Coal mining unaffected
LONDON, ON, Dec. 18, 2012/CNW/ - Fortune Minerals Limited (TSX: FT) (OTCQX: FTMDF) ("Fortune" or the "Company") (www.fortuneminerals.com) is pleased to acknowledge and comment on the Government of British Columbia's decision to restrict petroleum and natural gas development in the Klappan area of northwestern British Columbia. The government announcement can be found at http://www2.news.gov.bc.ca/news_releases_2009-2013/2012EMNG0073-002054.htm. Coal mining remains unaffected by this decision. Fortune and POSCO CanadaLimited ("POSCAN"), Fortune's 20% joint venture partner in the Arctos Anthracite Joint Venture ("AAJV"), recognize that the Arctos anthracite metallurgical coal project is located in an area of significant spiritual, cultural and environmental importance to the Tahltan and Iskut people, and are committed to sustainable development of the project for the benefit of Aboriginal groups and stakeholders.
"Fortune will continue working toward development of the Arctos project and will continue consultation with local communities and Aboriginal groups to address concerns related to our project", said Robin Goad, Fortune's President and CEO.
Arctos is a collaborative international development project by the AAJV between Fortune (80%) and POSCAN (20%), the Canadian subsidiary of South Korea's POSCO, one of the world's largest steel producers. Substantial engineering, feasibility and environmental work have already been completed for the proposed development, totalling nearly $100 million. The Arctos project is currently in the British Columbia Environmental Assessment process and the development plan is being designed to minimize environmental impacts associated with the project. These include initiatives such as designing the wash plant to recycle 95% of the process water. The AAJV is working with local communities to explain the project including its benefits and potential impacts. The AAJV is focused on developing the project such that it has a lasting positive impact on the nearby communities.
The Arctos project is located 330 km northeast of the Pacific Ocean Port of Prince Rupertand straddles the BC Rail right-of-way and its substantially completed roadbed 150 km north of the current terminus of track. This railway is proposed to be upgraded and extended to the site to allow for rail haulage of coal to the Port of Prince Rupertand export to the overseas steel industry