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Fortune Minerals announces railway development strategy for Mount Klappan metallurgical coal project
Fortune Minerals announces railway development strategy for Mount Klappan metallurgical coal project
About this update from Fortune Minerals Limited
[{"type":"text","content":"\n\n\n\n Aug. 23, 2010 (Canada NewsWire Group) -- \n\n \n \n \nTR.cnwUnderlinedCell TD {\n BORDER-BOTTOM: #000000 1px solid\n}\nTR.cnwDoubleUnderlinedCell TD {\n BORDER-BOTTOM: #000000 3px double\n}\nTR.cnwBoldUnderlinedCell TD {\n BORDER-BOTTOM: #000000 3px solid\n}\nTD.cnwUnderlinedCell {\n BORDER-BOTTOM: #000000 1px solid\n}\nTD.cnwDoubleUnderlinedCell {\n BORDER-BOTTOM: #000000 3px double\n}\nTD.cnwBoldUnderlinedCell {\n BORDER-BOTTOM: #000000 3px solid\n}\n\nRail haulage strategy to Prince Rupert economically attractive\n\nIssued Capital: 97,314,407\n\nLONDON, ON, Aug. 23 /CNW/ - Fortune Minerals Limited (TSX-FT) ("Fortune" or the "Company") is pleased to announce that it has developed a new commercially competitive railway transportation option for haulage of anthracite metallurgical coal products from the Company's Mount Klappan project in northwest British Columbia to the port of Prince Rupert. This new development strategy is based on existing infrastructure and provides a much simpler transportation solution that would allow the Company to rapidly capitalize on the world class resource potential of Mount Klappan and participate in the growing global shortage of high quality metallurgical coals. The railway strategy would also provide access to the Ridley Coal Terminal in Prince Rupert that can load full "Capesize" bulk vessels, making this the preferred point of export for most of the Company's potential customers in the overseas steel industry.\nThe new railway development strategy is based on quotes that were recently received from the Canadian National Railway Company ("CN"), which operates on the former BC Rail Dease Lake Line to Minaret, 150 km south of Mount Klappan. The roadbed for this railway right-of-way north from Minaret to Mount Klappan and has already been largely constructed and provides an existing transportation corridor that can be upgraded for rail or truck haulage of coal from the mine to Minaret.\nFortune will be required to invest significant capital to upgrade the railway right-of-way as well as make improvements to the CN Rail Dease Lake Line to accommodate 127 car unit trains with 95 tonne car loads and efficient rail speeds. However, this railway development option eliminates a similar amount of capital that would otherwise have been required for truck h...