Additional Information
Market: TSX, OTCBB
Sector: General Mining - Coal
EPIC: PCY
Latest Price: C$0.24  (0,00%)
52-week High: C$0.63
52-week Low: C$0.23
Market Cap: C$53.63M
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Prophecy Coal
www.prophecycoal.com

Prophecy Coal Corporation (TSX: PCY, OTC-QX: PRPCF, Frankfurt: 1P2) is an internationally diversified thermal coal production company that in November 2010 saw its first coal project, Ulaan Ovoo commissioned for production. The company controls over 1.4 billion tonnes of open-pittable thermal coal in Mongolia (839 Mt Measured, 579 Mt Indicated) between 2 distinct deposits with power plant plans for its second deposit (Chandgana's) well under way. Additionally Prophecy Coal Corp holds the Okeover Copper project and the Titan, Vanadium Iron ore & Titanium projects in Canada.

Pdf

Prophecy inks coal off-take agreement with major Mongolian energy products player

6th Jan 2011, 9:42 am

Diversified mineral exploration, development and production junior Prophecy Resource Corp (TSXV:PCY, OTCQX:PRPCF) had entered into a Memorandum of Understanding (“MOU”) to supply 1.2 million tonnes of coal per annum to Mongolia’s fifth largest company, JUST Group.


The coal will be supplied from Prophecy’s Ulaan Ovoo Mine, and through JUST, will be resold to end users predominately to buyers in Russia.  Ulaan Ovoo lies close to the Russian border, and it therefore ideally situated to supply consumers in Russia’s Buratya province.  Coal is currently trading hands at the Mongolian-Russian border for $35 per tonne.


JUST will receive a 3% commission of the final coal sales price. Both Prophecy and JUST will also work together to rail coal to Russian east seaports, where coal of Ulaan Ovoo's quality is trading at a 2 year high of $84 per tonne.
Prophecy has also agreed to purchase JUST Oil LLC Diesel Products at “prevailing market prices”.


"Our alliance with JUST ensures seamless coal delivery to end customers. Again I'd also like to thank the Mineral Resources Authority of Mongolia and the Ministry of Mineral Resources and Energy for expediting Ulaan Ovoo permitting, which allows Prophecy to serve local and regional thermal plants in this harsh winter in times of need,” John Lee, CEO of Prophecy stated.


JUST Group is active in the trading, distribution and bulk transportation of energy products, logistics, and mining in Mongolia. The company currently employs 3,300 people and ranks as the 5th largest company in Mongolia.

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