Atlantic Coal PLC Record Production from Stockton Anthracite Mine (5717V)

TIDMATC

RNS Number : 5717V

Atlantic Coal PLC

15 January 2013

Atlantic Coal plc / Index: AIM / Epic: ATC / Sector: Mining

15 January 2013

Atlantic Coal plc ("Atlantic Coal" or the "Company")

2012 Production Update

Record Production from Stockton Anthracite Mine

Atlantic Coal plc, the AIM listed anthracite coal mining company operating in Pennsylvania, USA, is pleased to announce a positive production update for the year ended 31 December 2012 from its Stockton Anthracite Mine ("Stockton"), located near Hazleton, Pennsylvania.

Key production and sales fundamentals:

-- 61% increase in clean coal produced to 161,529 tons (2011: 100,139 tons) - ahead of the Company's target of 155,000 tons

   --    100% increase in run-of-mine ("ROM") coal produced to 417,839 tons (2011: 208,730 tons) 
   --    32% increase in coal sales to 140,213 tons over 2011 (2011: 106,403 tons) 

-- Increase in average sales price realised to US$149.20, (excluding by-product fine coal) (2011: US$142.33)

-- Robust levels of stockpile inventory as at 31 December 2012. ROM: 44,061 tons (2011 - 23,149) and clean coal: 23,370 tons (2011 - 1,484) available for sale during the main winter home heating season (January-March)

   --    3,728,597 bank cubic yards ("BCY") of overburden removed (2011: 3,257,776 BCY) 
   --    Significant improvement to strip ratio of overburden to clean coal to 23.1 (2011: 32.5) 

Production Summary:

 
 Run-of-mine Production      Overburden Removed       Clean Coal Production    Coal Sales (tons)   Average Price (US$) 
 (tons)                             (BCY)                    (tons) 
 417,839                                 3,728,597                   161,529             140,213                149.20 
 

Atlantic Coal's Managing Director Steve Best said: "I am delighted to report these positive production and sales figures from Stockton, which have established Atlantic as one of the top five anthracite producers in Pennsylvania. We are now beginning to see the benefits of our investment programme to improve the operation of the mine, and I look forward to continued improvement in performance.

"With a 61% increase in production and the 32% increase in sales of clean coal over 2011, our revenue also benefited from the 5% increase in the average sales price of coal.

"During the year we expanded our sales channels and achieved a significant milestone with the first major export shipment outside of North America, comprising 11,000 tons of anthracite from Fairless Hills Port, Philadelphia to Germany for use in the steel industry. We are positive about further such sales in the future.

"As well as continuing to maximise production at Stockton, we continue to hold options over three larger anthracite sites in Pennsylvania, each with the potential to enlarge our portfolio substantially, and further details of these options are contained in previous announcements. Further announcements on the progress of these transactions will be made at the appropriate time and we look to the coming year with optimism."

**ENDS**

For further information on the Company, visit: www.atlanticcoal.com or contact:

 
 Steve Best         Atlantic Coal plc           Tel: [phone] 
 Nick Naylor        Allenby Capital Limited     Tel: [phone] 
 Mark Connelly      Allenby Capital Limited     Tel: [phone] 
 Alex Price         Allenby Capital Limited     Tel: [phone] 
 Elisabeth Cowell   St Brides Media & Finance   Tel: [phone] 
                     Ltd 
 

This information is provided by RNS

The company news service from the London Stock Exchange

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