Corporate News

Davao coal mining operations endorsed

Posted on April 30, 2014

LISTED Coal Asia Holdings, Inc. has secured state endorsement for its mining operations in Davao Oriental, the firm said in its disclosure yesterday.

Coal Asia said it reported its resource estimates within its coal operating contact (COC) to the Energy department, which in turn endorsed the project to the Department of Environment and Natural Resources (DENR) for the Environment Compliance Certificate (ECC) issuance. “With the company having complied with all prescribed requirements in its filing the application for the issuance of the… ECC… at the… DENR, it is now only awaiting the release of the signed document in order to proceed with the actual coal mining activities,” the company said.

Other preparations for the start of coal mining operations have also moved forward. The company said it has finished a comprehensive drilling program for three out of the 10 coal-bearing basins within its 7,000-hectare concession area. It has also developed mine access roads; base camp facilities such as warehouse, mine office, and laboratory; as well as jetty port for ship loading of coal.

It cited that the projected overall demand for coal in Mindanao is seen to reach about 5 million metric tons (MT) annually by 2016. In the Visayas, coal requirements are seen to reach 3 million MT annually. “This is a clear indication of the vast market potential for indigenous coal which the company intend to provide to its clientele,” the company said.

Its shares gained 23 centavos or 28.75% to P1.03 each yesterday.-- Claire-Ann Marie C. Feliciano