Business
Coal - Update
Coal - Update.
About this update from Corcel Plc
[{"type":"text","content":"\n \nRNS Number : 9321X Regency Mines PLC 27 February 2017 \n\nREGENCY MINES PLC\n(\"Regency\" or the \"Company\")\nCoal - Update\n \n27th February 2017 \n \nRegency Mines Plc announces, further to the announcement of 6th February 2017, progress at Carbon Minerals Corporation's Rosa metallurgical coal mine (\"CMC\" and \"Rosa\") located in Alabama, United States of America, in the Warrior Coal Basin, including the signing of coal offtake agreements. Regency owns 20% of CMC.\nKey Highlights:\n· A sales contract for the metallurgical coal and a sales contract for fines have now been signed by CMC, with other contracts available; \n \n· Progress remains on schedule at Rosa for coal sales in Q1 2017 as reported in previous announcements;\n \n· Contract washing of coal in the preparation plant is under way and will from this week be in continuous operation at an increased rate following installation of new pumps;\n \n· The highwall miner is now on site and will shortly start producing coal to stockpile and for testing, until later in March when sales to third parties on a pick-up basis are scheduled to start with a targeted initial production at over 1,000 tpd;\n \n· The new joint venture company Vali Carbon Corporation for development of other coal opportunities in the Appalachians is completing corporate documentation and has identified a suitable area permitted for strip mining where production with potential sales volumes in excess of those at Rosa is planned once plant has been sourced and hired.\n \nAndrew Bell, Chairman of Regency Mines, comments: \"The positive attitude of the new U.S. Administration towards coal development has already begun to manifest itself in measures announced and under way. Industry-wide, coal demand continues strong, and the Rosa coal's historic premium in the market makes this an easy product to sell at the moment. Permit adjustments and the contracting of a suitable highwall miner will enable CMC to extract coal that would not have been accessible with an auger drill and so increase mineable volumes in the first permitted phase, while the next 3000 foot section has now also been permitted. Further expansion possibilities for both reser...