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BNSF sues federal regulator over coal shipment mandate

August 3, 2023

Western U.S. Class I railway BNSF is suing the Surface Transportation Board for compelling BNSF via a mandate to ship more coal from Navajo Transitional Energy Co.’s (NTEC’s) mine in Montana.

The 5th U.S. Circuit Court of Appeals in New Orleans received BNSF’s petition on July 26. BNSF’s headquarters in Fort Worth, Texas, is within the 5th Circuit’s jurisdiction.

BNSF (NYSE: BRK-B) didn’t lay out its argument for why it’s suing STB in its filing to the court. However, the railway did say through its attorneys that it believed that STB’s mandate was “contrary to law, in excess of the STB’s statutory authority, arbitrary and capricious, an abuse of discretion, unsupported by substantial evidence, and otherwise not in accordance with law.”

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