Business
Kellingley Colliery & Agricul
Kellingley Colliery & Agricul.
About this update from Harworth Group Plc
[{"type":"text","content":"\n RNS Number : 0006Y UK Coal PLC 15 December 2010 \n \n\n15 December, 2010\n \nUK COAL PLC (\"UK COAL\" or \"the Group\")\n \n Production Resumed at Kellingley Colliery \n \nOn 30 November, 2010, UK COAL reported that production had necessarily been suspended at Kellingley Colliery. Operations re-commenced on the evening of Thursday 9 December, ahead of forecast, and the mine is this week producing at near normal levels. The loss of production at Kellingley remains in the range provided on 30 November 2010.\n \nTo mitigate the production shortfall, UK COAL also confirms that operations at Kellingley, and its other deep mines, will continue producing and dispatching coal throughout most of the Christmas period. \n \n \nSale of Agricultural Land\n \nUK COAL has previously announced a programme to dispose of around 8,000 acres of the Group's surplus agricultural land. Contracts have been exchanged on 2,218 acres of agricultural land in Durham and Northumberland, together with associated buildings to Mr B Ashby, a private individual, for a cash consideration of £6.0 million payable on completion. Further consideration may become payable in the event that development of the land takes place subsequent to the disposal. The right to mine any potential coal in the ground has been retained where appropriate. These land holdings had an asset value of £7.4 million as at 26 December, 2009 and generated £0.1 million of net rental income for the year ended 26 December, 2009.\n \nIn total, to date, contracts have now been exchanged to a value of £23.3m with some further modest contracts expected to exchange before year end. The proceeds of land disposal will be used to reduce the Group's indebtedness and bank facilities. \n \n \n \n \nEnquiries:\n \nAnalysts and investors:\nDavid Brocksom, Group Finance Director Tel: 01302 755 002\n \nMedia:\n \nCitigate Dewe Rogerson\...