CALGARY, April 25 /CNW/ - (TSX: NRG) (OTCQX: ANRGF) Alter NRG Corp. ("Alter NRG" or the "Company") announces that is has completed an independent analysis of the Fox Creek coal quality after ash removal, done by Norwest Engineering ("Norwest"). The analysis indicates a coal quality of 4,820 kcal/kg (8,700 Btu/lb), which is similar quality to the North American Powder River Basin coal, and an overall yield of 57%. The Fox Creek coal asset is owned 100% by Alter NRG through Alberta crown coal leases and is one of the five largest reserves of coal in the developed world (defined as first world countries).

Previously, management performed its technical work based on a mine-mouth gasification facility which did not remove the ash, a required step for an exportable thermal grade coal. Norwest engineering updated its technical work to determine the quality and cost for a "washed coal" that removes ash from the coal and increases its export value to get to the expected coal quality of 4,820 kcal/kg (8,700 Btu/lb).

The Fox Creek coal asset is 847 million tonnes of measured and indicated coal resource located near Fox Creek, Alberta (the "Fox Creek Property").   The coal leases are well delineated with over 442 bore holes that contribute to the definition of the resource.  The coal quality analysis is based on detailed studies performed previously by large oil companies on the Fox Creek asset and updated by Norwest Engineering.  More information on the measured and indicated coal resource can be found in the technical report filed on December 17, 2007, prepared in accordance with the requirement of National Instrument 43-101- Standards of Disclosure for Mineral Projects, as well as the current analysis dated April 21, 2011 which will be filed at

Recently, thermal coal demand internationally, particularly in Asia, has increased, which has resulted in higher thermal coal prices. The Fox Creek Property is in proximity to rail lines and a port that are expected to have capacity to take the coal to export markets. The Fox Creek Property also has existing infrastructure in the area to support mine development including roads, power, and natural gas.   The Norwest analysis indicates that the mining, operating and transportation costs, including port charges, would be less than $60 per tonne.

The Fox Creek Coal asset has a current net book value on the Alter NRG balance sheet of approximately $0.004 per tonne of resource, less than 1 cent per tonne. Based on a recent analyst report published by Fraser Mackenzie, direct comparables in the market have valuations of $0.20 to $0.90 per tonne of resource. As well, similar quality coal leases over 100 million tons in the United States acquired in the last decade have ranged from $0.18 to $0.97, with an average price of $0.75 per ton. Management is advancing technical work and business development efforts on the Fox Creek Coal asset as an exportable thermal coal, including marketing this asset through the strategic process previously announced.


Alter NRG is pursuing alternative energy solutions to meet the growing demand for environmentally responsible energy in world markets. The Company's vision is to commercialize growth technologies through environmentally sustainable and economically viable alternative energy projects. The Company's objectives are twofold; first, is to further commercialize the Westinghouse Plasma Gasification Technology, through a wholly owned subsidiary, to provide renewable and clean energy solutions from a wide variety of feedstocks, and providing a wide variety of energy outputs - including liquid fuels like ethanol and diesel, electrical power, and syngas.  Second, to capitalize on the rapidly growing geoexchange residential and commercial heating and cooling market through a wholly owned subsidiary CleanEnergy that enables consumers to reduce their carbon footprint and reduce the cost and volatility of energy bills using the energy from the earth.

The Toronto Stock Exchange does not accept responsibility for the adequacy or accuracy of this release.

Advisory Respecting Forward-Looking Statements:

This news release contains certain "forward-looking information and statements" within the meaning of applicable securities laws.  The use of any of the words "expect", "anticipate", "continue", "estimate", "objective", "ongoing", "may", "will", "project", "should", "believe", "plans", "intends", "confident", "might" and similar expressions are intended to identify forward-looking information or statements.  In particular, this new release contains forward looking statements pertaining to the Company's Fox Creek Coal asset.  Various assumptions were used in drawing the conclusions or making the projections contained in the forward-looking statements throughout this news release.

The forward-looking information and statements included in this news release are not guarantees of future performance and should not be unduly relied upon. Forward-looking statements reflect management's current beliefs and assumptions, based on information currently available to management. A number of factors could cause actual results to differ materially from the results discussed in the forward-looking statements, many of which are beyond the control of the Corporation. Among the material factors that could cause actual results to differ materially from those indicated by such forward-looking statements are: that the information is of a preliminary nature and may be subject to further adjustment; unforeseen environmental effects; failure of the proposed project to proceed to completion, ability to market projects effectively, arrangements with key suppliers; the inability of the Corporation to complete any transactions of the type contemplated by this news release; potential product liability and other claims; risks associated with the proprietary technology; closing on grants and incentives, the possible unavailability of financing at competitive rates and the related effect on development activities; changes in government regulation, including changes to environmental regulations; the effects of competition; the dependence on senior management and key personnel, and fluctuations in currency exchange rates and interest rates, as well as those factors discussed in or referred to under the heading "Risk Factors" in the Company's Annual Information Form dated March 29, 2011 available at Such information and statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking information or statements.

The Corporation cautions that the foregoing list of assumptions, risks and uncertainties is not exhaustive. The forward-looking information and statements contained in this news release speak only as of the date of this news release, and the Corporation assumes no obligation to publicly update or revise them to reflect new events or circumstances, except as may be required pursuant to applicable securities laws.

SOURCE Alter NRG Corp.

For further information:

Mark Montemurro, Chief Executive Officer
(403) 806-3877 

Daniel Hay, Chief Financial Officer
(403) 214-4235 

Organization Profile

Alter NRG Corp.

More on this organization

Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

CNW Membership

Fill out a CNW membership form or contact us at 1 (877) 269-7890

Learn about CNW services

Request more information about CNW products and services or call us at 1 (877) 269-7890