SAN FRANCISCO, July 10, 2012 /PRNewswire/ -- Colombia
Energy Resources, Inc. (OTCBB: CERX, "CERX" or the "Company"), a
metallurgical coal exploration and production company operating in
the Republic of Colombia, has
begun making shipments from its Ruku mining complex after
temporarily halting production earlier this year to make repairs
and safety upgrades and to improve security at the site.
(Logo:
http://photos.prnewswire.com/prnh/20120208/AQ50047LOGO)
Since the Company restarted production on April 17, the production rate at Ruku has
increased from prior levels of about 1,500 tonnes per month. CERX
is targeting coal production from Ruku of greater than 7,000 tonnes
per month by year end.
"With support from the federal and local provincial government,
along with an active community outreach and education program, we
are confident that our responses to the concerns and issues
expressed by the local population are being effectively conveyed
and that Ruku will remain in production on a consistent
basis," said Ronald G. Stovash,
president and CEO of Colombia Energy Resources. "The
rehabilitation of Ruku has made it a safer, more economical and
more productive facility, with this largely due to CERX introducing
modern practices and policies for mining operations."
The company began shipping coal on June
15, with over 2,800 tonnes shipped to-date. Revenue from the
initial sales will be reported in the company's second quarter
financial statements.
The Ruku mining complex is located in the central portion of
Colombia in the provincial
department of Boyaca. The project contains four coal leases.
Current production comes from a mine (#010-91) that is
approximately 24.5 hectares (~60 acres) in size and has been in
production for more than 18 years. Production from the Ruku
mining complex has been supplying local customers with
metallurgical coal.
Management issued its first 43-101 resource report on the Ruku
mining complex earlier this year, which demonstrated 4.2 million
tonnes of resources.
For additional information about Colombia Energy Resources,
contact Liolios Group at 949-574-3860 or email
CERX@liolios.com.
About Colombia Energy Resources, Inc.
Colombia Energy Resources (OTCBB: CERX) is a metallurgical coal
exploration and mining company. CERX is exploring coal deposits and
developing coal mines at company controlled mining concessions in
the interior region of Colombia.
The company currently controls mining concessions underlying
approximately 25,000 acres of land in the Republic of Colombia, which is the world's tenth largest
producer and fourth largest exporter of coal. The country also has
the largest reserve base in South
America with an estimated 7 billion metric tons (MT) of
recoverable reserves and 17 billion MT of potential reserves.
The company plans to implement international mining best
practices at its properties in Colombia, as it becomes a leading consolidator
in the Colombian metallurgical coal market. CERX's team of
executives, advisors and partners is comprised of experienced
entrepreneurs and business professionals from the U.S. and
Colombia, with extensive
experience in coal mining as well as substantial industry
relationships.
For more information, visit www.colombiaenergyresources.com.
Forward Looking Statements
This release contains forward-looking statements regarding
CERX's future plans and expected performance based on assumptions
the Company believes to be reasonable. A number of risks and
uncertainties could cause actual results to differ materially from
these statements, including, without limitation, the success rate
of business development efforts, exploration efforts and the
timeliness of development activities, fluctuations in coal and
energy prices, confirmation of estimated resources, and other risk
factors described from time to time in the Company's reports filed
with the SEC. Such risks also include the restart of mining
operations at the Ruku Mining Complex, which depends on factors not
under the company's control and therefore there is no assurance it
will occur as anticipated. In addition, the Company operates
in an industry sector where securities values are highly volatile
and may be influenced by economic and other factors beyond the
Company's control. Colombia Energy Resources, Inc. undertakes no
obligation to publicly update these forward-looking statements,
whether as a result of new information, future events or
otherwise.
Cautionary Note to U.S. Investors—The United States
Securities and Exchange Commission permits mining companies, in
their filings with the SEC, to disclose only those mineral deposits
that a company can economically and legally extract or produce. We
use certain terms in this press release, such as "resources," that
the SEC guidelines strictly prohibit us from including in our
filings with the SEC. U.S. investors are urged to consider
closely the disclosure in our annual report on Form 10-K for the
year ended December 31, 2010, File
No. 000-32735, and in subsequent filings with the SEC. You can
review and obtain copies of these filings from the SEC's website
at www.sec.gov/edgar.shtml.
Company Contact:
Daniel Carlson
Executive Vice President
dcarlson@colombiaenergyresources.com
Tel 415-460-1165
Investor Relations:
Liolios Group, Inc.
Justin Vaicek
CERX@liolios.com
Tel 949-574-3860
SOURCE Colombia Energy Resources, Inc.