CALGARY, March 8 /CNW/ - Cobalt Coal Corp. (TSX-V: CBT) ("Cobalt" or the "Corporation") is pleased to announce the addition of Mr. Tom Roberts, and Mr. Mike Crowder to manage Cobalt Coal Corp Mining Ltd ("CCCM"), a new wholly-owned subsidiary of Cobalt, subject to regulatory approval.
Mr. Roberts and Mr. Crowder will be President and Vice President of CCCM, respectively, with the obligation to oversee the day to day operation of Cobalt's Westchester Metallurgical Coal Mine. Mr. Roberts and Mr. Crowder will also oversee all future coal production at the Corporation's Westchester Expansion and Fox Development properties, and any other coal projects which the Corporation acquires.
"The Corporation is very pleased that Mr. Crowder and Mr. Roberts have agreed to join our team," said Cobalt president and CEO David M. Lewis. "These two individuals will bring vast coal mining experience to our operations team and will add tremendous value with their backgrounds and contacts in the coal mining industry in the Appalachian region. They will be an integral component of Cobalt's planned expansion in the region."
As a signing bonus and as part of their initial compensation, Mr. Roberts and Mr. Crowder will each be issued 500,000 common shares of Cobalt, valued at a price of CDN $0.13 per share, and will also be granted 600,000 stock options exercisable at $0.13 per share, both subject to TSX Venture approval. The stock options will have a five year term and will vest one third immediately, one third one year from the date of grant, and one third two years from the date of grant.
Tom Roberts began in the coal mining industry in 1964, working as a Mining Engineer Assistant for the Old Ben Coal Company. Over the last 46 years, Mr. Roberts has held positions involved in all facets of underground coal mining, including Industrial Engineer and Underground Production Foreman, for Old Ben, and Division Chief Industrial Engineer for the Westmoreland Coal Company. In 1978, Roberts began his own coal mining firm, and has since owned and operated a number of coal mining companies including Cavalier Mining, as well as R&B Mining Corporation. Mr. Roberts founded New Tech Mining in 2007 and has operated as a contract mining company since that time. Mr. Roberts holds the degree of Master of Science in Industrial Engineering from the University of Tennessee.
Mike Crowder has an extensive background in starting, owning and operating various businesses. Mr. Crowder founded New Tech with Mr. Roberts in 2007, and has since served as their business manager. Prior to New Tech, Mr. Crowder worked as a computer consultant, and established a food distribution business, where he was involved with the administrative and managerial day to day operations. He holds a bachelors degree in Computer Science from East Tennessee State University.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Cobalt Coal Corp is a publicly traded coal exploration and production company headquartered in Calgary, Alberta, Canada with a regional office in Welch, West Virginia USA. Cobalt was created in August 2007 to capitalize on the growth opportunities that exist in the modern metallurgical coal mining industry. Cobalt owns a 60% after payout interest in the Westchester Coal Mine, and operates this mine through its wholly owned subsidiary Westchester Coal GP Inc.
Initially, Cobalt is concentrating its efforts on developing an asset base in the Appalachian coal producing region of the United States, and will then expand internationally as opportunities allow. The Appalachian area includes parts of West Virginia, Virginia, Kentucky, Ohio, Pennsylvania, the Carolinas, and Tennessee. Appalachia's history of producing large volumes of metallurgical coal, along with the under-utilized coal infrastructure already in place, make the area ideal for the implementation of Cobalt's business model. Coal assets in the area can be acquired and brought into production relatively quickly. The resulting cash flows are generated in the short term without the need to invest large amounts of time and capital.
All of these factors align with Cobalt's strategy to provide near term cash flow and high growth to shareholders.
Statements in this press release may contain forward-looking information including expectations of future production, operating costs, commodity prices, administrative costs, commodity price risk management activity, acquisitions and dispositions, capital spending, access to credit facilities, income taxes, regulatory changes, and other components of cash flow and earnings. The reader is cautioned that assumptions used in the preparation of such information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted, a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the Corporation. These risks include, but are not limited to, the risks associated with the coal mining industry, commodity prices and exchange rate changes. Industry related risks could include, but are not limited to, operational risks in exploration, development and production, delays or changes in plans, risks associated to the uncertainty of reserve estimates, health and safety risks and the uncertainty of estimates and projections of production, costs and expenses. The reader is cautioned not to place undue reliance on this forward-looking information.
SOURCE COBALT COAL CORP.
For further information: For further information: regarding Cobalt Coal Corp please contact David M. Lewis, President and CEO, Cobalt Coal Corp, (403) 262-5510; Investor Relations: The Howard Group, Dave Burwell, (403) 221-0915