Colombia Clean Power & Fuels, a developer of coal mining, coking and clean coal technologies that is currently pursuing metallurgical/thermal coal operations in the Republic of Colombia, reported successful completion of an initial $22M closing today, leaving just a small portion of the remainder from the Company’s current $30M Series A Convertible Preferred Stock offering (the Series A stock pays out a 9% dividend and is convertible into common stock at a price of $2).
CFO of CCPF, James Flores, explained that the capital generated from the offering, which is supposed to wrap up after the second closing on the remainder of the $30M within the next two weeks, would be immediately directed towards ongoing acquisitive work in Colombia, as the Company ramps up towards its strategically defined goals for developing, processing and marketing coal out of the region. Flores concluded that once the financing is complete CCPF will be “well-positioned financially” to execute this strategy and underscored the massive amount of effort put into corporate development over the last year, projecting that CCPF is on target and on schedule for completion of operational objectives within the next 12 months.
This financing will allow CCPF, which has already acquired some 25k acres across six coal mining concessions containing an estimated 150M tons of coal total, not only to pursue ongoing exploration and development, but also finalize the feasibility study for the proposed coal coking facility. The coking facility would give CCPF a very strong hand as coal operations continue to mature in the region and the facility is scheduled to be implemented within the next 18 months as the exploration program, which has already drilled 17 boreholes on various properties, expands in an effort to map out the resource more effectively.
CEO of CCPF, Edward P. Mooney, called this a major milestone in the Company’s progression towards becoming one of the biggest providers in Colombia for coal and coke products, detailing the acreage under CCPF’s purview as being exceptionally rich in resources and emphasizing the Company’s near-term acquisitive strategy aimed at securing more of the best land.
Mooney explained that the financing would also allow for the fulfillment of operations/technical management personnel requirements and the environmental studies associated with projected development
CCPF already has a sizeable coal foothold in Colombia, the world’s tenth largest exporter with an estimated 7B metric tons of recoverable reserves (17B potential) and this round of financing will indeed put the Company in a prime position to aggressively pursue development amid burgeoning global demand for coal. With huge export markets and strong internal Colombian demand, CCPF knows exactly what it will take to generate shareholder revenues, with one of the most experienced management teams in the sector at the helm.
Securities in this non-public offering are not nor will be registered under the Securities Act and may not be sold in the US absent registration or appropriate exemption from such requirements.
For more information on the Offering, or on Colombia Clean Power & Fuels, please visit the Company’s website at: www.ColombiaCleanPower.com