Prophecy Coal In Binding Coal Off-Take Agreement with Russian Buyer

Prophecy Coal Corp. (TSX:PCY,OTCQX:PRPCF,FWB:1P2) entered into two binding coal sale export contracts with a buyer in Russia for the sale of 30,000 tonnes of coal from the Ulaan Ovoo mine.

As quoted in the press release:

Under the off-take agreements, 5,000 tonnes of coal per month will be exported through Northern Mongolia’s Sukhbaatar rail station, a major Mongolian gateway to Russia connected to the Russian trans-Siberian railway. The fresh-coal deliveries are anticipated to start in November, 2013 when mining operations are expected to resume after pit-dewatering activities at the Ulaan Ovoo mine are completed. The buyer further executed a non-binding memorandum of understanding (MOU) contemplating the potential increase in monthly coal sales volume to 30,000 tonnes at Sukhbaatar, subject to wagon availability and market conditions.

Click here to read the Prophecy Coal Corp. (TSX:PCY,OTCQX:PRPCF,FWB:1P2) press release