RE: RE: TALKED TO KEN BATES this morningBrundal, Sorry I was out doing something.
1) Continuous miners are all just getting up and running. Most of the early coal is for samples, so they are making sure they are good quality and he has told them not to rush this part, because it is so important for sales contracts. Like he hinted to me they are doing better than RE is suggesting, because the RE people have to be super conservative, worst case scenario to protect their butts. He said they had 15 bankers from TD down showing them around. Maybe if MINER is nice they would let him have a tour instead of slinking around in the sage brush with his telephoto lens.LOL
2) Financing was done according to Ken to get coal production up to take advantage of todays coal prices. I suggested it was to do with running short on funds and that is the answer he gave me.
3) Rail spur, he said they planned on starting on the rail spur when they get towards the 1.5 mtns and that would come out of revenue. In the NR they said part was for spur then a later NR said they werent using it for that.
4) Blue Seam, permits are in place but it is a continual process of inspections as it progresses. No they are not mining it yet but very soon.
5) Buyout mmmmmm yes
6) I feel that and said so to him that people were upset about how it happened. I think the amount of money was a lot and a deal had to be made. I do not think any one was expecting what pursued, he was quite surprised and also the whole market including GCE have taken a beating. He mentioned he used to work for Teck.
I felt very much reassured after our talk. Some of this info I have given maybe off a bit. I was driving when he phoned and never had anything to write notes on. Sorry the mind and memory is not as young as it once was.
Hope that helps. I got the feeling he is a very honest straight shooting guy and is pretty pleased with the project.