Atrum Coal has entered into an option agreement with Atlantic Carbon Group (ACG) for the supply of up to 100 000 t of anthracite from ACG for sales to potential Atrum customers in Europe, Asia and South America in 2016.
The profits generated from this will be split between Atrum and ACG on a 50/50 basis.
The profits are determined after each of Atrum and ACG recover all of their respective costs on production and transportation of the clean anthracite.
The agreement enables Atrum to start selling into export markets that are significantly undersupplied, before the development of its Groundhog North mining complex in British Columbia, Canada.
Subject to certain requirements, ACG will (on Atrum’s request) make available up to 100 000 t of anthracite in aggregate at its Pennsylvania site for Atrum to collect and arrange transport for its customers.
Bob Bell, Executive Chairman of Atrum, said: “ This is another significant step in our development as a company. Having to sell into undersupplied markets will assist us to secure our position in the anthracite supply market whilst we develop Groundhog North and potentially expand our supply from Pennsylvania.”
Edited from press release by Harleigh Hobbs
Read the article online at: https://www.worldcoal.com/coal/15082016/atrum-coal-secures-supply-of-anthracite-from-acg-2229/