CERX Announces Commencement of Mining
Colombia Energy Resources, Inc. Announces Commencementof Metallurgical Coal Mining
“We are very excited to be in production ofmetallurgical coal from Ruku, as this marks an important milestone for CERX,”stated Ron Stovash, CEO. “When we acquired the Ruku property, we intentionallytook it out of production in order to make safety and productivity improvements.This work is on schedule to substantially increase the mine’s current productionand significantly enhance the safety of the overall mining operation.”
The Ruku mine produces high quality, low volatilitymetallurgical coal with typical quality characteristics approximating 19%volatile matter, 6.5% ash, 4% moisture, <1% sulfur, and 14,000 BTUs.
“The Ruku Mine’s production rate at the time of the acquisitionwas approximately 16,000 tons per year,” stated Zygmunt Fuginski, the Company’sHead of Mining. “We intend to greatly exceed that level over time as weintroduce newer mining techniques to the mine; in particular, Ruku is ideal fora semi-mechanized long wall mining process.”
CERX controls mining concessions in four distinctblocks that cover over 25,000 acres. It is the Company’s goal to bring theproperties into production while acquiring other, synergistic properties. Themetallurgical coal market in Colombia is highly fragmented among many smallscale miners. CERX intends to be a leading consolidator in this market.
About Colombia Energy Resources, Inc.
Colombia Energy Resources, Inc. (OTCBB: CERX.OB) is exploringcoal deposits and developing coal mines at Companycontrolled mining concessions along with developing coal coking operations,utilizing advanced technologies, in the Republic of Colombia. The Companycurrently controls mining concessions underlying 25,000 acres of land. TheRepublic of Colombia is the world's tenth largest producer and sixth largestexporter of coal. It also has the largest reserve base in South America with anestimated 7 billion metric tons ("MT") of recoverable reserves and 17billion MT of potential reserves.
The Company is focused on metallurgical coalexploration and development activities. We plan to import international miningbest practices and proven, advanced and environmentally-friendly cokeprocessing technologies to Colombia as we become a leading consolidator in theColombian metallurgical coal market. The Company's team of executives, advisorsand partners is comprised of experienced entrepreneurs and business professionalsin the U.S. and Colombia with a breadth of experience in coal mining and cleancoal technologies as well as substantial industry relationships.
This release contains forward-looking statementsregarding Colombia Energy Resources, Inc. future plans and expectedperformance based on assumptions the Company believes to be reasonable. Anumber of risks and uncertainties could cause actual results to differmaterially from these statements, including, without limitation, the successrate of business development efforts, exploration efforts and the timeliness ofdevelopment activities, fluctuations in coal and energy prices, and other riskfactors described from time to time in the Company’s reports filed with theSEC. In addition, the Company operates in an industry sector wheresecurities values are highly volatile and may be influenced by economic andother factors beyond the Company’s control. Colombia EnergyResources, Inc. undertakes no obligation to publicly update theseforward-looking statements, whether as a result of new information, futureevents or otherwise.
Company Contact: Daniel Carlson
Email: dcarlson@colombiaenergyresources.com
Telephone +1 (415) 460-1165
www.colombiaenergyresources.com
SOURCE: Colombia Energy Resources, Inc.