Vancouver-based Colonial Coal International (TSX-V: CAD) has received the preliminary economic assessment for its 100% owned Gordon Creek metallurgical coal project located about 30 km south of Tumbler Ridge. Prepared by Stantec Consulting Services, the PEA demonstrates positive economics.
The Gordon Creek project has an after tax and royalty net present value of $690.5 million with a 7.5% discount rate. The internal rate of return will be 24.4% based on a price of $164.8 per tonne coking coal and a premium pulverized coal injection (PCI) price of $140.5 per tonne.
The project has a pre-production capex of $300 million with additional sustaining capital of $406.0 million over the life of the mine. When the project reaches commercial production, it will produce an average of 1.9 million tonnes of clean coal annually. The payback period is less than three years.
Colonial says the PEA is based on an underground mine plan that would recover 111.6 million run-of-mine tonnes with a yield of 51% to produce 57.4 million tonnes of clean coal over a 30-year life for the mine. The property contains an inferred resource of 298.0 million tonnes.
Iran traded 89,066 tons of non-oil commodities worth $148.22 million with Australia during the first 10 months of the current fiscal year (March 21, 2018-Jan. 20), registering an 86.46% and 26.02% growth in tonnage and value respectively compared with last year's corresponding period, latest data released by the Islamic Republic of Iran Customs Administration show.
Chinese imports of Russian thermal coal decreased last year as the country switched to lower-priced material from elsewhere, primarily Indonesia.
Iranian Foreign Minister Mohammad Javad Zarif is slated to attend a meeting of the parliament’s National Security and Foreign Policy Commission on Monday to brief its members of the European Union’s special financial mechanism for trade with Iran known as INSTEX.
Iranian Judiciary Chief Ayatollah Sadeq Amoli Larijani said the country would never accept the “humiliating conditions” of the European Union’s financial mechanism for trade with Iran known as INSTEX, including Iran’s accession to the Financial Action Task Force (FATF).
The general secretary of the German-Iranian Chamber of Commerce said US officials are pressuring European companies to limit their business activities in Iran.
European buyers of the heavy crude produced by Venezuela’s PDVSA have put their purchases on hold in anticipation of sanctions against the government in Caracas to be announced by the European Union.