Dry, random size, mine run coal fines are mixed with a concentrated liquor by-product (e.g. ammonium lignin sulfonate liquor, 40-60% solids by weight) of a sulfite paper making process of an amount sufficient to merely wet the coal fines such that they will hold shape when compressed. The wet coal fines are formed into large shapes (e.g. cylindrical logs or rectangular blocks) and the shapes are compressed. The wet coal fines are hopper fed into mold cavities and within the mold cavities are subjected to pressures within the range of 2,000-3,000 psi. The dried shapes are coated with a wax substance.