Strategic Investor Exercises Options Following Positive BFS
Alberta, Feb 3, 2012 AEST (ABN Newswire) - Coalspur Mines Limited (
ASX:CPL) (TSE:CPT) is pleased to announce that the Company's largest shareholder, the Highland Park Group ("Highland Park"), has elected to exercise its option to purchase an additional 15 million ordinary shares in the Company at an exercise price of A$0.80 per share for gross proceeds of A$12.0 million through its affiliate Borrowdale Park S.A. The election follows the recent completion of a positive feasibility study on the Company's flagship Vista Coal Project ("Vista"). Following the exercise of the option, Highland Park will own a total of 138,483,333 ordinary shares in the Company, which represents approximately 22.3% of the ordinary shares currently outstanding.
Managing Director and CEO, Gene Wusaty said "This is a very positive event for the Company as it demonstrates the continued support from Highland Park for the Company and in particular management's goal of progressing Vista into production on the planned timeline. It allows us to build on the momentum from the recent port, rail and feasibility study announcements and move forward with the next stage of Vista's development, including detailed engineering and completion of the regulatory approval process."
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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