Coal Asia secures ECC, starts shipments in Q3
Coal Asia Holdings Inc. reported that its subsidiary Titan Mining & Energy Corporation (TMEC) has just secured its Environmental Compliance Certificate from the Department of Environment and Natural Resources.
In a disclosure to the Philippine Stock Exchange, Coal Asia said the ECC covers TMEC's 7,000 hectare coal mine concession in Manay, Davao Oriental.
"With this vital development, TMEC can now proceed with its commercial coal production. TMEC expects to make its initial shipment of coal in the 3rd quarter of this year," Coal Asia said.
The firm said that it completed all pre-development work in the first quarter of 2014. Coal Asia said it has finished a comprehensive drilling program on three out of the total 10 coal-bearing basins identified in the Coal Operating Contract.
The company further developed mine access roads, erected base camp facilities to include warehouse, mine office, laboratory and others, built a jetty port for ship loading of its coal, and has acquired the land where coal mining operation will take place.
Coal Asia also undertook detailed mine planning works, supported by a computer modeling method, to confirm the mineable coal reserves in the identified basins. Bulk sampling tests are also being conducted.
"The coal resource and reserve estimates have been reported and were validated by the Department of Energy (DOE)," Coal Asia said.
The company noted that the projected overall demand for coal in the Mindanao Region, reaching about five million metric tons annually by 2015 in order to feed existing and newly built coal-fired power stations as well as cement plants.
Coal Asia said, with its operations in Davao Oriental, it is thus well positioned to serve this growing industry with a portion of its demand.
Add to this the coal requirements in the Visayas Region which stand at around three million metric tons annually, specifically at the Cebu and Panay locations.