The closing of Dotiki, operated by the miner's Webster County Coal subsidiary and in operation since 1969, will allow the company to place its focus on maximising production at other lower-cost mines in the region.
"Unfortunately, weak market conditions made this action necessary," chairman, president and CEO Joseph Craft III said of the Providence, Kentucky, room-and-pillar operation.
Alliance will reclaim its equipment and infrastructure after production ceases, a phase that extends for an indeterminate time, according to the executive.
Dotiki, which produced 2.5 million short tons (2.3 million tonnes) in 2018, was the oldest active coal operation in Alliance's portfolio.
In all, Alliance has eight mining complexes in Illinois, Indiana, Kentucky, Maryland and West Virginia, and a coal loading terminal on the Ohio River at Mount Vernon, Indiana.