ABMEC

Update on Jan Karski Mine

11/08/2017

unnamed

Prairie Mining Ltd has provided its investors with an update on the  development activities at its 100% owned high-value ultra-low ash semi soft coking coal (SSCC) Jan Karski Mine in the Lublin Province, south east Poland.

HIGHLIGHTS:

  • The Bankable Feasibility Study being prepared by China Coal for the development of the Jan Karski mine is now due for completion in September 2017. This follows extensive meetings in Poland during the last month between Prairie, its strategic partner China Coal and Polish government officials
  • Under the Strategic Co-operation Agreement between Prairie and China Coal, the BFS will support China Coal’s EPC contract to construct the Jan Karski mine and underpin a Chinese bank financing package
  • Marketing and coal sales strategies are to be updated for the BFS following Prairie’s latest successful drilling results and enhanced testwork establishing Jan Karski as a high-value ultra-low ash semi soft coking coal project which is expected to attract a 10% premium to international benchmark prices
  • Prairie remains on track to submit a Mining Concession application for Jan Karski, with significant progress made regarding spatial planning (re-zoning) and substantial completion of the Environmental and Social Impact Assessment; further updates regarding spatial planning are expected in the coming weeks
  • Prairie is the first entity to apply international best practice and modern standards in geological analysis, mine design and environmental studies for hard coal mining in Poland
  • Prairie notes that recent comments made by Poland’s Chief National Geologist with respect to development progress at Jan Karski are incorrect and not reflective of the official position of the Government of the Republic of Poland with the official Spokesperson of Poland’s governing PiS Party stating the comments made by Poland’s Chief National Geologist were “neither the position of the Government, nor of the Prime Minister”
  • Prairie remains focused on developing its two World Class coking coal projects and continuing to make significant progress and investment alongside partners and investors such as China Coal and CD Capital