BARRANQUILLA, Colombia, October 3, 2013 /PRNewswire/ --
New Colombia Resources, Inc. (NEWC) ("New Colombia or the Company") announces they have entered into an agreement to purchase a 50% interest in the San Jose and Santa Isabella farms in Guaduas, Colombia. The company will purchase the remaining interest once they determine it is necessary for their metallurgical coal project. The company will work with the seller to develop sustainable resources on the farms as they develop their underground coal operations.
New Colombia's main purpose for purchasing these farms is to have full control of their coal operation without the need to pay royalties to farm owners. The farmland in the area has been increasing in value due to the construction of the Ruta del Sol, which connects Bogotá to Barranquilla.
The company is also very pleased with the adjudication by the Agencia Nacional de Infraestructura (ANI) to a Spanish Colombian consortium for the repair of railroads from Bogotá to Belencito and La Dorada to Chiringuana that connects to an existing rail to the Atlantic Ocean. The consortium is composed of Dracol Líneas Férreas and Unión Temporal Ferroviaria Central. "We made the commitment to revive the trains, and we're complying. We are certain the trains will be circulating these routes by the end of next year," affirmed Luis Alfonso Andrade, the president of ANI.
New Colombia's wholly owned La Tabaquera metallurgical coal mine is 25km from La Dorada which is 400 miles to the Atlantic export terminals. "This railroad significantly increases the value of our company since we can truck our coal to La Dorada and deliver it by rail to the Atlantic ports," stated John Campo, President of New Colombia Resources, Inc.
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About New Colombia Resources, Inc.
New Colombia Resources, Inc. is focused on the acquisition and development of high-quality metallurgical coal properties and other available resources in the Republic of Colombia. They expect to have three revenue producing businesses; metallurgical coal mining, African palm distribution, and traditional and organic coffees. They own 100% of La Tabaquera metallurgical coal mine in Colombia with an estimated 15- 17 MM tonnes of reserves. They have another pending acquisition for 390 ha and a solicitation contract for 184 ha metallurgical coal concession. In October 2013 they are planting 2000 African palm trees for the production of bio-diesel in Colombia and they are acquiring an organic coffee company. Once the necessary financing is obtained, the Company plans to have additional revenue producing business units in Colombia: coal mining, coking oven facilities, docks, river, and rail transportation to export terminals in Colombia. The Company is also exploring allegiances with U.S. and Colombian universities to study capturing Coal Bed Methane (CBM) in Colombia. For more information on the Company visit http://www.newcolombiaresources.com.
Transportation, Logistics and Other Information
New Colombia Resources intends to sell their coal at the mine's gate unless they enter into off-take agreements. At the right time, the Company plans to build or acquire river or rail loading facilities on the Magdalena River close to their mines. The coal will be trucked to these distribution centers, and then barged via the Magdalena River or by rail to terminals in Barranquilla, Santa Marta, or Cartagena for export. Initially they will use existing logistics providers while their transportation projects are being developed. After the rail projects and the "Road to the Sun" project are completed, New Colombia Resources will have one of a few metallurgical coal mines in the World with river, rail, and road access to coal export terminals on both the Atlantic and Pacific Oceans.
Forward Looking Statements
Forward Looking Statements; This Press Release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Act of 1934. A statement containing works such as "anticipate," "seek," intend," "believe," "plan," "estimate," "expect," "project," "plan," or similar phrases may be deemed "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Some or all of the events or results anticipated by these forward-looking statements may not occur. Factors that could cause or contribute to such differences include financing, the future U.S. and global economies, the impact of competition, and the Company's reliance on existing regulations. New Colombia Resources, Inc. does not undertake any duty nor does it intend to update the results of these forward-looking statements.
New Colombia Resources, Inc.
New Colombia Resources, Inc.
SOURCE New Colombia Resources, Inc.