Pacific Coast Plaza to buy 3.6m tons of coal valued at over $300m from Global Earth Energy & Modern Coal
Global Earth Energy and its joint venture partner Modern Coal are pleased to announce the offer by Pacific Coast Plaza Inc. to purchase 100,000 metric tons of coal per month for a period of 36 months.
The price of coal is approximately $85 per metric ton valuing the deal at over $300 million. The current plan is to have the coal loaded on barges from a suitable port yet to be determined.
Syd Harland, CEO of Global Earth Energy, commented, "We are extremely excited to have developed this relationship with Pacific Coast Plaza Inc. and are looking forward towards a long term, prosperous relationship. Due to this new offer, GLER will be looking to raise additional capital to purchase other coal sights in the area."
In April Modern Coal acquired access to approximately 33m tons of coal reserves in eastern Kentucky. Modern Coal will be able to reach the additional coal through mines operated on properties acquired as part of the previously announced $525m joint venture with Global Earth Energy Inc.
Read the full press release here.