VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 12/06/12 -- Colonial Coal International Corp. (TSX VENTURE: CAD) (the "Company" or "Colonial") provides the following update on the Company's exploration activities during the last few months.
Colonial's exploration activities completed during the summer and autumn of 2012 included diamond drilling (6 HQ-size holes for 964 metres) and rotary drilling (11 holes for 602 metres). An additional 19 large diameter (combined rotary-core) holes were also drilled for a total of 898 metres; all of which produced approximately 154 metres of 152.4 mm (6") diameter core.
Most of the Company's recent HQ-core drilling was carried out within the southern half of the South Block with a view to raising the resource classification for that portion of the Block (currently classified as Inferred) to Indicated or better. Two holes drilled within the central-western parts of the Middle Block were located to better define fault repeated coal measures below the Pika Fault.
Large diameter drilling was carried out in the central portions of the North Block. Multiple cores were taken, mostly from the five main coal seams, in order to obtain a larger quantity of coal for detailed attrition and washability analysis and for subsequent carbonization testing.
Colonial has retained Norwest Corp. (of Salt Lake City, Utah) to undertake a Preliminary Economic Assessment which will incorporate data acquired in 2012. Norwest expects the report to be completed in Spring, 2013.
David Austin, President and CEO of Colonial, commented on the Company's recent activities as follows. "I am very pleased with our recent exploration activities and the results anticipated to come. With our company's already established Measured and Indicated resources in excess of 189 Mt, together with our Inferred resource in excess of 194 Mt, of high value coking coal, we expect our updated results and related Preliminary Economic Assessment to be very positive going forward."
This press release has been reviewed by John Perry, a director of the Company and a Qualified Person as defined in National Instrument 43-101.
About Colonial Coal International Corp.
Colonial is a publicly traded pure-play coking coal company in British Columbia. The northeast Coal Block of British Columbia, within which our Company's projects are located, hosts a number of proven deposits and has been the subject of M&A activities by Xstrata, Walter Energy, Anglo and others.
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