Massey produced about 1.2 million tons of high volatile metallurgical coal at the Upper Big Branch mine, Gagliano said.
Companies also may face higher costs in the months ahead as a result of stricter oversight and regulation from the federal Mine Safety and Health Administration.
"Unfortunately, this is not the first time accidents such as this have happened, and each time previously the aftereffect was meaningfully higher regulatory costs and increased challenges/delays in obtaining permits, particularly for smaller [central Appalachian] producers," Gagliano said.
The coal mining industry was battered during the recession when demand fell for steel and for electricity.
Coal stocks fell as much as 80 percent or more during the recession but more recently have traded near 52-week highs, driven by the comeback of the steel industry overseas, said Johnson Rice & Co. analyst Bill Burns.