Posts Tagged ‘Coal mining’

ASX Company News: Resource Generation Secures Water Rights For Coal Mine

Monday, December 12th, 2011

Resource Generation Limited (RES), which is developing one of South Africa’s largest remaining coal deposits, has signed an agreement with the Lephalale Local Municipality (LLM) in Limpopo Province which will secure the water required for stage 2 of the company’s planned Boikarabelo mine. Under the contract, which is subject to a number of conditions, the company will construct, operate and maintain a wastewater treatment plant at Marapong, approximately 50 kilometres from Boikarabelo. This will treat municipal effluent and generate up to 16 megalitres of water per day, which will be pumped to the mine site via a new pipeline. Resource Generation has been working with LLM for two years on plans for the plant, which will provide LLM with essential infrastructure.

Paul Jury, Resource Generation’s managing director, said: ‘This agreement, which follows two years’ cooperative work with LLM, is another significant step in the development of our Boikarabelo mine. The plant will provide sufficient water to meet the medium- and long-term needs of the mine, including after the stage 2 expansion; importantly it will also provide the local municipality with essential infrastructure and environmental protection. This is the first of many activities we will be undertaking for the Limpopo community.’

The term of the agreement is 30 years from the date of grant of the water use licence by the Department of Water Affairs, subject to satisfaction of a number of conditions. The conditions include an environmental impact assessment being approved by relevant government departments by 28 February 2013, sufficient power supply being secured by LMM, and all other required government approvals (including NEMA approval) being obtained by 28 February 2013. An extension of time is possible should delays be experienced.

www.resgen.com.au

http://www.traderdealer.com.au/Fundamentals/res

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ASX Company News: Cougar Energy Enters Indonesian Coal Joint Venture

Tuesday, November 29th, 2011

Cougar Energy Ltd (CXY) is pleased to advise that it has signed a Memorandum of Understanding (MOU) with Indonesian mining company PT Medco Energi Mining Internasional (MedcoEnergi) to assess and identify coal deposits in Indonesia suitable for application of Underground Coal Gasification (UCG) technology, and to undertake the preparation of a preliminary study for their commercial development. The MOU also provides for the potential formation of a joint venture for development of these projects.

This MOU aligns Cougar Energy with a commercial partner of substance in Indonesia. MedcoEnergi, based in Jakarta, is a subsidiary of PT Medco Energi Internasional Tbk, a publicly listed company with a range of energy interests including domestic and international oil and gas operations, power generation and the development of downstream industries. MedcoEnergi shares with Cougar Energy the goal of bringing the UCG industry into the mainstream of energy supply in Indonesia.

Both MedcoEnergi and Cougar Energy see an immediate need for the provision of cheap and clean sources of power in Indonesia using local coal resources, which would potentially supplement MedcoEnergi affiliate’s current power generation capacity of around 200MW. The companies have already identified target coal resources and plan to progress the MOU goals rapidly.   This MOU is a significant addition to Cougar Energy’s announced plans for expansion and growth of its UCG businesses in Asia, which are focussed on the People’s Republic of China, Mongolia and Indonesia.

www.cougarenergy.com.au

http://www.traderdealer.com.au/fundamentals/cxy

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ASX Company News: Coalspur Mines To Develop Coal Transport With CN

Friday, November 11th, 2011

CN  and Coalspur Mines Limited (CPL) announced that they have signed a Memorandum of Understanding (MOU) under which they will develop a high-quality logistics supply chain to transport export thermal coal from Coalspur’s Vista Coal Project (Vista) near Hinton, Alberta, to Western Canadian ports starting in 2015. The MOU establishes the framework for an agreement that will accommodate Coalspur’s plan to commence coal production in 2015 at a rate of approximately 2.5 million tonnes per annum (Mtpa), rising to about 11.2 Mtpa by 2019.

CN will transport Vista production to west coast ports including Ridley Terminals Inc. (RTI), located at the Port of Prince Rupert, British Columbia. Coalspur recently signed a throughput agreement with RTI to handle up to 8.5 Mtpa of export coal at the terminal. CN and Coalspur will jointly design and build a rail siding at the Vista site capable of handling the loading of 175-car unit trains at a full capacity of gross weight on rail of 286,000 pounds per car. The two parties expect to negotiate a definitive transportation agreement in 2012, following completion of Coalspur’s ongoing Bankable Feasibility Study on Vista.

