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13:01 on
09-05-2008
$0.380
 -0.04
15-20 min delay
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Lysander Minerals Corporation is in a period of dynamic growth. The Company is re-organizing to take advantage of development opportunities, commencing with the Verticalnaya coal mine located in the Lugansk region of Ukraine.
The Verticalnaya mine produced anthracite, a high quality, premium priced coal. Verticalnaya has substantial existing assets including two deep shaft systems. After a period of low production and following the break-down of the Soviet Union, it was placed on care and maintenance. Lysander plans to re-open the mine on a significantly expanded basis.
Under the terms of a Letter Agreement signed in June, 2008, Lysander has the right to enter into an option agreement to purchase all of the issued and outstanding shares of Ukraine Energy Limited, a wholly-owned subsidiary of Ukraine Coal Ltd., which owns 51% of the issued and outstanding shares of East Coal Company Limited and holds the right to acquire the remaining 49% of East Coal. East Coal owns the mineral rights and assets of the Verticalnaya coal mine.
Upon the exercise of the option, consideration of $12,000,000, comprised of $6,000,000 in cash and a $6,000,000 interest bearing convertible note will be payable to Ukraine Coal. The convertible note, which is redeemable in whole or in part after a period of one year, may be converted to Lysander shares at a price of $1.00 per common share. A good faith deposit of $100,000 has been advanced, of which $75,000 is refundable, while the necessary due diligence is completed.
A NI 43-101 technical report is currently being prepared.
The pace of foreign investment into Ukraine is high, but there has been little investment into the mining sector. As an early entrant, Lysander expects to benefit both from the quality of the Verticalnaya project and exposure to other opportunities.
Lysander is in a unique position to
- be a leader in investing into the Ukraine mining sector,
- benefit from years of work by Ukraine Coal (the vendor),
- acquire substantial existing assets including two deep shaft systems,
- achieve good returns by developing one of the first modern coal mines in Ukraine and
- potentially develop new opportunities within the Donbass coal region.
The Company is well positioned - with a very experienced and accomplished Board of Directors, which now includes: Mr. Charles Pitcher, a director and former CEO of Western Canadian Coal Corp. (TSX-V: WTN), who is a mining engineer and manager with vast experience; and, Mr. John Conlon, whose directorships include Cambrian Mining PLC, Western Canadian Coal Corp. and Coal International PLC, who has extensive experience in underground mining operations and the management and financing of mines.
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Thu Aug 7, 2008 : Board Changes (more...)
Mon Jul 21, 2008 : Positive Progress At The Verticalnaya Coal Mine In... (more...)
Thu Jun 26, 2008 : Letter Agreement Signed With Ukraine Coal (more...)
Tue Jun 24, 2008 : Board Of Director Appointments & Grant Of Stock Op... (more...)
Fri Jun 6, 2008 : 2008 Pinchi Exploration Program Planned (more...)
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