Colombia Clean Power & Fuels, Inc. Enters into MOU to Acquire Metallurgical Coal Mining Concession

SAN FRANCISCO, Nov. 1, 2011 /PRNewswire/ -- Colombia Clean Power & Fuels, Inc. (OTCBB: CCPF.OB) is pleased to announce the signing of a Memorandum of Understanding for the acquisition of an additional coal mining concession. The Company entered into this MOU after an extensive legal and technical due diligence process.

"I'm pleased to announce the MOU for the acquisition of the coal concession referred to as "Boavita", stated Ron Stovash, company CEO. "Preliminary reports show that the property contains both low volatile metallurgical coal and semi-anthracite coal in significant quantities. Our goal at Boavita is to initiate an exploration program and mining operations that will result both in proven reserves and saleable coal in 2012."

We anticipate entering into a definitive agreement for the purchase of the Boavita mining concession by year end.  The definitive agreement will permit us to perform exploration activities on the property for 18 to 24 months, after which we will have the option to purchase the mining concession if the exploration activities prove successful.  The Boavita concession covers approximately 1,550 hectares (3,830 acres). The acquisition will bring the Company's number of controlled concessions to ten, covering almost 30,000 acres.

About Colombia Clean Power & Fuels

Colombia Clean Power & Fuels, Inc. (OTCBB: CCPF.OB) is exploring coal deposits and developing coal mining from Company controlled mining concessions and developing coal coking operations, utilizing advanced technologies, in the Republic of Colombia. The Company currently controls 9 mining concessions underlying 25,000 acres of land. The Republic of Colombia is the world's tenth largest producer and sixth largest exporter of coal. It 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 is focused on metallurgical coal exploration and development activities. We plan to import international mining best practices and proven, advanced and environmentally-friendly coke processing technologies to Colombia as we become a leading consolidator in the Colombian metallurgical coal market. The Company has retained leading engineering and geological services firms to conduct exploration work in the Company's concessions and others under consideration for acquisition. The Company's team of executives, advisors and partners is comprised of experienced entrepreneurs and business professionals in the U.S. and Colombia with a breadth of experience in coal mining and clean coal technologies as well as substantial industry relationships.

This release contains forward-looking statements regarding Colombia Clean Power & Fuels 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, and other risk factors described from time to time in the Company's reports filed with the SEC.  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 Clean Power & Fuels undertakes no obligation to publicly update these forward-looking statements, whether as a result of new information, future events or otherwise.  

Company Contact: Daniel Carlson, Chief Financial Officer
Email [email protected]
Telephone +1 (415) 460-1165

SOURCE Colombia Clean Power & Fuels, Inc.