Jean-Jacques Ruest, CN executive vice-president and chief marketing officer, said: “CN will work closely with Coalspur to build an efficient and effective logistics process for its export coal. CN has developed a comprehensive, end-to-end supply chain strategy to manage coal flows from mines to west coast terminals. This approach, coupled with strong customer collaboration, will help Coalspur maximize sales opportunities in global markets.” Gene Wusaty, managing director and chief executive officer of Coalspur, said: “Rail is a critical link in connecting Vista’s coal to international markets and an agreement with North America’s most efficient rail carrier will help ensure a reliable and effective supply chain.”

Coalspur Mines Limited is a coal exploration and development company with more than 33,200 hectares of coal exploration leases located within the Hinton region of Alberta, Canada. Coalspur’s flagship coal project is the Vista Coal Project, which has the potential to be the largest export thermal coal mine in Canada. Coalspur’s goal is to serve growing coal demand in Asian Pacific Rim countries, including China, Japan and Korea.

www.coalspur.com

http://www.traderdealer.com.au/fundamentals/cpl

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ASX Company News: C@ Ltd Acquires Mongolian Coal Licences

Friday, October 28th, 2011

C @ Limited (CEO) is pleased to announce it has signed a conditional Share Sale Agreement whereby C @ will acquire all of the issued capital of BDBL LLC, a subsidiary of Peabody‐Winsway Resources LLC. BDBL was established to identify, acquire and develop coal projects in Southern Mongolia and at completion of the Agreement, will own eight coal licences in Mongolia.

Four of the licences are located in the Ongi River Basin in the Ovorhangay province and four are located  in  the  South  Gobi  Basin,  South  Gobi  province.  The licences  cover  a  total  area  of approximately 625km2. All of the licences have had limited exploration but offer considerable potential.  In consideration for the acquisition of 100% of BDBL, the Company shall pay Peabody‐Winsway US$7,870,000,  less  US$100,000  which  was  paid  on  20  April  2011  to  secure  exclusive  rights  in relation  to  the  Project  and  the  US$100,000  deposit  paid  on  signing  the  Agreement,  plus  any assessable value added tax that may be attributable to the sale of shares.

C  @  Managing  Director  Mark  Earley  said  the  acquisition  of  eight  highly  prospective  coal exploration  licences  represented  a  significant  and  exciting  opportunity  for  C  @  to  expand  the scale of its activities.  “The execution of this agreement means we are able to position ourselves in a major emerging coal  province.  We  have  already  identified  coking  coal  properties  in  Ovorhangay  and  will  now push ahead to confirm a JORC compliant resource by early next year.  “Recent drilling showed the potential for C @ to produce, at a minimum, a soft coking coal with low ash content.

To  support  the  mining  industry,  the  Mongolian  government  has  approved  plans  for  an  approximate 5700km long railway to be built in three stages. The first stage will see 1530km of track built from Nariin Sukhait in the South Gobi through the cities of Sainshand and Choybalsan into  Russia  connecting  to  the  existing  Russian  railway  line  system  that  extends  to  the  Russian Pacific ports of Zarubino, Vanino and Vladivostok. Construction  on  the  first  stage  of  the  railway  is  expected  to  commence  in  2012  and  work  on stage two is expected to start in 2015.

C @ Limited is an ASX‐listed company currently engaged in supplying wholesale optical frames and lenses to opticians.

www.cnow.com.au

http://www.traderdealer.com.au/fundamentals/ceo

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ASX Company News: Aston Resources Sells Stake In Maules Creek

Tuesday, October 4th, 2011

Aston Resources Ltd (AZT) has entered into a conditional agreement with J-Power Australia Ltd for the sale of a 10% stake in the Maules Creek Project for A$370 million payable in a single transaction upon completion. The transaction includes a long term thermal coal sales agreement between the Maules Creek Joint Venture and Electric Power Development Co. Ltd. The commercial terms of the offtake agreement are market based including premiums for higher energy and lower ash content. The proposed offtake commences in 2014 for an initial period of 10 years with sales gradually ramping up from 150ktpa to 900ktpa.

