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Linc Energy Ltd. (ASX:LNC,OTCQX:LNCGY) announced that New Emerald Coal Ltd., its 100-percent-owned subsidiary, has entered into a sale and purchase agreement under which it will acquire the Blair Athol coal mine from BACJV, a joint venture between Rio Tinto Coal Australia, Leichhardt Coal Pty Ltd., JCD Australia Pty Ltd. and J-Power.
Linc Energy Ltd. (ASX:LNC,OTCQX:LNCGY) announced that New Emerald Coal Ltd., its 100-percent-owned subsidiary, has entered into a sale and purchase agreement under which it will acquire the Blair Athol coal mine from BACJV, a joint venture between Rio Tinto Coal Australia, Leichhardt Coal Pty Ltd., JCD Australia Pty Ltd. and J-Power.
As quoted in the press release:
There is no upfront cost for the acquisition by New Emerald Coal which includes the mining tenure, on-site assets and infrastructure. Under the SPA, BACJV will make a contribution to New Emerald Coal towards the current anticipated statutory site rehabilitation obligations, commencing in 2016 and ending in 2019.
The Blair Athol Mine ceased operations in November 2012. New Emerald Coal expects the acquisition to become unconditional within six months and mining to recommence shortly after. New Emerald Coal will reopen the mine with a view to produce up to 3 million tonnes of thermal coal per year.
Click here to read the full Linc Energy Ltd. (ASX:LNC,OTCQX:LNCGY) press release.