Regency Mines has completed its acquisition of a significant shareholding in Carbon Minerals Corporation (CMC), a Delaware Company which has acquired the Rosa metallurgical coal mine in Alabama, in the Warrior Coal Basin.
- Regency announced on 25 November 2016 a conditional binding Heads of Terms to acquire for £250,000 a 20% shareholding in CMC which owns the Rosa Mine;
- The conditions including due diligence and the signing of a Shareholders' Agreement have been fulfilled and the transaction has completed;
- The Rosa Mine received in 2010 a NI 43-101 report prepared by McGehee Engineering Corporation stating that Phase 1 of the Rosa Mine project contained Proven Reserves of 453,000 tons of coal at an average 14,070 BTU/lb with 5.14% average moisture content and 4.45% average ash content;
- 4,800 tons of coal has been delivered by third parties and contract washing of coal in the preparation plant has begun this week;
- Auger mining from the Rosa Mine is scheduled to begin in February 2017.