financingWow. I keep reading these posts and wonder what the hell everyone is thinking.
Clines notice yesterday is a major milestone for financing.
No bank will loan funds till the mine workings are expected. If upon entry they find that the entry's are intact and not deteriorated they can begin production shortly. If they are then a new drive has to be done and then it could add 3-6 months before production.
After the incidents at WV and Utah mines occurred, new safety standards are in place from IMSHA which requires extensive monitoring and ventilation changes to all mines. Especially ones that have not been in production in several years. When Cline took over this property, none of these new standards were in place.
If they are only a month late, hats off to whoever is managing the mine. The new regulatory issues alone should have added 6-8 months minimum. This item alone makes me feel very comfortable with the ongoing operation of the mine.
Lastly, all the mining cost per ton I see blogged facinates me. No mine would be open in the United States if our costs were in line with our brothers up north. I just recently looked at a mine in Kentucky for purchase that was mining 29" coal and their all in mining cost were around $ 37.00. 72" coal is a hell of a lot cheaper to mine.
My biggest complaint is lack of informtion from the home office. With only 2-3 employees in the main office, I assume they get overwhelmed. But, I am a stockholder and I want info. They should have a PR person available 5 days a week.