New Colombia Resources Inc. (“New Colombia” or the “Company”) is a publicly traded resource company listed on the OTCQB under the symbol “NEWC”. The Company is focused on the acquisition and development of high quality metallurgical coal properties in Colombia, considered one of the most attractive emerging markets. With an estimated US$378 billion in gross domestic product in 2013, it became the third largest economy in Latin America and is growing 4% to 6% per year. Colombia has the largest coal reserves in Latin America and is the fourth largest coal producer in the world. Total coal production decreased by 4% in 2013 to 85.5 million tonnes. Coal producers aim to increase coal output in 2014. Colombia privatized its coal sector in 2004 and is committed to investing in infrastructure to support increased mining.
We are focusing on our La Tabaquera coal and rock project (the “Project”) located in the Municipality of Guaduas, approximately 100 kilometres northwest of Bogota. This Project’s haul roads are easily accessible either by National Highway I-50 or the new Ruta del Sol. The property is within 50 Km of the Magdalena River, providing easy transport to terminals in Barranquilla, Santa Marta or Cartagena for export. The Magdalena River is being dredged to allow cargo from La Dorada which in close proximity to their mine.
Recently we purchased a rock crushing plant with a capacity to process over 100 m3/hour of aggregates which is expected to be operating in November 2014. Demand is strong for building material in Colombia since many illegal mines have been closed as new construction and infrastructure projects come online. Recent discoveries of potential Rock Phosphate and Asphaltite on our property are being tested.
An “Estimate of Probable Reserves and Grantable Potential of Coal at La Tabaquera Mine” report was prepared on behalf of New Colombia in September 2011. The report estimated reserves for La Tabaquera Project of 13,073,935 cubic meters for a total of 16,996,116 tonnes of bituminous coal (non JORC compliant), with 70% being metallurgical hard coking coal and 30% thermal coal.
Based on the high quality of our coal, we expect to sell at a premium to other domestic coals. In August 2014, the market price for thermal coal in Colombia increased by 4% to $ 68/mt, coking coal blends sold for $ 95 per tonne. Beginning in 2015, New Colombia will concentrate tunnel mining its hard coking coal seams first. The Company expects to mine 20,000 tonnes of hard coking coal per month and 10,000 tonnes of thermal coal per month.
New Colombia also has renewable resource projects in Colombia they plan to develop and spin off as a dividend to shareholders.
Ruta del Sol Map
NEW COLOMBIA RESO: 0.045 (0.00 - 0.00%)
Ecopetrol S.A. Am: 43.15 (+0.70 - +1.65%)
Phone (USA +1) 410 236 8200
Compañía Minera San José Ltda.
Kra. 3 # 2-52
Guaduas, Cundinamarca, Colombia
Phone: (COL +57) (1) 846-6579
We have been featured in the news numerous times in Colombia Business Publications... read more