Riversdale Mining [ASX: RIV] - Riversdale and Tata Steel approve initial development of Benga Coal Project in Mozambique Riversdale Mining Limited (ASX: RIV) and Tata Steel Limited are pleased to announce the approval of the approval of Stage 1 of the Benga Coal Project in the Tete Province of Mozambique. Riversdale Mining Executive Chairman Mr Michael OKeeffe said that the decision represented the official go-ahead for the companys coal mining operations in Mozambique. Construction is expected to commence before year end upon receipt of final environmental approvals. Following the review of the Feasibility Study by project partners Riversdale Mining (65%) and Tata Steel (35%), the project was approved by the joint venture company responsible for the Benga Coal Project. The project approval involves the commitment of US$270 million (excluding working capital) to undertake the initial Stage 1 development of the Benga Coal Project. Stage 1 entails initial production of 5.3 million ROM tonnes per year to produce approximately 1.7Mtpa of high quality hard coking coal and 0.3Mtpa of export thermal coal. Funding for Stage 1 of the project will be provided by Riversdale Mining and Tata Steel in their respective proportions from existing cash resources or any alternative means as appropriate. Riversdale Mining currently has A$268million cash to fund its share (US$175million) of the project. We are committed to bringing the Benga Coal Project into first production during 2010, and we will be supplying the worlds coking coal markets in 2011 initially through our relationship with project partner Tata Steel in India, Mr OKeeffe said. Find more details in the attachment. For further information, please contact: Steve Mallyon Managing Director Ph: +612 8299 7900 Niall Lenahan CFO Ph: +612 8299 7900 or Media: Fortbridge Bill Kemmery Ph: +612 9331 0655 Mob: +61 400 122 449 Email: Fortbridge.NET is a specialist web-based service for clients ("Issuer") of Fortbridge Consulting Pty Ltd. DISCLAIMER: The message and attachment issued with this email may contain "forward-looking statements", which are projections that reflect the Issuer`s reasonable beliefs based on information currently available. Fortbridge is a Public Relations consultancy. PRIVACY: You have been regarded as a relevant contact through research. Please consider the environment before printing this document.
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