/THIS NEWS RELEASE IS NOT FOR DISTRIBUTION IN THE UNITED STATES OR TO U.S. NEWS AGENCIES/
PERTH, WESTERN AUSTRALIA, April 29 /CNW/ - Coalspur Mines Limited ("Coalspur" or "Company") (ASX: CPL, TSX: CPT) is pleased to present its quarterly report for the period ending March
Following the successful completion of a Pre-Feasibility Study ("PFS") in December 2010, the Company undertook a rigorous competitive tender
process of selected firms to participate in the preparation of a
Bankable Feasibility Study ("BFS") on the Vista Coal Project ("Vista"). The BFS will build on the strong technical and economic results of
the PFS and is the key final stage before construction begins at Vista.
The BFS is scheduled for completion by December 2011 and will become the
blueprint for developing one of North America's largest export thermal
Snowden Mining Industry Consultants Inc. ("Snowden"), a subsidiary of Downer EDI Limited ("Downer") was chosen as the overall project manager for the BFS.
Commenced the second phase of development drilling on Vista which
focused on coal quality confirmation, upgrading existing resource
classifications and investigating the structural potential of the Vista
coal sequence to support underground longwall mining, with results from
these activities expected progressively during the June 2011 quarter.
Confirmed that the Silkstone seam may extend over a 16km strike length
Interpretations of the geological and coal quality data indicates that
the Silkstone seam has surface mining potential and will be suitable
Completed additional drilling on the Vista South Coal Project ("Vista South") that is designed to further delineate the geology of the Northern
limb of the Entrance Syncline and to test for extensions to the South
East of the Vista South deposit.
Initial positive results from the drilling program were announced on
March 23, 2011. Further results, which will include the export quality
potential of the coal quality on Vista South, are expected to be
announced progressively over the June 2011 quarter.
Strengthened the Canadian based management team with a number of
additional senior technical and financial appointments.
Progressed the mine permit and processing plant approval with three
Orders In Council recently issued by the Government of Alberta.
The Company has also announced a public offering and private placement
to North American and strategic investors to raise C$55.5 million.
Haywood Securities Inc., BMO Capital Markets and RBC Capital Markets
are acting as lead agents for the public offering.
Funds raised will be used to advance major activities that have the
potential to enhance the value of the Vista project and to fund an
accelerated drilling program at Vista South.
The Company has a significant amount of activity scheduled which is
expected to significantly progress the development of Vista and Vista
South. Activities in the coming months are expected to include:
Substantially progressing the BFS;
Determining the underground longwall mining potential at Vista;
Completing coal quality testing, further delineation drilling and a
resource update on Vista South;
Upgrading the existing resource classifications within Vista and Vista
Commencing discussions with rail and port providers regarding coal
transportation and logistics; and
Continue to advance the permitting, public consultation and mine
licensing on Vista.
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy securities in any jurisdiction in which
such offer, solicitation or sale would be unlawful. The securities to
be offered have not been registered under the U.S. Securities Act of
1933, as amended, or any state securities laws and may not be offered
or sold in the United States absent registration or in accordance with
an applicable exemption from the registration requirements.
The full version of this news release is available on the Company's
website at www.coalspur.com and SEDAR at www.sedar.com.
For further information regarding the Vista Coal Project and Vista South
Project, including a description of Coalspur's quality assurance
program, quality control measures, the geology, samples collected and
testing procedures in respect of the projects, please refer to the
technical report on the Vista Coal Project titled "Vista Coal Project
Prefeasibility Study" dated January 25, 2011 and the technical report
on the Vista South Project titled "Resource Estimate for the Vista
South Coal Property" dated December 15, 2010 , which are compliant with
National Instrument 43-101 - "Standards of Disclosure for Mineral
Projects" ("NI 43-101") and are available for review on SEDAR at sedar.com.
Competent Person / Qualified Person Statements
The information in this news release that relates to Coal Resources is
based on information compiled by Mr. Robert J. Morris, who is a Member
of the Association of Professional Engineers, Geologists and
Geophysicists of Alberta. Mr. Morris is a full-time employee of Moose
Mountain Technical Services, who are consultants to Coalspur. Mr.
Morris has sufficient experience which is relevant to the style of
mineralisation and type of deposit under consideration and to the
activity he is undertaking to qualify as a "Competent Person" as
defined in the 2004 Edition of the 'Australasian Code for Reporting of
Exploration Results, Mineral Resources and Ore Reserves' ("JORC Code"), and a "Qualified Person" under NI 43-101. Mr. Morris consents to the
inclusion of such information in this news release in the form and
context in which it appears.
The information in this news release that relates to Coal Reserves is
based on information compiled by Mr. Robert Fong, who is a Member of
the Association of Professional Engineers, Geologists and Geophysicists
of Alberta. Mr. Fong is an associate of Moose Mountain Technical
Services, who are consultants to Coalspur. Mr. Fong has sufficient
experience which is relevant to the style of mineralisation and type of
deposit under consideration and to the activity he is undertaking to
qualify as a "Competent Person" as defined in the 2004 Edition of the
JORC Code, and a "Qualified Person" under NI 43-101. Mr. Fong consents
to the inclusion of such information in this news release in the form
and context in which it appears.
All other scientific and technical information in this news release is
based on information compiled by Mr. Eugene Wusaty, who is a Member of
the Association of Professional Engineers and Geoscientists of Alberta.
Mr. Wusaty is a full-time employee of Coalspur. Mr. Wusaty has
sufficient experience which is relevant to the style of mineralisation
and type of deposit under consideration and to the activity which he is
undertaking to qualify as a "Competent Person" as defined in the JORC
Code, and a "Qualified Person" under NI 43-101. Mr. Wusaty consents to
the inclusion of such information in this news release in the form and
context in which it appears.
Forward Looking Statements
This news release contains 'forward-looking information' that is based
on the Company's expectations, estimates and projections as of the date
on which the statements were made. This forward-looking information
includes, among other things, statements with respect to the Public
Offering and Private Placement, the Company's permits and approvals,
business strategy, plans, development, objectives, performance,
outlook, growth, cash flow, projections, targets and expectations,
mineral reserves and resources, scoping, pre-feasibility, feasibility
and other studies, results of exploration and related expenses.
Generally, this forward-looking information can be identified by the
use of forward-looking terminology such as 'expect', 'potential',
'outlook', 'anticipate', 'project', 'target', 'likely', 'believe',
'estimate', 'intend', 'may', 'would', 'could', 'should', 'scheduled',
'will', 'plan', 'forecast', "evolve" and similar expressions. Persons
reading this news release are cautioned that such statements are only
predictions, and that the Company's actual future results or
performance may be materially different.
Forward-looking information is subject to known and unknown risks,
uncertainties and other factors that may cause the Company's actual
results, level of activity, performance or achievements to be
materially different from those expressed or implied by such
forward-looking information. Forward-looking information is developed
based on assumptions about such risks, uncertainties and other factors
set out herein, including but not limited to the risk factors set out
in the Company's Annual Information Form. This list is not exhaustive
of the factors that may affect our forward-looking information. These
and other factors should be considered carefully and readers should not
place undue reliance on such forward-looking information.
The Company disclaims any intent or obligation to update or revise any
forward-looking statements whether as a result of new information,
estimates or options, future events or results or otherwise, unless
required to do so by law.
SOURCE Coalspur Mines Limited
For further information:
Managing Director and CEO
Telephone: +1 403 975 7901