Westmoreland Prices Additional Senior Secured Note Offering

Westmoreland Coal Company (NasdaqGM:WLB) today announced that it,
together with Westmoreland Partners, its indirect wholly-owned
subsidiary, as co-issuer, priced its offering of $125 million principal
amount of 10.75% Senior Secured Notes due 2018 (the 'Notes?) at a price
equal to 95.4916% of their face value. The Notes will be additional
notes to the already outstanding $150 million principal amount of
existing 10.75% Senior Secured Notes due 2018. The Notes offering is
expected to close on or about January 31, 2012, concurrently with the
closing of the previously announced acquisition of the Kemmerer Mine,
which closing is subject to certain customary conditions and approvals.

The proceeds from the offering of the Notes will be used primarily to
finance the acquisition of the Kemmerer Mine. We expect to use $74.4
million as cash consideration for the acquisition and approximately
$27.0 million for reclamation bonding collateral for the Kemmerer Mine.
The remainder will be used to fund the Kemmerer Mine′s initial working
capital, to pay all estimated transaction fees and expenses incurred in
connection with this offering, and for general corporate purposes.

The Notes will be sold only to qualified institutional buyers in the
United States in reliance on Rule 144A under the Securities Act of 1933,
as amended (the 'Securities Act?), and outside the United States to
non-U.S. persons in reliance on Regulation S under the Securities Act.
The issuance of the Notes will not be registered under the Securities
Act, and may not be offered or sold in the United States absent
registration under the Securities Act or an applicable exemption from
the registration requirements of the Securities Act. This press release
shall not constitute an offer to sell, or the solicitation of an offer
to buy, any securities, nor shall there be any sale of securities
mentioned in this press release in any state in which such offer,
solicitation or sale would be unlawful prior to registration or
qualification under the securities laws of any such state.

Forward-Looking Information

This press release contains 'forward-looking? statements.
Forward-looking statements reflect current expectations and projections
about future events, and thus involve uncertainty and risk. It is
possible that future events, including whether the offering is completed
on the terms specified or at all, may differ from expectations due to a
variety of risks and other factors such as market conditions. It is not
possible to foresee or identify all such factors. Any forward-looking
statements in this press release are based on certain assumptions and
analyses made in light of Westmoreland′s experience and perception of
historical trends, current conditions, expected future developments, and
other factors it believes are appropriate in the circumstances.
Forward-looking statements are not a guarantee of future performance and
actual results or developments may differ materially from expectations.
Westmoreland does not intend to update any particular forward-looking
statements contained in this press release.

About Westmoreland Coal Company

Westmoreland Coal Company is the oldest independent coal company in the
United States. The Company′s coal operations include coal mining in the
Powder River Basin in Montana and lignite mining operations in Montana,
North Dakota and Texas. Its power operations include ownership of the
two-unit ROVA coal-fired power plant in North Carolina. For more
information, visit www.westmoreland.com.

Westmoreland Coal Company

Kevin Paprzycki, 855-922-6463