015

Payables and Accruals [Abstract]

Summary of Accrued and Other Liabilities

Accrued and other liabilities consist of the following amounts:

	June 30, 2015		December 31, 2014
Payroll and related benefits	$	8,185	$	7,661
Taxes other than income taxes		5,592		4,588
Interest		1,004		991
Asset retirement obligations		2,587		342
Royalties		645		691
Other		2,871		2,844
Total	$	20,884	$	17,117

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Related Party Transactions - Additional Information (Detail) $ in Thousands, T in Millions	1 Months Ended	3 Months Ended		6 Months Ended
	Feb. 28, 2014 T	Jun. 30, 2015 USD ($)	Jun. 30, 2014 USD ($)	Jun. 30, 2015 USD ($) $ / Ton	Jun. 30, 2014 USD ($)	May. 01, 2015 USD ($)	Dec. 31, 2014 USD ($)	Oct. 01, 2014 USD ($)	Jan. 31, 2014
Related Party Transaction [Line Items]
Income from Equity Method Investments				$ 76	$ 15
Contingent interest rate				7.00%
Long-term obligation to related party		$ 129,515		$ 129,515			$ 110,713
Executive Employee [Member]
Related Party Transaction [Line Items]
Royalty expense		$ 173	$ 211	$ 338	413
Lease Period				20 years
Compensation to key executive employee | $ / Ton				0.05
Life of the agreement				The agreements remain in effect for the later of 20 years from the date of the agreement or until all salable coal has been extracted.
Elk Creek General Partner [Member]
Related Party Transaction [Line Items]
Equity method ownership percentage		0.20%		0.20%
Thoroughbred Resources LP [Member]
Related Party Transaction [Line Items]
Equity method ownership percentage		1.10%		1.10%					0.90%
Income from Equity Method Investments		$ 41	9	$ 76	15
Contingent interest rate				9.20%
Long-term obligation to related party		129,515		$ 129,515			$ 110,713
Interest expense for long term obligation		3,139	1,837	5,636	3,664
Royalty expense		2,053	2,240	$ 4,054	4,264
Lease Period	10 years
Lease Extension, Lease Period	10 years
Quantity of coal reserve included in Sublease transaction | T	198
Thoroughbred Resources LP [Member] | Undivided Interest [Member]
Related Party Transaction [Line Items]
Amortization of long term lease obligation, terms				A long-term obligation has been established that is being amortized over the anticipated life of the mineral reserves, at an annual rate of 7% of the estimated gross revenue generated from the sale of the coal originating from the leased mineral reserves.
Undivided interest transferred by the company								7.97%
Additional undivided interest in certain leased and owned land and mineral reserves						12.10%		3.85%
Forgiveness of amount due						$ 18,172		$ 8,202
Consideration received from sale of land and mineral resources						$ 18,172		$ 8,202
Thoroughbred Resources LP [Member] | Administrative Services Agreement [Member]
Related Party Transaction [Line Items]
Compensation received from related party		$ 300	$ 253	$ 600	$ 507
Muhlenberg and Ohio [Member] | Thoroughbred Resources LP [Member] | Undivided Interest [Member]
Related Party Transaction [Line Items]
Undivided interest transferred by the company		61.38%		61.38%			49.28%

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Accumulated Other Comprehensive Loss

6 Months Ended

Jun. 30, 2015

Equity [Abstract]

Accumulated Other Comprehensive Loss

11. ACCUMULATED OTHER COMPREHENSIVE LOSS

Changes in accumulated other comprehensive loss, net of tax, for the six months ended June 30, 2015 consisted of the following:

	Postretirement Benefit Plan and Other Employee Benefit Obligations			Accumulated Other Comprehensive Loss
Balance as of December 31, 2014	$	(3,741	)	$	(3,741	)
Other comprehensive loss before reclassifications		—			—
Amounts reclassified from accumulated other comprehensive loss		209			209
Net current-period accumulated other comprehensive loss		(3,532	)		(3,532	)
Balance as of June 30, 2015	$	(3,532	)	$	(3,532	)

The following is a summary of reclassifications out of accumulated other comprehensive loss for the three and six months ended June 30, 2015 and 2014:

Details about Accumulated Other Comprehensive Income (Loss) Components	Affected Line Item in the Condensed Consolidated Statement of Operations	Amounts Reclassified from Accumulated Other Comprehensive Loss For the Three Months Ended June 30,
		2015			2014
Amortization of prior service cost associated with postretirement benefit plan and other employee benefit obligations	Cost of coal sales	$	(104	)	$	(26	)
			(104	)		(26	)
Income taxes			—			—
Total reclassifications		$	(104	)	$	(26	)
Details about Accumulated Other Comprehensive Income (Loss) Components	Affected Line Item in the Condensed Consolidated Statement of Operations	Amounts Reclassified from Accumulated Other Comprehensive Loss For the Six Months Ended June 30,
		2015			2014
Amortization of prior service cost associated with postretirement benefit plan and other employee benefit obligations	Cost of coal sales	$	(209	)	$	(52	)
			(209	)		(52	)
Income taxes			—			—
Total reclassifications		$	(209	)	$	(52	)