Production to start in November
TSX-V:WTN
VANCOUVER, Sept. 10 /PRNewswire-FirstCall/ - Western Canadian Coal Corp.
(TSX-V: WTN) ("Western" or the "Company") is pleased to announce that it has
received a B.C. Government Mines Act Permit to commence development of its
Dillon Mine on its Burnt River Property in Northeast British Columbia. The
Company has scheduled the start of commercial production for November of this
year.
The Burnt River PCI (pulverized coal injection) coal is a low sulphur,
low ash and low volatile product used in steel production as a replacement for
the highly priced coke. The high quality of the coal has resulted in
expressions of interest from Asian and European steel producers for trial
cargoes commencing in December.
Pelly Construction Ltd. has been awarded the general services contract
for mine construction and operations. Additional contracts have been awarded
to West Moberly First Nations for gravel crushing, and to local contractors
for site clearing and for the coal haulage to the rail head at the Bullmoose
Load out near the town of Tumbler Ridge. Mobilization for these contracts will
commence immediately. The required coal crushing, sizing and quality control
plant equipment has already been acquired.
The Dillon Mine is focused on the Dillon Syncline of the Burnt River
property. It will exploit a mining reserve of 1.56 million tonnes at an annual
rate of 240,000 tonnes and will be campaign mined at a rate of up to
60,000 tonnes per month. Additional drilling was completed in August on
adjacent areas of the property to update and confirm approximately
30 million tonnes of historical resources defined by TeckCominco in the early
1980s. Studies are now underway toward applications for an Environmental
Assessment Certificate and permit in the 1st quarter of 2005 to mine the
adjacent Brule deposit. Production at the Brule Mine would be expected at the
beginning of 2006, and together with the Dillon Mine, the targeted production
will be 1.5 Mt/annum of PCI coal.
Gary Livingstone, President and CEO, stated, "The expeditious processing
of this coal permit reflects this government's commitment to encourage mineral
exploration and environmentally-sound mine development in the province.
Western is now able to take advantage of the worldwide strength in
metallurgical coal demand and prices and establishes itself as a major new
producer of PCI coals."
Western Canadian Coal Corp. currently has more than 250 million tonnes of
coal under exploration and development planning in British Columbia. The
Company is focused on the development and production for the international
markets of 5 million tonnes of coal within 5 years of its initial operations.
The nearby Wolverine metallurgical coal development at Perry Creek is planned
for production of coking coal during 2006 at a rate of 1.6 Mt/annum.
For further information:
Western Canadian Coal Corp., Gary K. Livingstone, (604) 608-2692,
info@westerncoal.com, Website: http://www.westerncoal.com
WESTERN CANADIAN COAL CORP.
"Gary K. Livingstone"
Chief Executive Officer
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SOURCE Western Canadian Coal Corp.
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CONTACT: Western Canadian Coal Corp., Gary K. Livingstone, (604) 608-2692, info@westerncoal.com, Website: http://www.westerncoal.com
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