Coal mining unaffected
LONDON, ON, Dec. 18, 2012 /CNW/ - Fortune Minerals Limited (TSX: FT) (OTCQX: FTMDF) ("Fortune" or the "Company") (www.fortuneminerals.com) is pleased to
acknowledge and comment on the Government of British Columbia's
decision to restrict petroleum and natural gas development in the
Klappan area of northwestern British Columbia. The government
announcement can be found at http://www2.news.gov.bc.ca/news_releases_2009-2013/2012EMNG0073-002054.htm . Coal mining remains unaffected by this decision. Fortune and POSCO
Canada Limited ("POSCAN"), Fortune's 20% joint venture partner in the
Arctos Anthracite Joint Venture ("AAJV"), recognize that the Arctos
anthracite metallurgical coal project is located in an area of
significant spiritual, cultural and environmental importance to the
Tahltan and Iskut people, and are committed to sustainable development
of the project for the benefit of Aboriginal groups and stakeholders.
"Fortune will continue working toward development of the Arctos project
and will continue consultation with local communities and Aboriginal
groups to address concerns related to our project", said Robin Goad,
Fortune's President and CEO.
Arctos is a collaborative international development project by the AAJV
between Fortune (80%) and POSCAN (20%), the Canadian subsidiary of
South Korea's POSCO, one of the world's largest steel producers.
Substantial engineering, feasibility and environmental work have
already been completed for the proposed development, totalling nearly
$100 million. The Arctos project is currently in the British Columbia
Environmental Assessment process and the development plan is being
designed to minimize environmental impacts associated with the
project. These include initiatives such as designing the wash plant to
recycle 95% of the process water. The AAJV is working with local
communities to explain the project including its benefits and potential
impacts. The AAJV is focused on developing the project such that it has
a lasting positive impact on the nearby communities.
The Arctos project is located 330 km northeast of the Pacific Ocean Port
of Prince Rupert and straddles the BC Rail right-of-way and its
substantially completed roadbed 150 km north of the current terminus of
track. This railway is proposed to be upgraded and extended to the
site to allow for rail haulage of coal to the Port of Prince Rupert and
export to the overseas steel industry.
About Fortune Minerals:
Fortune is a diversified resource company with several mineral deposits
and a number of exploration projects, all located in Canada. The
Company is focused on the development of the Arctos Anthracite Project
in British Columbia ("BC") and the NICO gold-cobalt-bismuth-copper
deposit in the Northwest Territories ("NT"). As part of the development
of the NICO deposit, Fortune is developing the Saskatchewan Metals
Processing Plant ("SMPP") in Saskatchewan to process NICO concentrates
to high value metal products. In addition, the Company owns the
Sue-Dianne copper-silver-gold deposit and other exploration projects in
the NT. Fortune is focused on outstanding performance and growth of
shareholder value through assembly and development of high quality
mineral resource projects.
This press release contains forward-looking information. This
forward-looking information includes statements with respect to, among
other things, proposed production of metallurgical coal, gold and
specialty metals, the proposed development of the Arctos and NICO
projects and the proposed purchase and development of the site for the
SMPP. Forward-looking information is based on the opinions and
estimates of management at the date the information is given, and is
subject to a variety of risks and uncertainties and other factors that
could cause actual events or results to differ materially from those
projected in the forward-looking information. These factors include
the inherent risks involved in the exploration and development of
mineral properties, the inherent volatility of metal prices, the risk
that the Company may not be able to arrange the necessary financing to
construct and operate the Arctos coal project, the NICO mine or the
SMPP, uncertainties with respect to the receipt or timing of required
permits for the development of the Arctos project, the NICO project or
the SMPP, the possibility of delays in the commencement of production
from the Arctos project, the NICO project or construction of the SMPP
and other factors. Readers are cautioned to not place undue reliance on
forward-looking information because it is possible that predictions,
forecasts, projections and other forms of forward-looking information
will not be achieved by the Company. The forward-looking information
contained herein is made as of the date hereof and the Company assumes
no responsibility to update or revise it to reflect new events or
circumstances, except as required by law.