Lehigh Coal Mine Company

Lehigh Coal & Navigation Company

Company type	Private
Industry	Mining, Transportation, Manufacturing
Founded	1818
Founder	Erskine Hazard, Josiah White, George F. A. Hauto
Defunct	1964
Headquarters	Mauch Chunk (now Jim Thorpe), Pennsylvania , United States
Area served	Northeastern United States
Key people	Erskine Hazard, Josiah White, George F. A. Hauto
Products	Anthracite coal, steel products, wire rope

Lehigh Coal & Navigation Company was a mining and transportation enterprise based in Mauch Chunk (currently Jim Thorpe, Pennsylvania), active from 1818 until 1964. It significantly influenced the American Industrial Revolution and became the first U.S. company to integrate mining, transportation, and manufacturing operations under one organization.

18th century

Anthracite coal was discovered in 1791 by hunter Philip Ginter near what is now Summit Hill, Pennsylvania, situated on the boundary between Schuylkill and Carbon counties. Ginter disclosed the location to Colonel Jacob Weiss, who promised him 300 acres in exchange for revealing the exact site. Weiss then obtained validation of the claim from notable investors John Nicholson, Michael Hillegas, and Charlie Cist. Although Ginter’s claim was initially complicated by land disputes, these investors became the founding financiers of the Lehigh Coal & Navigation Company (LCMC) in 1792.

Initially, management was remote and lacked efficiency. The company endeavored to extract anthracite coal and transport it using mule teams to the Lehigh River. They constructed rudimentary arks at Lausanne Landing to traverse river rapids en route to Easton, Pennsylvania. While these efforts met with limited success, they established a foundation for LCMC’s later operational control after acquiring rights from its predecessor, the Lehigh Coal Company.

Lehigh Coal Mine Company

The Lehigh Coal Mine Company (LCMC) was established in 1792 by Michael Hillegas, Jacob Weiss, and John Nicholson. It was officially incorporated in 1793 and acquired approximately 10,000 acres around Panther Creek Valley and Pisgah Mountain. The company’s business model involved transporting anthracite coal from deposits near present-day Summit Hill to Philadelphia by mule trains that delivered coal to arks on the Lehigh and Delaware rivers.

Mining sites were situated over nine miles from the Lehigh River at Mauch Chunk. From 1792 through 1814, LCMC sold all mined coal to expanding markets but suffered considerable financial losses due to difficulties navigating the unimproved Lehigh River. Attempts to enhance river navigation proved expensive and were often abandoned.

Eventually, some coal was sold to Josiah White and Erskine Hazard, proprietors of a wire mill near Philadelphia. Recognizing the coal’s quality, White and Hazard purchased LCMC’s final two remaining barges. This transaction contributed to the advancement of transportation infrastructure vital for the regional coal industry’s expansion.

19th century

In 1818, industrialists Erskine Hazard, Josiah White, and George F. A. Hauto established two companies: the Lehigh Navigation Company and the Lehigh Coal Company, with objectives to construct the Lehigh Canal and mine coal on lands formerly owned by LCMC. After acquiring Hauto’s interest in 1820, Hazard and White merged these entities into the Lehigh Coal and Navigation Company (LC&N). Their strategy aimed at ensuring a consistent supply of coal for foundries and mills—including their own operations along the Schuylkill River—thereby driving regional industrial development through overcoming substantial engineering obstacles.

The Lehigh Canal became operational by 1820 and underwent expansions throughout that decade, serving as a vital conduit for transporting anthracite coal to major Northeastern U.S. markets. By the early 1830s, it inspired four additional regional canal projects, enhancing LC&N’s market dominance and securing its competitive edge in bulk freight transportation.

LC&N’s pioneering efforts ignited America’s Canal Age and attracted investments into raw materials extraction and transport infrastructure. The company supported ventures such as the Schuylkill Canal and pioneered railroad projects like the Lehigh and Susquehanna Railroad, broadening its logistical reach through subsidiaries and branch lines. Innovations including the Ashley Planes further integrated its transportation network.

Dominating anthracite coal mining in Southern Pennsylvania’s Coal Region, LC&N achieved vertical integration by introducing blast furnace technology for steel production within the Lehigh Valley. This steel supplied their wire rope manufacturing—the nation’s first—used extensively in mining operations and cable railways.

In 1822, LC&N consolidated multiple interconnected companies in a landmark merger that reinforced its corporate framework. By 1827, it constructed the Mauch Chunk and Summit Hill Railroad—the second railroad built in America—enhancing coal shipment efficiency and expanding its transportation business model.

Founded by entrepreneurs White and Hazard alongside miner Hauto, LC&N’s visionary leadership revolutionized coal logistics and industrial supply chains. Known locally as the "Old Company," it established foundational standards for industrial infrastructure that influenced subsequent enterprises within the region’s energy and transportation industries.

