The Company operates an open-pit mine on the Perry Creek property, one of the properties within the Wolverine Group. Coal was first produced in 2006. As of June 30, 2008 the Company has obtained a Mine Permit allowing for coal production from the Wolverine Mine of 3.0 Mt/a, the design capacity of the preparation plant. The capital cost of the mine and plant was approximately $245 million, which was completed on-time and on-budget.
By 2012, the Wolverine Group is expected to be producing 3.5 Mt/a from the Perry Creek, EB and Hermann mines.
Coal from EB will be transported via an existing road (upgrading required) to the Wolverine coal preparation plant. The EB pit was included in the original EA Certificate approval for the Wolverine Project, and in the 2005 Wolverine feasibility study. Work is currently underway on the application for approval of the Mine & Reclamation Plan for the EB pit, to be submitted later in 2008, with approval expected early in 2009.
The Hermann property is part of the Wolverine group of coal properties, although not part of the Wolverine Project as defined above. It is a property which would provide additional feed to the Wolverine coal preparation plant. Hermann is not expected to be developed until 2010.

Buyer
Location: Tumbler Ridge
Manager, Technical Services
Location: Tumbler Ridge
Environmental Superintendent
Location: Tumbler Ridge


