2013 so far and the year ahead

By cuesta

  • March 25, 2013,12:08 am

Hi All,

The start of 2013 has been a busy and exciting time for Cuesta.

The Company has achieved two major milestones already this year with the completion of a company transforming acquisition (the Orion Coal Project) and has secured an additional $12m of funding from our major shareholder, Beijing Guoli, subject to various regulatory approvals.

 

The Acquisition

The acquired Orion Coal Project will be combined with Cuesta’s West Bowen Project to create the “Moorlands Project” which consists of two open pit thermal coal opportunities, targeting a production rate of 4Mt per annum over a minimum of a 20yr mine life.  It provides the Company with a significant development project, 14km from the existing infrastructure at the Blair Athol Mine.

The Moorlands Project contains a combined resource of 136.3Mt and significant exploration upside of 85-130Mt.

Cuesta has engaged Xenith mining consultancy to conduct a mine scoping study on the Moorlands Project and will update the market when the final draft is available.

 

Supportive Cornerstone Investor

In February, the company secured additional funding of $12m from our major shareholder, Beijing Guoli.  This funding provides significant working capital to progress the above mentioned Moorlands Project and allows the Company to continue to explore our wider portfolio of projects.

Beijing Guoli continues to support Cuesta’s growth strategy and are pleased with the Company’s progress.

 

Continuing to Work the Plan

The Company is now moving forward with two key priorities:

  1. To develop Moorlands and fast-track to first production
  2. To continue to add value to our wider portfolio of projects.

In the meantime look out for further updates on the Company’s progress.  In addition to the blog, we will continue to keep you updated via our ASX Announcements and social media (Twitter, LinkedIn and Facebook pages).

Kind regards,

 

The Cuesta Coal Team