Lehigh Coal Company

White and Hazard encountered skepticism from investors regarding their mining ventures and enhancements at Summit Hill, with many questioning the feasibility of coal extraction in the area. To attract further capital, they established two entities: the Lehigh Coal Company (LCC) and the Lehigh Navigation Company, simultaneously seeking legislative endorsement to improve navigation along the Lehigh River.

In 1817, they secured a lease on the Lehigh Coal Mine properties and officially incorporated the Lehigh Coal Company on October 21, 1818. They requested authorization to upgrade the river’s navigability, backed by numerous prior legislative acts. By 1820, White and Hazard had bought out their partner Hauto and subsequently dissolved LCC on April 21, merging all operations into a single entity.

Opinions were divided over their efforts to control the Lehigh River and extract coal from its vicinity. Nevertheless, funding was successfully raised on three occasions to enhance river navigation. By 1820, partial navigability was attained four years ahead of projections, with coal transported via mule-drawn tracks from Summit Hill to a loading chute located at the slack water pool near Mauch Chunk.

The two companies combined to form the Lehigh Coal & Navigation Company, incorporating innovations from the American Canal Era such as canals, locks, and railways to move coal efficiently to foundries and markets in Philadelphia and beyond. On March 20, 1818, Pennsylvania granted them authority to operate boats carrying up to ten tons of coal. The state retained the right to implement a full slack-water navigation system extending from Easton to Stoddartsville if service standards were not met.

Capital was raised with shareholders overseeing the potential of the Lehigh River. While improvements to the river appeared promising, the nine-mile route connecting river to mines was considered challenging due to rough terrain. Public sentiment was mixed; some investors valued river enhancements despite doubts about mining prospects, while others believed substantial profits awaited those who supported mining operations.

This environment led to the creation of America’s first interlinked companies: the Lehigh Navigation Company with $150,000 in capital and the Lehigh Coal Company with $55,000. The Navigation Company focused on constructing dams and retaining walls; meanwhile, the Coal Company built America’s first graded roadway—a precursor to railway engineering principles. To manage water shortages, White developed sluice gates linking pools for a reserve water supply.

By 1819, a navigable water depth was secured between Mauch Chunk and Easton. Eventually, these two enterprises merged into the Lehigh Coal and Navigation Company. By 1823, they had transported over two thousand tons of coal to market, marking an early milestone in regional coal transport and infrastructure expansion.

Lehigh Navigation Company

White and Hazard demonstrated engineering leadership by constructing the world’s first iron wire suspension bridge over the Schuylkill River while collaborating with industrial partners to secure anthracite coal sources. To facilitate efficient coal transport, they negotiated navigation rights along the difficult Lehigh River and formed the Lehigh Navigation Company around 1817–18. Their strategic goal was consistent delivery of barge shipments of coal to Philadelphia by 1824, addressing previous supply disruptions caused by mismanagement within the Lehigh Coal Mine Company (LCMC), which had been unable to compete with less expensive imported bituminous coal.

After receiving state approval in 1818, substantial investments were made in locks, dams, and innovative water control gates designed to enhance river navigation. Under Josiah White’s direction, pioneering engineering techniques—such as artificial freshets and hydrostatic "bear trap" locks—ensured dependable coal transport despite seasonal drought conditions. Infrastructure improvements included mule trails connecting Summit Hill mines as well as boat-building and docking facilities near Jim Thorpe (formerly Mauch Chunk).

Within two years, White and Hazard successfully implemented a descending navigation system that allowed efficient movement of coal barges from Summit Hill and Panther Creek into market channels. By early 1819, operations surpassed initial expectations with regular shipments established by 1820. Coal tonnage escalated rapidly—from 365 short tons in 1820 to more than 40,000 short tons by 1831—reflecting notable business expansion and market impact.

In 1820, after acquiring George Hauto’s shares, White and Hazard consolidated their holdings by merging the navigation company with the Lehigh Coal Company. This merger unified control over approximately 10,000 acres spanning three valleys near Jim Thorpe and Tamaqua. The combined entity—Lehigh Coal & Lehigh Navigation established in 1822—streamlined operations and strengthened their competitive position in anthracite coal transportation and supply chains.

Diversified Business Activities

Between 1822 and 1865, managers White and Hazard implemented forward-thinking approaches aimed at expanding the company’s operations and enhancing profitability. They adopted vertical integration to better manage expenses and improve financial returns. The firm consistently allocated capital to nascent enterprises, either funding their development or acquiring them once these ventures showed promising strategic advantages.

