News Archive

24 May 2006

Grievehill change of planning consent

ATH Resources plc, one of the UK’s largest coal producers, announces that it is today submitting an application for a change of condition to the planning consent in respect of its Grievehill site to allow for a further 370,000 tonnes of coal to be extracted from within the existing site boundary. Coal will be extracted from the same sequence of coal seams that occurs throughout the rest of the site and will be supplied to power generation, industrial and domestic markets.

The Grievehill site was purchased from The Scottish Coal Company Limited in 2005 and entered production in September of that year. The site covers some 118 hectares and is located adjacent to the operational Garleffan opencast coal mine, being approximately 8 km south east of the town of Cumnock, Ayrshire.

Tom Allchurch , Chief Executive of ATH Resources plc, said: “We are confident that the local authority will look favourably upon this application as the coal extraction will occur within the site’s existing operational area. The reserves will secure the continued employment of the workforce within land that is already disturbed resulting in minimal environmental effects.”

 

For further information:
ATH Resources
Tom Allchurch, Chief Executive	Tel: +44 (0) 1302 760 462
tom.allchurch@ath.co.uk
Media enquiries:
Abchurch
Sarah Hollins	Tel: +44 (0) 20 7398 7700
sarah.hollins@abchurch-group.com	www.abchurch-group.com

Notes to Editors

ATH Resources is an AIM-listed operator of opencast coal mines in the UK with its current two operational mines, Skares Road and Garleffan, located near New Cumnock, East Ayrshire in Scotland. The Company is currently the third largest producer of coal in the UK producing approximately 1.7 million tonnes per annum. Coal was used to generate 34 per cent of the UK’s electricity in 2005 and the Company holds coal supply contracts with four of the UK’s main electricity generating companies.

The management team has been in place since 1998. It acquired the rights to operate (and subsequently acquire) the Skares Road mine with support from The Alchemy Plan and Bank of Scotland. Following ATH Resources’ incorporation in October 2003, and backed by a follow on investment from The Alchemy Plan, the Company acquired the Garleffan mine in November 2003.

In June 2005 the Group acquired two new opencast sites, Grievehill and Glenmuckloch in Scotland for £18 million using the £16.8 million raised by way of an Open Offer on the basis of 1 New Ordinary Share for every 3 Existing Ordinary Shares. The acquisition increased the Group’s reserve base by 160% and provided longer term stability to the business.

In addition to its operating mines, the Company also has a number of other coal mining projects in Scotland and two through its French subsidiary, SRMMC including a series of six existing coal concessions in south-central France, covering an area of 36km, 2 with an estimated resource of approximately 4.5 million tonnes of recoverable coal.

In May 2006 the Group acquired Doncaster-based A Ogden & Sons Limited a successful coal recovery, land remediation and regeneration business with a particular focus on colliery spoil heap reclamation projects. ATH paid net £9.5 million for the business. The acquisition, which was earnings enhancing, allowed ATH to build on its skills as a regenerator of land, whilst developing strong relationships with key English planning authorities.

ATH Resources listed on the AIM market of the London Stock Exchange in June 2004 under the symbol ATH.L

 

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