Aston Resources CEO Todd Hanning said”Aston is pleased to have agreed terms to sell 10% of the Maules Creek Project for $370 million. These commercial terms recognize the development progress made by Aston over the last 2 years and the underlying value of the world-class Maules Creek Project.”

Aston Resources owns 85% of the Maules Creek Project. Maules Creek’s production mix is expected to compromise a majority of high quality metallurgical coal and a premium, low ash, export thermal coal.    J–Power  Australia Pty Ltd is a wholly owned subsidiary of Electric Power Development Co Ltd. It is a major wholesale power producer and owns and operates 7 coal-fired thermal power stations across Japan as the largest user of thermal coal in the country.

www.astonresources.com

http://www.traderdealer.com.au/fundamentals/azt

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ASX Company News: Sedgman Awarded CHPP Contract By MacArthur Coal

Thursday, September 29th, 2011

Leading resource sector services company Sedgman Limited (SDM) announced that the Thiess Sedgman Joint Venture (TSJV) has been awarded a A$85 million contract to design, procure, construct and commission a Coal Handling and Preparation Plant (CHPP) at the Codrilla Coal Mine on behalf of Macarthur Coal (C&M Management) Pty Ltd, the manager of the Coppabella Moorvale Joint Venture (CMJV). The mine is located in Queensland’s Bowen Basin, approximately 185km south west of Mackay near the townships of Nebo and Moranbah and is being developed by the CMJV, in which Macarthur Coal (MCC) is the majority joint venture participant. Mining operations are expected to commence in calendar year 2012, subject to the receipt of final regulatory approvals. The CHPP capacity will be 600 tonnes per hour. The TSJV’s works have commenced, and practical completion is due in the fourth quarter of FY2013. The TSJV contract is not contingent on any outcomes of the current PEAMCoal takeover offer for Macarthur Coal.

Sedgman Managing Director and Chief Executive Officer Nick Jukes said Sedgman was extremely pleased to further strengthen its relationship with Macarthur Coal. “Sedgman has had a long association with Macarthur Coal, having designed and built CHPPs at the Coppabella mine in 1999, at Moorvale Mine in 2003, and at Middlemount Mine in 2007. Sedgman continues to operate these CHPPs, including stockpile management and train loading functions.

Sedgman Limited (SDM) was established in 1979 and is a leading provider of mineral processing and associated infrastructure solutions to the global resources industry. Specialising in the design, construction and operation of coal handling and preparation plants (CHPPs), Sedgman is recognised internationally for its mineral processing and materials handling technologies.

www.sedgman.com

http://www.traderdealer.com.au/fundamentals/sdm

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ASX Company News: Marenica Energy Expands Into Coal Mining

Friday, September 23rd, 2011

International uranium company Marenica Energy Limited (MEY) is pleased to advise that it has taken the first step towards diversifying and expanding its asset base after subscribing for a cornerstone position in new IPO Texas & Oklahoma Coal Company Limited, giving it exposure to the rapidly emerging US coal market. The investment will provide Marenica with an early-stage opportunity to participate in the development of coal export opportunities from the United States of America (USA). Marenica has subscribed for 3.4 million shares in TOCC, which has issued initial seed capital of 28.75 million shares at $US0.06 per share. This will equate to a 6.4 per cent interest in the Company’s pre- IPO issued capital. Marenica shareholders may also be offered a priority allocation of shares in the TOCC IPO, once it proceeds. The investment gives MEY a low-cost entry into the US energy market and an opportunity to increase its interest as TOCC develops its core projects and reduces the risk associated with these projects.

Based in Dallas, Texas, TOCC is strategically positioned to take advantage of the coal resources available in Texas and Oklahoma. The USA is developing its coal export industry, with projects in Texas and Oklahoma ideally placed to participate in this highly profitable emerging business. TOCC is in the process of acquiring options over or equity interests in selected coal projects in the USA. Plans are well advanced to secure a coal resource base of between 100 million and 500 million tonnes.

www.marenicaenergy.com.au

http://www.traderdealer.com.au/fundamentals/mey

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ASX Company News: Orpheus Energy Acquires Two New Indonesian Coal Tenements

