Business
Rosa Mine Update and Further Coal Investment
Rosa Mine Update and Further Coal Investment.
About this update from Corcel Plc
[{"type":"text","content":"\n \nRNS Number : 0517W Regency Mines PLC 06 February 2017 \n\nREGENCY MINES PLC\n(\"Regency\" or the \"Company\")\nRosa Mine - Update\nFurther Coal Investment\n \n6 February 2017 \n \nRegency Mines Plc announces, further to the announcement of 10th January 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. Regency owns 20% of CMC.\nRegency also announces an agreement to invest $150,000 for a 20% shareholding of Vali Carbon Corporation (\"VCC\"), a new Delaware company set up to pursue metallurgical coal investments in the Appalachians. \nKey Highlights:\n· Progress continues on schedule at Rosa towards recommencing coal sales in Q1 2017;\n \n· Contract washing of coal in the preparation plant will continue meanwhile;\n \n· The auger drill is on site and a highwall miner has been sourced and is being delivered, which will enable increased production levels and increase volumes of mineable coal;\n \n· New joint venture company Vali Carbon Corporation has been set up to develop metallurgical coal production at other sites in the Appalachians.\n \nAndrew Bell, Chairman of Regency Mines, comments: \"We believe that we are in the right commodity in the right place at the right time. Metallurgical coal had already seen a sharp recovery from what we believe were extreme cyclical lows at the beginning of 2016, and the new U.S. administration has already permitted new pipeline construction and is committed to heavy infrastructure spending. We have identified with our partners a range of opportunities to ramp up production and diversify our sources of saleable coal. \nAt Rosa, the sourcing of a suitable highwall mining machine enables us to plan for tripling the depth of penetration beyond that envisaged in the Reserve report, and potentially tripling the rate of production.\" \nInvestment in Vali Carbon Corporation\nRegency has agreed with UK Carbon Resolutions Limited (\"UKCR\"), a company controlled by coal entrepreneur Stephen Moscicki, to invest $150,000 in VCC for a 20% shareholding. The purpose of VCC is to put together and bring into production metallurgical coal ...