VANCOUVER, BRITISH COLUMBIA -- (Marketwired) -- 05/24/13 -- Colonial Coal International Corp. (TSX VENTURE: CAD) (the "Company" or "Colonial Coal").
David Austin, Colonial Coal's President and CEO, is pleased to report that, with a view to characterizing the nature of a potential coal product from the Company's Huguenot Coal Project (located in northeastern British Columbia), Colonial Coal has recently commissioned Kobie Koornhof Associates Inc. ("KKAI") to undertake a review of coal quality and carbonization data derived from core samples.
This review was carried out by KKAI's principal, Kobie Koornhof, who is an authority on Canadian metallurgical coal, particularly with respect to coal quality, marketability and pricing.
Mr. Koornhof's comments are based upon a preliminary review of coal quality data from drilling programs, washability results and coke tests undertaken in 2008 and from 2011 to date. A synopsis of Mr. Koornhof's findings is reproduced immediately hereinbelow:
"Huguenot coal quality has been assessed on the basis of the full set of quality parameters used for the classification of metallurgical coals for use by the steel industry, in particular:
-- coking and caking properties;-- rheological properties;-- chemical characteristics; and-- petrography of the coal.
"The Huguenot coals are in the same geological formation (Gates Formation) as hard coking coals from NEBC which are currently being exported to steel mills on a worldwide basis. These hard coking coals fall within the suite of high quality Canadian coking coals which have gained market acceptance and have come to play an important part in coke oven blends over the last 40 years.
"Huguenot coal quality is similar to that of the hard coking coals currently exported from NEBC and, based on the information available, meets the requirements for classification as a hard coking coal.
"Steel mills worldwide have a long history of importing Canadian coking coals, and today Canadian coals play an important role in the production of coke with favourable ash, sulphur and strength characteristics.
"Based on the quality data reviewed to date, coals from Huguenot will find a place among the hard coking coals delivered to those steel mills."
Mr. Austin adds: "We are very pleased that Mr. Koornhof and his team haves been able to confirm our Company's opinion that Huguenot coal would meet current and globally accepted hard coking coal standards."
As at January 31, 2013, the Company reported working capital of $6.2 million, including cash of $5.8 million. With these funds in place, the Company intends to advance the exploration and development of the Huguenot Coal Project and, subject to receipt of coal licenses and permit approval, the Flatbed Coal Project, and to fund the current ongoing feasibility investigation of the development of the proposed Watson Island bulk shipping terminal.
This press release has been reviewed by John Perry, a director of the Company and a Qualified Person as defined in National Instrument 43-101.
About Colonial Coal International Corp.
Colonial is a publicly traded pure-play coking coal company in British Columbia. The northeast Coal Block of British Columbia, within which our Company's projects are located, hosts a number of proven deposits and has been the subject of M&A activities by Xstrata, Walter Energy, Anglo-American and others.
Additional information can be found on the Company's website www.ccoal.ca or by viewing the Company's filings at www.sedar.com.
Information set forth in this news release may involve forward-looking statements. Forward-looking statements are statements that relate to future, not past, events. In this context, forward-looking statements often address a company's expected future business and financial performance, and often contain words such as "anticipate", "believe", "plan", "estimate", "expect", and "intend", statements that an action or event "may", "might", "could", "should", or "will" be taken or occur, or other similar expressions. By their nature, forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or other future events, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include, among others, the following risks: risks associated with marketing and sale of securities; the need for additional financing; reliance on key personnel; the potential for conflicts of interest among certain officers or directors with certain other projects; and the volatility of common share price and volume. Forward-looking statements are made based on management's beliefs, estimates and opinions on the date that statements are made and except as required by law, the Company undertakes no obligation to update forward-looking statements if these beliefs, estimates and opinions or other circumstances should change. Investors are cautioned against attributing undue certainty to forward-looking statements.
THE FORWARD-LOOKING INFORMATION CONTAINED IN THIS NEWS RELEASE REPRESENTS THE EXPECTATIONS OF THE COMPANY AS OF THE DATE OF THIS NEWS RELEASE AND, ACCORDINGLY, IS SUBJECT TO CHANGE AFTER SUCH DATE. READERS SHOULD NOT PLACE UNDUE IMPORTANCE ON FORWARD-LOOKING INFORMATION AND SHOULD NOT RELY UPON THIS INFORMATION AS OF ANY OTHER DATE. WHILE THE COMPANY MAY ELECT TO, IT DOES NOT UNDERTAKE TO UPDATE THIS INFORMATION AT ANY PARTICULAR TIME EXCEPT AS REQUIRED IN ACCORDANCE WITH APPLICABLE SECURITIES LEGISLATION.
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.
Colonial Coal International Corp.
Colonial Coal International Corp.