Atlantic Coal plc, headquartered in the UK, is a coal production and processing company, focussed predominantly on open cast mining and the processing of high-grade, low emission coal. Its primary asset is the Stockton Colliery, a union free opencast anthracite mining and processing operation in the Pennsylvania Coal Field, US. Atlantic Coal is traded on the London Stock Exchange’s Alternative Investment Market (AIM: ATC) and the OTCQX Market (OTCQX: ATCLY).
Latest Developments and News:
The company recently announced completion of a railroad diversion into its Stockton colliery in Pennsylvania,this diversion now gives the group access to one million tonnes of previously unworkable reserves.This means there is now the potential to increase annual production of clean coal to 160,000 tons according to an independent report compiled by Mine Engineers Inc.In calculating this production rate the Mine Engineers Inc assessed both the mine's current operational capacity as well as the positive impact of the new rail line diversion.
The company also confirmed they have acquired options over two prospective anthracite projects and are currently conducting due diligence on those assets. Further updates on these are expected in the near future. It has estimated that there is an additional 10Mt of resource within a 10 mile radius of Stockton and 300Mt within a 30 mile radius.
Further to this was announced a new Liebherr 9250 19-yard bucket hydraulic excavator on order and set to be operational during H2 2012,clear signs that further growth is planned.
To put some numbers to these latest figures and significance to the balance sheet, an annual production of 160.000 tonnes at an average price per tonne of $160 would equate to revenues of $25m per year. Atlantic are certainly on a path of fundamental growth and look like a solid play in the junior resource sector at the moment where its trading at little over its cash value . And with further aquisitions under option currently the company are not looking to stand still . A healthy move into profits is looking likely in 2012 and should see quite a dramatic re-rating of the shareprice.
Stockton Colliery:
The Stockton Colliery comprises a producing surface coal mine and adjacent anthracite preparation plant encompassing an area of approximately 900ha located in Hazle Creek in North-East Pennsylvania, a…
