23 October, 2016

European Metals raises A$3m from largest shareholder

ASX-listed Prairie Mining has acquired the Debiensko hard coking coal project, in Poland, paving the way for its entry into the coking coal sector.

Prairie acquired the project through the purchase of all the shares in NWR Karbonia for an upfront cash consideration of €500 000 and a deferred cash consideration of €1.5-million.
The project, which is fully permitted with a 50-year mining concession, has an exploration target of between 210-million and 260-million tonnes, based on historical drilling and resource work, and has established on-site facilities including rail, road and power infrastructure.

“For a long time, Debiensko has been regarded as the last major undeveloped hard coking coal project in Europe. This transaction not only marks Prairie’s entry into the hard coking coal sector through ownership of a strategically located and fully permitted asset on the doorstep of central European steelmakers, but also further cements our belief in the future of the Polish coal mining industry,” said Prairie CEO Ben Stoikovich.

Prairie intended to undertake a work programme to review all historical data at the mine, undertake an infill drilling programme, and provide an updated resource to Joint Ore Reserves Committee standards, while also delivering a re-engineered mine plan to produce a feasibility study with a focus on near-term production.

source: miningweekly.com