INVENTORIES:

Inventory components consist of the following:



	September 30, 2017		December 31, 2016
Coal	$	9,498	$	7,800
Supplies	42,506		42,361
Total Inventories	$	52,004	$	50,161

Inventories are stated at the lower of cost or net realizable value. The cost of coal inventory is determined by the first-in, first-out (“FIFO”) method and includes labor, supplies, equipment costs, operating overhead, depreciation, depletion and amortization, and other related costs. The cost of supplies inventory is determined by the average cost method and includes operating and maintenance supplies to be used in the Company's coal operations.