Friday, September 23rd, 2011

Orpheus Energy (OEG) announced that it has secured a 51% equity ownership in two additional tenements in East Kalimantan Province under its joint venture agreement with strategic alliance partner Pt Mega Coal International.  B3 covers an area of 4775 hectares, has had historical geological mapping, and reported a high quality coal sample in 2007 featuring low ash (1.5%), low total moisture (8.3% ar) and an energy content of 7123 Kcal/kg. B4 covers an area of 3126 hectares, has also had historical geological mapping, and reported a high quality coal sample in 2007 featuring low ash (1.9%), low total moisture (6.5% ar) and an energy content of 7253 Kcal/kg. Samples taken in July 2011 returned calorific values at 7270, 8055, 8095 Kcal/kg (adb). Orpheus currently has an exploration target of 5-10Mt for B34 and is planning a drilling program to delineate a JORC resource, expected to commence in Q1 2012. Orpheus’s initial geological review of B3 and B4 during an extensive site visit in July 2011 identified significant coal outcrops which are expected to have an extensive strike extent. B34 is located approximately 60km west of Orpheus’s B26 projects and will ultimately be joined by a dedicated existing haul road. Coal mined out of B34 will also be transported by barge out of the same facilities near Tampang as B26 production. The joint venture provides that Orpheus pay AUD$2.2m to Mega for a 51% equity in B34.

Executive Chairman Wayne Mitchell said, “The B34 transaction is very significant as it marks the securing of Orpheus’s second Indonesian coal project under our strategic alliance with Mega, following rigorous technical and legal due diligence.

www.orpheusenergy.com.au

http://www.traderdealer.com.au/fundamentals/oeg

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ASX Company News: Ausenco Awarded Coal Mine Restart Contract

Thursday, September 15th, 2011

Ausenco Limited (AAX) announced the award of a Create phase (EPCM) contract to deliver the development plan for the potential re-start of Teck Resources Limited’s Quintette coal mine in northern British Columbia, Canada. Ausenco has already commenced work on the initial stages of the project, which is expected to be worth up to $20 million in revenue to the group. Should the development proceed through the permitting and approval process, anticipated in early 2012, Ausenco could gain an additional $19 million in revenue from the project. The contract involves detailed engineering design of the facility, procurement of materials and equipment, project and construction management and pre-commissioning of the mine. Ausenco’s Process Infrastructure business line is managing the project, which is due for completion in 2013.

Ausenco CEO Zimi Meka said the new contract built on Ausenco’s previous work on the project, including the feasibility study and early engineering work. “We have a strong working relationship with Teck Resources through our Vancouver based team and look forward to continuing to work with the team to deliver this important project,” he said. The Quintette coal mine is located in British Colombia, Canada, on the eastern side of the Rocky Mountain range and previously operated from 1982 to 2000.

Ausenco sets high global standards for leading edge engineering and project management services in the resources and energy sectors. It is a growing company with big ambitions that thrives on reaching into new markets. Across 30 offices in 19 countries, it seeks ingenious solutions for our clients in the Energy, Environment & Sustainability, Minerals & Metals, Process Infrastructure and Program Management sectors.

www.ausenco.com.au

http://www.traderdealer.com.au/fundamentals/aax

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ASX Company News: Eden Energy To Spin Off UK Gas Assets

Tuesday, September 13th, 2011

Eden Energy Ltd (EDE) plans to spinout its’ wholly owned UK coal seam methane/shale gas subsidiary, Eden Energy (UK) Ltd into a new proposed ASX listing to be called Adamo Energy Ltd (Adamo).    Independently reported Shale Gas Unrisked Prospective Mean Resources GIIP for part of the licence area, of which Eden holds 50%, stand at 49.8 TCF.   This spinout will be undertaken as soon as it is deemed that the market conditions are suitable.

The key details of this proposed new float, which will be subject to all necessary approvals being obtained are:

• Capital Raising – it is proposed to raise at least A$10.0 million

• Eden Energy Ltd shareholders – To be offered a priority entitlement via a Prospectus

• Large UK landholding – South Wales, Bristol and Kent

• Large Prospective Gas Resource

• Strong UK management team arranged2

• Very strong prospective UK gas market

www.edenenergy.com.au

http://www.traderdealer.com.au/Fundamentals/ede

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