Grand Lehigh Canal – Upper Canal Segment

The devastating flood on June 6, 1862, revealed a major weakness in White’s canal infrastructure. The dams and locks formed large reservoirs that, when overwhelmed by heavy rainfall, released catastrophic floods resulting in considerable fatalities. John J. Leisenring Jr., Superintendent of LCN & Co., estimated approximately 200 deaths along the stretch from White Haven to Lehighton. Following this tragedy, state authorities prohibited the company from reconstructing that portion of the canal.

Railroad Enterprises

Key source

Summit Hill and Mauch Chunk Railroad

In 1827, the company swiftly established a 9.2-mile gravity railroad known as the Mauch Chunk and Summit Hill Railroad, recognized as the second railroad in the United States. Constructed along a mule path previously surveyed by White, this line efficiently moved coal from mining sites to river barges using wooden ties and rolled iron rails.

This railroad featured pioneering elements such as stone ballast, track switches, and trains consisting of six to fourteen cars each carrying roughly 1.5 tons. Initially running two to three trips daily, operations expanded to continuous service including nighttime runs illuminated by lanterns due to rising demand. Subsequent engineering enhancements drastically shortened return times, boosting capacity more than twelvefold.

Terminating at Mauch Chunk near today’s North Avenue, the line connected directly with canal loading docks situated over 200 feet above the waterway—critical infrastructure underpinning the company’s coal transportation strategy.

Room Run Railroad

The Room Run Railroad was a brief rail spur constructed by Josiah White originating from a ravine within the Nesquehoning Valley.

Non-Railroad Operations

From 1821 through 1823, partners acquired valuable knowledge regarding ice-related damage and canal construction challenges, acknowledging certain winter damages were unavoidable. To finance necessary repairs in 1821, the enterprise restructured into the Lehigh Coal & Navigation Company, acquiring George Hauto's interest and consolidating majority control with White and Hazard after personally funding most restoration efforts. In 1823, the upper four locks of the Lehigh Navigation were reconstructed as experimental models featuring wide bi-directional lock chambers.

In 1823, White suggested constructing a two-way canal for ships and steam tugs running from Mauch Chunk to Philadelphia via the Lehigh and Delaware rivers; however, this proposal was declined in 1824 when the state committed to building the Delaware Canal. The company faced substantial expenses creating coal arks and depleting timber resources for single-use vessels amid ongoing state delays.

• Delaware Division Canal Company – After the state's poorly executed canal experienced severe leakage following its 1831 inauguration, Josiah White was enlisted for repairs. By 1834, his corrections enabled operational commencement under Lehigh Coal & Navigation Company management. This led to formation of the Lehigh Navigation Coal Company, a subsidiary overseeing both canals into the 1930s with autonomous administration.

The Lehigh Navigation Coal Company controlled vast coal holdings—approximately 8,000 acres extending from Jim Thorpe to Tamaqua—and operated three railroads leased to the Central Railroad of New Jersey that generated revenue exceeding $2 million annually. Its rail lines linked major coal mines and cement factories, fostering significant commercial expansion. Alongside ownership of 45,000 acres in the Poconos and considerable equity in National Power and Light Co., the company exhibited robust financial results and influential market presence during this era.

Mill Parks

Before the 1815 legislation granting right-of-way and the takeover of the struggling LCMC operations, founders White and Hazard—originally owners of mills and foundries—acted promptly to secure fuel sources for their enterprises. In 1814, they invested in the competing Schuylkill Canal, but their enthusiasm waned due to inadequate planning and funding delays; unlike their own company, which pioneered earlier development, the Schuylkill Canal only began operations in 1823. White demonstrated engineering ingenuity by inventing the Bear Trap lock-gate system, which generated controlled artificial floods to facilitate navigation through rapids. His surveys of the Lehigh River pinpointed optimal waterpower locations for mills, further supported by legislation granting the LNC ownership rights over the river until 1964.

After initial canal enhancements and financial setbacks caused by damage during 1821–1822, White and Hazard sought new investment, leading to the dissolution of both the LCC and LNC and the formation of the Lehigh Coal & Navigation Company. Utilizing their expertise from projects on the Little Schuylkill River, they transformed waterpower sites into industrial parks. By 1840, the Abbott Street district near Lock 47 (currently within Hugh Moore Park in Easton, Pennsylvania) employed upwards of 1,000 workers across nearly twelve factories, driving industrial expansion in Allentown and Bethlehem. This area also connected with the Delaware Canal, which came under company management after 1834.

Upper Lehigh Canal

Following revisions to the Main Line of Public Works in 1837 that granted eminent domain authority, the Lower Lehigh Navigation extended further upriver via the Upper Lehigh Canal through the Lehigh Gorge, stretching from Jim Thorpe to White Haven. Completed in 1843, this extension boasted the largest freight capacity of any canal in the United States at that time.

