ATC Atlantic Coal

TIDMATC

RNS Number : 1044O

Atlantic Coal PLC

26 May 2015

Atlantic Coal plc / Index: AIM / Epic: ATC / Sector: Mining

Atlantic Coal plc ("Atlantic Coal" or the "Company")

Stockton mine reserve update - 37% increase in reserve base

Atlantic Coal, the AIM listed anthracite coal mining company operating in Pennsylvania, USA, is pleased to announce that international mining consultants, Wardell Armstrong International Ltd, have re-assessed the Stockton reserve which is now estimated at 2.220 million tons as at 31 December 2014 compared with the John T. Boyd estimate of 1.626 million tons at 31 December 2013.

Bearing in mind that over 165,000 tons were produced in 2014 this equates to a 37% increase in the reserve base. This is primarily attributable to the increased reserves in the Mammoth seam but also to a higher proportion of coal remaining from previous underground mining in the Primrose, Orchard and Diamond seams than previously estimated. While more detailed survey work and assessment has identified a higher overburden excavation figure the higher coal reserve has still resulted in a substantial decrease in the mining ratio to 13.99 cubic yards of overburden to 1 ton of clean coal (John T. Boyd figure from 2013 was 19.40 to 1). As mining ratio is the primary determinant of mining cost the Company considers that this 28% decrease in the ratio bodes well for our mining costs as we go forward. The Directors consider that these additional reserves will potentially extend Stockton's life by approximately three years.

Atlantic Coal's Managing Director Steve Best said: "We are pleased to announce this increase in Stockton's reserve base and subsequent expected mine life extension of three years. An added bonus is the 28% decrease in the mining ratio since this is the primary determinant of mining cost and, as such, enables us to look ahead with confidence."

Julian Spears, BSc (Geol), MSc (MinGeol), CEng, CEnv, FIMMM, ACSM, Consultant Geologist, aChartered Engineer and Fellow of the Institution of Materials, Minerals and Mining, who is a Technical Director- Mining / Geology for Wardell Armstrong International Ltd, who meets the criteria of a qualified person under the AIM Rules - Note for Mining, Oil and Gas Companies, has reviewed and approved the technical information contained within this announcement.

**ENDS**

For further information on the Company, visit: www.atlanticcoal.com or contact:

 
 Steve Best    Atlantic Coal plc         Tel: 020 3328 5670 
 Nick Naylor   Allenby Capital Limited   Tel: 020 3328 5656 
 Alex Price    Allenby Capital Limited   Tel: 020 3328 5656 
 

This information is provided by RNS

The company news service from the London Stock Exchange

END

MSCZLLFLEEFFBBK

Atlantic Coal (LSE:ATC)
Historical Stock Chart
From Mar 2024 to Apr 2024

Atlantic Coal (LSE:ATC)
Historical Stock Chart
From Apr 2023 to Apr 2024