Coalspur Mines Limited (ASX:CPL) Granted Mine Permit And Processing Plant Approval For Vista Coal Project In Canada
Perth, May 13, 2011 AEST (ABN Newswire) - Coalspur Mines Limited (
ASX:CPL) (PINK:CSPZF) (TSE:CPT) is pleased to announce that Coalspur Mines (Operations) Ltd, a wholly-owned subsidiary of the Company, has been granted a mine permit and coal processing plant approval (the "Permits") from the ERCB in relation to the Company's Vista Coal Project ("Vista") located in Alberta, Canada.
Managing Director and CEO Gene Wusaty said, "The granting of the Permits represents a significant regulatory achievement which now allows Coalspur to progress the BFS and pre-construction planning for the Vista Coal Project with a much higher degree of certainty. As the BFS progresses, we will continue to refine the mine plan and all other technical aspects of Vista to optimize its productive potential, as well as any other required regulatory approvals."
The Permits were granted by the ERCB pursuant to the Coal Conservation Act (Alberta) as follows:
- Mine Permit - granted to Coalspur Mines (Operations) Ltd (permit number C 2011-5) to develop a surface coal mine in the McLeod River area to be designated as Mine No. 1815;
- Coal Processing Plant Approval - granted to Coalspur Mines (Operations) Ltd (approval number C 2011-3) to construct and operate a coal processing plant in the McLeod River area for the production of up to a maximum of 4,200,000 tonnes of clean coal per year and to be designated as Coal Processing Plant No. 8.
The receipt of the Mine Permit and Coal Processing Plant Approval completes the transfer process initiated in November 2010 following the acquisition of the McLeod River North Block and Z Block coal properties that completed in October 2010.
The Mine Permit covers an area of 4,880 hectares and stipulates that all mining and related activity be in accordance with the original 1982 applications and supplemental filings and any subsequent technical information that the ERCB may approve. Coalspur will be required to obtain ERCB approval for any technical modifications to the development plan before effecting such modifications.
Coal Processing Plant Approval No. C 2011-3 requires Coalspur to submit to the ERCB for approval prior to the commencement of construction design and location amendments to meet the requirements stipulated in the permit including clearance of the plant and ancillary infrastructure from the mining area adequate to allow mining to a minimum depth of 150 meters. Coalspur will also be required to limit the first stage construction of the tailings pond to a 5-year capacity, investigate the merits of increasing tailings recycling and keep the ERCB informed of progress.
The Permits will expire on December 31, 2016 unless Coalspur satisfies the ERCB by no later than October 1, 2016 (unless the ERCB stipulates a later date) that construction has commenced.
Construction is currently scheduled to commence in 2012.
Coalspur will work within the framework of the terms of the Permits while it progresses the current BFS (particularly in respect to the mine plan) and any other technical work. As the BFS and associated mine plan progress, the Company will seek to increase the allowable tonnage of clean coal produced under the Coal Processing Plant Approval and also apply for any other regulatory requirements necessary to develop the Vista Coal Project.
For the complete Coalspur announcement including figures, please refer to the following link:
http://www.abnnewswire.net/media/en/docs/541612.pdf
About Coalspur Mines Limited
Coalspur Mines Limited (ASX:CPL) (TSE:CPT) is a coal development company with approximately 55,000 hectares of coal leases located within the Hinton region of Alberta, Canada. Coalspur's flagship project is Vista, which covers approximately 10,000 hectares and provides a large scale, surface mineable, thermal coal development. Vista is located adjacent to CN Rail's main line, which is suitable for the transport of coal to deepwater ports on Canada's west coast. Coalspur has secured a port allocation agreement with Ridley Terminals Inc., which is essential to the logistics supply chain necessary to export coal from Vista to the growing demand from the Asia Pacific countries.
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