Ownership Submission
FORM 3
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

INITIAL STATEMENT OF BENEFICIAL OWNERSHIP OF SECURITIES

Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934, Section 17(a) of the Public Utility Holding Company Act of 1935 or Section 30(h) of the Investment Company Act of 1940
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(Print or Type Responses)
1. Name and Address of Reporting Person *
  NEMEC JIRI
2. Date of Event Requiring Statement (Month/Day/Year)
01/23/2006
3. Issuer Name and Ticker or Trading Symbol
PEABODY ENERGY CORP [BTU]
(Last)
(First)
(Middle)
701 MARKET STREET
4. Relationship of Reporting Person(s) to Issuer
(Check all applicable)
_____ Director _____ 10% Owner
__X__ Officer (give title below) _____ Other (specify below)
Group VP - U.S. Eastern Ops.
5. If Amendment, Date Original Filed(Month/Day/Year)
(Street)

ST. LOUIS, MO 63101-1826
6. Individual or Joint/Group Filing(Check Applicable Line)
_X_ Form filed by One Reporting Person
___ Form filed by More than One Reporting Person
(City)
(State)
(Zip)
Table I - Non-Derivative Securities Beneficially Owned
1.Title of Security
(Instr. 4)
2. Amount of Securities Beneficially Owned
(Instr. 4)
3. Ownership Form: Direct (D) or Indirect (I)
(Instr. 5)
4. Nature of Indirect Beneficial Ownership
(Instr. 5)
Common Stock 178
D
 
Common Stock 9,822
I
By Family Trust

Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly. SEC 1473 (7-02)
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Table II - Derivative Securities Beneficially Owned (e.g., puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security
(Instr. 4)
2. Date Exercisable and Expiration Date
(Month/Day/Year)
3. Title and Amount of Securities Underlying Derivative Security
(Instr. 4)
4. Conversion or Exercise Price of Derivative Security 5. Ownership Form of Derivative Security: Direct (D) or Indirect (I)
(Instr. 5)
6. Nature of Indirect Beneficial Ownership
(Instr. 5)
Date Exercisable Expiration Date Title Amount or Number of Shares
Employee Stock Option (right to buy) 11/19/2007 05/19/2008 Common Stock 28,548 $ 7.145 D  
Employee Stock Option (right to buy) 07/01/2010 01/01/2011 Common Stock 33,708 $ 7.145 D  
Employee Stock Option (right to buy) 01/02/2006 01/02/2013 Common Stock 3,872 $ 14.595 D  
Employee Stock Option (right to buy) 01/02/2006(1) 01/02/2014 Common Stock 5,550 $ 20.975 D  
Employee Stock Option (right to buy) 01/03/2006(2) 01/03/2015 Common Stock 4,608 $ 38.655 D  
Employee Stock Option (right to buy) 04/19/2006(3) 04/19/2015 Common Stock 424 $ 44.24 D  
Employee Stock Option (right to buy) 07/20/2006(4) 07/20/2015 Common Stock 1,691 $ 61.01 D  
Employee Stock Option (right to buy) 01/03/2009 01/03/2016 Common Stock 9,079 $ 86.2 D  
Employee Stock Option (right to buy) 01/03/2007(5) 01/03/2016 Common Stock 8,070 $ 86.2 D  

Reporting Owners

Reporting Owner Name / Address Relationships
Director 10% Owner Officer Other
NEMEC JIRI
701 MARKET STREET
ST. LOUIS, MO 63101-1826
      Group VP - U.S. Eastern Ops.  

Signatures

Jiri Nemec By: Bryan L. Sutter, Attorney-in-Fact 01/30/2006
**Signature of Reporting Person Date

Explanation of Responses:

* If the form is filed by more than one reporting person, see Instruction 5(b)(v).
** Intentional misstatements or omissions of facts constitute Federal Criminal Violations. See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
(1) Of the 5,550 options, 2,775 vested on January 2, 2006 and 2,775 vest on January 2, 2007.
(2) Of the 4,608 options, 1,536 vested on January 3, 2006, 1,536 vest on January 3, 2007 and 1,536 vest on January 3, 2008.
(3) Of the 424 options, 142 vest on April 19, 2006, 141 vest on April 19, 2007 and 141 vest on April 19, 2008.
(4) Of the 1,691 options, 564 vest on July 20, 2006, 563 vest on July 20, 2007 and 564 vest on July 20, 2008.
(5) The options vest in three equal annual installments beginning January 3, 2007.

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