Coal mining unaffected
LONDON, ON, Dec. 18, 2012 /CNW/ - Fortune Minerals Limited (TSX: FT) (OTCQX: FTMDF) ("Fortune" or the "Company") (www.fortuneminerals.com) is pleased to acknowledge and comment on the Government of British Columbia's decision to restrict petroleum and natural gas development in the Klappan area of northwestern British Columbia. The government announcement can be found at http://www2.news.gov.bc.ca/news_releases_2009-2013/2012EMNG0073-002054.htm . Coal mining remains unaffected by this decision. Fortune and POSCO Canada Limited ("POSCAN"), Fortune's 20% joint venture partner in the Arctos Anthracite Joint Venture ("AAJV"), recognize that the Arctos anthracite metallurgical coal project is located in an area of significant spiritual, cultural and environmental importance to the Tahltan and Iskut people, and are committed to sustainable development of the project for the benefit of Aboriginal groups and stakeholders.
"Fortune will continue working toward development of the Arctos project and will continue consultation with local communities and Aboriginal groups to address concerns related to our project", said Robin Goad, Fortune's President and CEO.
Arctos is a collaborative international development project by the AAJV between Fortune (80%) and POSCAN (20%), the Canadian subsidiary of South Korea's POSCO, one of the world's largest steel producers. Substantial engineering, feasibility and environmental work have already been completed for the proposed development, totalling nearly $100 million. The Arctos project is currently in the British Columbia Environmental Assessment process and the development plan is being designed to minimize environmental impacts associated with the project. These include initiatives such as designing the wash plant to recycle 95% of the process water. The AAJV is working with local communities to explain the project including its benefits and potential impacts. The AAJV is focused on developing the project such that it has a lasting positive impact on the nearby communities.
The Arctos project is located 330 km northeast of the Pacific Ocean Port of Prince Rupert and straddles the BC Rail right-of-way and its substantially completed roadbed 150 km north of the current terminus of track. This railway is proposed to be upgraded and extended to the site to allow for rail haulage of coal to the Port of Prince Rupert and export to the overseas steel industry.
About Fortune Minerals:
Fortune is a diversified resource company with several mineral deposits and a number of exploration projects, all located in Canada. The Company is focused on the development of the Arctos Anthracite Project in British Columbia ("BC") and the NICO gold-cobalt-bismuth-copper deposit in the Northwest Territories ("NT"). As part of the development of the NICO deposit, Fortune is developing the Saskatchewan Metals Processing Plant ("SMPP") in Saskatchewan to process NICO concentrates to high value metal products. In addition, the Company owns the Sue-Dianne copper-silver-gold deposit and other exploration projects in the NT. Fortune is focused on outstanding performance and growth of shareholder value through assembly and development of high quality mineral resource projects.
This press release contains forward-looking information. This forward-looking information includes statements with respect to, among other things, proposed production of metallurgical coal, gold and specialty metals, the proposed development of the Arctos and NICO projects and the proposed purchase and development of the site for the SMPP. Forward-looking information is based on the opinions and estimates of management at the date the information is given, and is subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking information. These factors include the inherent risks involved in the exploration and development of mineral properties, the inherent volatility of metal prices, the risk that the Company may not be able to arrange the necessary financing to construct and operate the Arctos coal project, the NICO mine or the SMPP, uncertainties with respect to the receipt or timing of required permits for the development of the Arctos project, the NICO project or the SMPP, the possibility of delays in the commencement of production from the Arctos project, the NICO project or construction of the SMPP and other factors. Readers are cautioned to not place undue reliance on forward-looking information because it is possible that predictions, forecasts, projections and other forms of forward-looking information will not be achieved by the Company. The forward-looking information contained herein is made as of the date hereof and the Company assumes no responsibility to update or revise it to reflect new events or circumstances, except as required by law.
SOURCE: Fortune Minerals Limited
For further information:
Renmark Financial Communications
Barbara Komorowski: [email protected], or
Nadia Marks: [email protected]
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