CALGARY, A.B. — Altitude Resources Inc. announced that it has leased a total of 19,400 contiguous hectares of coal rights as part of its Altitude North property near Grande Cache.
The company said that since 2014, its has been acquiring strategic Alberta coal lease applications at its Altitude North property in west central Alberta. Most recently, Altitude Resources was granted three additional lease applications totalling 4,590 hectares near the town of Grande Cache, Alberta last November. Altitude North is located approximately 60 km northwest of the company’s Palisades Coal Project.
The company also spoke positively about the news that Grande Cache Coal Ltd. had found a buyer that indicated it was going to reopen the mine. On January 8th the Alberta Court of Queen’s Bench approved the sale of certain assets of Grande Cache Coal Ltd. paving the way for a re-start of mining operations later this year.
Following the approval, Deloitte Restructuring Inc., the court-appointed receiver of GCC announced that the successful bidder was Sonicfield Global Ltd., a Chinese resource investment company. The mine, which is located near the town of Grande Cache in the western Alberta Rocky Mountains, closed in December 2015 due to slumping coking coal prices. GCC was forced into receivership in January 2017 after its Chinese owner defaulted on debt payments of roughly CDN $500 million.
SonicField has said it intends to reopen the mine in 2018 and the coal mine is accepting expressions of interest for a number of senior job postings. Details of the transaction will not be made public until three months after the deal is closed, which is expected to happen in May.
Commenting on the Grande Cache situation and its implications for Altitude North, Gene Wusaty, President and CEO said,
“We were very pleased to learn of the successful sale of the GCC assets and that the new investors intend to re-start operations in the current year. For over four decades GCC and its predecessors has been a major economic driver to the region. As we continue our exploration efforts at our Altitude North project later in 2018 we will look for ways to work with the GCC operators to find synergies in the region.”