Salt River project's proposed Fence Lake mine
— Kenneth W. Rodgers

Salt River Project's (SRP's) proposed Fence Lake Mine is situated in the Salt Lake coal field 14 mi northwest of Quemado, New Mexico. The coal will serve as fuel primarily for SRP's coal- fired Coronado Generating Station, located approximately 6 mi northeast of St. Johns, Arizona. Coal delivery will be provided by rail, necessitating the construction of approximately 45 mi of new line. A Surface Coal Mine Permit Application was submitted to the New Mexico Mining and Minerals Division on November 1, 1993. Initial coal production is scheduled for the end of 1997. Projected mine life is 40 years with an estimated total coal production of 81.3 million tons. The Cerro Prieto coal zone of the Moreno Hill Formation (Upper Cretaceous) will be mined. From the exploration drilling data, two previously unmapped faults have been detected.