TSX-V TRADING SYMBOL: CEC
VANCOUVER, Feb. 9 /CNW/ - Compliance Energy Corporation ("Compliance" or the "Company") is pleased to provide an update on the Raven Underground Coal Project, which is located on Vancouver Island, B.C.. Good progress has been made on the completion of the feasibility study by Pincock, Allen & Holt, underground coal mining specialists from Colorado, USA, and release of the study is anticipated early in the third quarter of 2010. AMEC Earth and Environmental of Burnaby, BC are continuing with environmental baseline monitoring and continue to make good progress preparing an environmental impact assessment.
In the summer and fall of 2009, Compliance completed a 42 hole drilling (9989 metres) and structural mapping program. The drilling program included 4 large - 6 inch holes to collect sufficient coal sample for petrographic and rheological testing ("metallurgical testing"). All holes were cored. The drill program confirmed continuity of the coal seams as anticipated. Please see the October 13, 2009 News Release for further details on the drilling program.
Washability testing and coal quality analysis being conducted on the core by GWIL Industries (Birtley Coal & Mineral Testing Division) in Calgary Alberta, is nearing completion, as is the metallurgical testing, which is being completed by SGS North America Inc. (Mineral Services Division) in West Virginia USA. It is anticipated that a complete suite of coal quality results will be available in early March.
Geotechnical testing of core samples, rock rejects from the washability tests, and soils from the potential location of the surface facilities, has been completed by Agapito Associates, Inc. and Knight Piesold in Colorado, USA and the results are being analyzed.
Pincock, Allen and Holt are in the progress of updating the geological model for Raven and a resource update is anticipated by the end of the first quarter of 2010. They have also completed an assessment of transportation options including locations from which to ship coal, and they will be completing further engineering studies to verify a preferred option.
A draft of the environmental assessment Application Information Requirements ("AIR") was submitted to BC's Environmental Assessment Office ("BCEAO") prior to year end 2009. The final "AIR", once issued by BCEAO, will outline the specific information and studies that will be required to support an Environmental Assessment Certificate Application, which is targeted for submission late in the second quarter or early in the third quarter of 2010.
The Company is pleased with its progress on the Raven Project to date and will continue to provide project updates as new information becomes available.
About Compliance Energy Corporation
Compliance Energy Corporation is a coal exploration and development company with an interest in over 75,000 acres of coal and mineral rights on Vancouver Island BC and that owns the Basin Coal Mine near Princeton BC. The company is focused on developing the Raven Coal Project for the Comox Joint Venture, of which it has a 60% interest. The remaining 40% is owned by I-Comox Coal Inc. a subsidiary of Itochu Corporation of Japan and by LG International Investments (Canada) Limited, a subsidiary of LG International Corp. of Korea. Company shares trade on the TSX Venture Exchange under the symbol CEC and investor information is available on the Company's web page at www.complianceenergy.com.
On behalf of the Board of
COMPLIANCE ENERGY CORPORATION
Chief Executive Officer
Neither the 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
Note: This release contains forward-looking statements that involve risks and uncertainties. These statements may differ materially from actual future events or results. Readers are referred to the documents, filed by the Company on SEDAR at www.sedar.com, specifically the most recent reports which identify important risk factors that could cause actual results to differ from those contained in the forward-looking statements. The Company undertakes no obligation to review or confirm analysts' expectations or estimates or to release publicly any revisions to any forward-looking statements.
SOURCE Compliance Energy Corporation
For further information: For further information: Greg Werbowski, Investor Relations at (604) 689-0489 ext 244