SHIPPING: Cardero, Ridley Terminals reach deal for Carbon Creek coal

BRITISH COLUMBIA – Vancouver-based Cardero Resource Corp. and Ridley Terminals have agreed on terms for the shipment of metallurgical coal from the Carbon Creek project in the Peace River Coal Field.

The agreement has a 15-year term beginning Jan. 1, 2014, with provision to extend the term by three years to Dec. 31, 2031. Contract volume is set at 500,000 t/y through 2014, increasing to 900,000 t/y in 2015. The agreement is subject to Ridley Terminals receiving federal government approval for addition of a fourth stacker-reclaimer that will increase capacity from 24 million to 30 million t/y. Approval is expected in 2012.

Cardero says the Carbon Creek deposit has 137.0 million tonnes of recoverable coal, 115.2-million tonnes of which are suitable for underground mining.

Visit Cardero.com to view the location of Carbon Creek within the Peace River Coal Field.