The permeability of coal is an important parameter in mine methane control and coal bed methane exploitation because it determines the practicability of methane extraction. We developed a new coal permeability model under tri-axial stress conditions. In our model, the coal matrix is compressible and Biot's coefficient, which is considered to be 1 in existing models, varies between 0 and 1. Only a portion of the matrix deformation, which is represented by the effective coal matrix deformation factor , contributes to fracture deformation. The factor is a parameter of the coal structure and is a constant between 0 and 1 for a specific coal. Laboratory tests indicate that the Sulcis coal sample has an value of 0.1794 for and . The proposed permeability model was evaluated using published data for the Sulcis coal sample and is compared to three popular permeability models. The proposed model agrees well with the observed permeability changes and can predict the permeability of coal better than the other models. The sensitivity of the new model to changes in the physical, mechanical and adsorption deformation parameters of the coal was investigated. Biot's coefficient and the bulk modulus mainly affect the effective stress term in the proposed model. The sorption deformation parameters and the factor affect the coal matrix deformation term.