The mining permit application is in review with the Department of Natural Resources (DNR) offices in Frankfort, Kentucky and is expected for approval within 75-90 days.
It is a surface mining permit application for the mining of 220 acres of the Jellico coal seam. The coal leases also cover the Blue Gem coal seam which is in process of being permitted as well and is expected to be ready for mining early in 2010.
The mining permit was submitted in the name of American Blue Gem and Steam Coal and will be known as the North American Gem Mine #2.
As a result of the negotiation to acquire the North American Gem Mine #1, the decision was made to add acreage to the mining permit application and will result in an overall increase in size of the mining project.
Production is expected in October 2009 on the leases known as the North American Gem #1 Mine Permit located in Whitley County, Kentucky.
North American Gem also plans to have the coal from the Jellico seam extracted from the North American Gem #1 Mine, to be the first coal to run through the newly acquired Cobra Tippling Production Plant.