Lehigh and Susquehanna Railroad

To connect with the Susquehanna River at Pittston, the company established a subsidiary railroad that overcame difficult terrain using a cable railroad system known as the Ashley Planes. Double-tracked rail lines linked Ashley to Pittston’s barge docks and interfaced with seven major railroads facilitating anthracite coal transport. The Ashley Planes summit connected to a rail yard at Mountain Top, Pennsylvania, featuring a steep double-track branch line to White Haven. Here, loading docks integrated multiple transport modes feeding an extension of the Lehigh Canal through the challenging terrain of Lehigh Gorge.

Backed by political support aiming to connect Philadelphia and the Delaware River with coal fields in Wyoming Valley and along the Susquehanna River, the company created the Lehigh and Susquehanna Railroad with eminent domain powers. Both LC&N’s Lehigh Navigation and L&SRR ultimately extended upriver through Lehigh Gorge from Jim Thorpe to White Haven, significantly strengthening their role in coal transportation markets.

Other railroads

Between the late 1820s and mid-1830s, industrial leaders across Pennsylvania, Delaware, and South Jersey sought to link their manufacturing centers with markets beyond the Appalachians. To compete against rivals like the B&O Railroad and Erie Canal, they initiated the Main Line of Public Works, designed to support manufacturers within the Delaware Valley region.

The company developed several strategic short line railroads as joint ventures to overcome complex engineering challenges. These lines—including their original railway, the Mauch Chunk & Summit Hill Railway—were consolidated under the Lehigh and Susquehanna Railroad, which became a holding entity overseeing critical rail corridors across northeastern Pennsylvania.

Subsidiary shortlines

• Nesquehoning & Mahanoy Railroad: Drawing on experience transporting freight along both the Lehigh River and across the Delaware River, this line addressed logistical constraints in Panther Creek Valley. It featured a seven-mile ascent through Nesquehoning Ridge connecting near Hazelton and Mahanoy Creek valleys before reaching Tamaqua, Pennsylvania. The tracks extended along Schuylkill Valley servicing industries in Reading, Pennsylvania.
• Panther Creek Railroad: Constructed to access coal deposits located approximately five to six miles eastward up Panther Creek Valley from Tamaqua.
• Hauto Tunnel: To alleviate expensive steep-grade shipping on Nesquehoning line routes, a mile-long tunnel was built through Nesquehoning Ridge directly into downtown Lansford, Pennsylvania, which briefly served as corporate headquarters. This tunnel provided three distinct coal transport routes from mines situated on Pisgah Ridge and Nesquehoning Mountain until divesting the Mauch Chunk Switchback Railway, which thereafter operated primarily as a tourist attraction—the world’s first roller coaster.

Lehigh and New England Railroad

By acquiring the Lehigh and New England Road, the company eliminated the need to lease trackage rights from CNJ, transferring those rights to its newly formed subsidiary. This move improved operational oversight and simplified management of its regional rail operations.

Decline

Lehigh Navigation ceased operations in 1932 after maintenance expenses surpassed the revenue generated from operations.

By the mid-1900s, Lehigh Coal & Navigation Company had become increasingly dependent on income from coal, while its subsidiaries engaged in railroads and other ventures remained more lucrative. The drop in coal demand—caused by the rise of diesel engines and alternative heating sources—led to a sharp decline in profitability. Corporate boards supervised a gradual reduction of activities and divestiture of assets. In 1966, Greenwood Stripping Co. purchased the remaining coal holdings in Panther Creek Valley, later selling them to Bethlehem Mines Corp. in 1974.

In 1986, following the sale of its final business unit, Cella's Chocolate Covered Cherries, to Tootsie Roll, shareholders voted to dissolve the company.

New company

The brand name continued through a separate company established in 1988 under former executive James J. Curran Jr., who acquired Lehigh Coal from Bethlehem Mines in 1989. Throughout the 1990s, this entity remained the leading anthracite producer in the United States, serving a specialized market.

Due to declining coal prices, the company shut down in 2000 and laid off 163 workers. It resumed operations in 2001 with financial support from a $9 million loan provided by the U.S. Department of Agriculture. Confronted with bankruptcy once more in 2010, it was acquired at auction by BET Associates, linked to Toll Brothers. As of mid-2013, mining activities persisted at company-owned sites located between Lansford and Nesquehoning.

External links

• Switch-Back Gravity Railroad: A collection of exclusive photographs documenting Lehigh Coal & Navigation's Mauch Chunk Switchback Railway, distinguished as North America's second continuously running railroad, the pioneer passenger-carrying railway with paying customers, and acknowledged as the first tourism railway and roller coaster that inspired The Switchback amusement ride.