Coal Asia ready to start commercial operations

Coal Asia Holdings Inc. is set to start production this year as it has completed pre-development work in its Davao mine and is now waiting for the issuance of its Environmental Compliance Certificate from the government.

The firm said in a disclosure to the Philippine Stock Exchange that it completed all pre-development work in the first quarter of 2014.

Thus, Coal Asia finished a comprehensive drilling program on three out of the total 10 coal-bearing basins identified in its Davao Oriental's 7,000 hectare 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). Moreover, the DOE has favorably endorsed on January 10, 2014 our coal mining project to the DENR for the issuance of the ECC," Coal Asia said.