TORONTO, Dec. 31 /CNW/ - Coalcorp Mining Inc. ("Coalcorp" or the "Company") (TSX-CCJ) announces that it did not make a USD$6.9 million interest payment due today on its 12% senior secured notes (the "Senior Notes"). Under the terms of the indenture governing the Senior Notes, the Company has 30 days to make this payment in order to avoid an event of default.
The Company is not making this payment to preserve its cash position as it reviews its strategic alternatives. The Company is currently considering various options in order to satisfy its obligations under the Senior Notes in accordance with the terms of the indenture.
Coalcorp is a coal mining, exploration and development company with interests in the La Francia coal mine and related infrastructure projects and a number of coal exploration properties, all located in Colombia. Coalcorp also holds a 60% equity interest in Carbones Colombianos del Cerrejon which owns the La Caypa coal mine in Colombia. Further information can be obtained by visiting our website at www.coalcorp.ca or under the Company's profile at www.sedar.com.
Forward Looking Statements Disclaimer
Statements made in this news release may be forward-looking and therefore subject to various risks and uncertainties. Certain material factors or assumptions are applied in making forward-looking statements and actual results may differ materially from those expressed or implied in such statements. Coalcorp does not undertake to update any forward-looking statements; such statements speak only as of the date made.
SOURCE Coalcorp Mining Inc.
For further information: For further information: Joseph Belan, Interim Chief Executive Officer, +57-1-658- 5050 Ext: 9990