Waratah Coal Comparable Project Sells for A$1.5 Billion
Longview Capital Partners Incorporated (TSX: LV) (FRANKFURT: L6V) wished to bring to the market’s attention that two coal exploration licences owned by Linc Energy near Waratah Coal’s Galilee Basin project have been sold for Aus$1.5 billion. This has enormous implications for Waratah’s Galilee Basin project, which hosts a much larger and more defined coal deposit.
The comparable project, Linc Energy’s Teresa coal exploration licences, were announced on September 5, 2008 as being purchased by Xinwen Mining Group Ltd. of China. Xinwen currently produces 35 million tonnes of coal per year and hosts coal reserves in China reported in excess of 30 billion tonnes. The Teresa coal licences are reported to host an “exploration target” of 400-500 million tonnes of coal, based on 22 drill holes. This target occurs within the same coal basin that hosts Waratah Coal’s reported 4.3 billion tonnes of Inferred Coal Resources, based on over 80 drill holes and compliant with NI 43-101. Waratah also reports an additional “exploration target” at its Galilee Project for 675-840 million tonnes of coal, itself larger than that of the Teresa licences.
On a relative basis, Waratah’s Galilee Project contains 8 times the coal, at a higher classification of resource, than that of the Teresa licences. The Teresa coal target occurs at a depth of 95 to 155 metres and Waratah Coal’s Galilee deposits outcrop at surface, and dip to depths of less than 200 metres. Longview Capital also notes that Waratah Coal has 56.4 million shares outstanding and had a cash balance of $43.6 million and no debt as of June 30, 2008. Waratah Coal trades on the TSX-V under the symbol WCI and has recently appointed ABN AMRO Morgans as sponsoring broker for a dual Australian Stock Exchange Listing. See Waratah Coal’s website at www.waratahcoal.com for further information.
Note that “exploration targets” are compiled under JORC or CIM standards and the potential quality and quantity are conceptual in nature with insufficient exploration to define a Mineral Resource and that it is uncertain if further exploration will result in the determination of a Mineral Resource. Please refer to Linc Energy’s press release of July 29, 2008 (www.lincenergy.com.au) and Waratah Coal’s press release of June 24, 2008 (www.waratahcoal.com).
About Longview Capital Partners
Longview Capital Partners is an investment company creating long-term shareholder value by capitalizing on early stage opportunities in the natural resource sector, and having the resultant earnings growth recognized in its share price. Longview Capital Partners first began trading on September 5, 2005 and graduated to the TSX senior Exchange on September 24, 2007 under the same symbol “LV”.
Statements in this news release, other than purely historical information, including statements relating to the Company’s future plans and objectives or expected results, constitute Forward-looking statements. Such statements are based on numerous assumptions and are subject to all the risks and uncertainties inherent in the Company’s business, including risks related to mineral exploration and development. Consequently, actual results may vary materially from those described in the forward-looking statements.
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For more information on Longview Capital Partners Incorporated, please contact: Investor Relations (604) 681-5755 website: www.longviewcp.com
SOURCE: Longview Capital Partners Incorporated