Buyers Financial Information by vqo36936

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									      GOTTESMAN COMPANY & Cooperating Intermediaries                                            Seller Profile

      New York ~ California                                                                 Mergers & Acquisitions

CONFIDENTIAL




                                         Acquisition Opportunity

                Northern Appalachian (NAP) Coal Mining Reserves

     Business Description: These are 984 acres of northern Appalachian (NAP) coal mining
     rights available for immediate purchase. This is top-of-the-line Northern Appalachia
     (NAP) metallurgical bituminous coal. It is recoverable by deep mining (reserves were
     calculated on the room and pillar method of mining). These are reserves, not yet mined.

     The conservative estimate is that 4.08M tons of coal can be mined at this location. For
     interested and qualified purchases the customary engineering report is available, which is
     current. This is the highest grade coal available in the United States. The Seller owns all
     the land, surface and mineral rights. ALL ARE FOR SALE. Interested buyers can look at
     just the minerals rights, the land, or the entire package.

     Operational Strengths: Typical mining costs can range from as low as $20 to the low
     $30’s per ton depending on how the mine is developed. Or, the reserve could be leased
     to a reputable mining company who will permit the reserve, mine it, and pay the owner a
     royalty on each ton that is delivered to the market. There is no cap on the number of
     years to mine for the owner.

     The Transaction: The asking price to acquire these rights is $40M. The seller will accept
     customary due-diligence contingencies from qualified buyers.

     Financial Information: The latest (3/5/10) spot market for Northern Appalachian coal is
     $64/ton. This is down from $105/ton two years ago, but the price has been climbing for
     the past 9 months. At $64 the value of the coal is $261M with the cost of $122M for
     mining ($30.00/ton). The net value at this level is therefore $139M. Please see the
     government site for the latest spot prices for this grade coal. www.eia.doe.gov


                                            Direct All Inquiries to

                                            Gottesman Company

                                        Refer to: S-2482-1 OB GV

                               Tel: 212-570-0700            Fax: 212-734-2511

                                E-mail: office@gottesman-company.com


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   Gottesman Company – 200 East 71 Street – New York, NY 10021                 www.Gottesman-Company.com

     Gottesman Company makes no warranty or representation in connection with the information provided herein.
         Gottesman Company is a Finder, whose mission is to locate opportunities and introduce participants.

								
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