Drummond gets OK to build second Colombian coal mine

Monday, 04 Aug 2008

Drummond Co. announced that Colombian government has given it permission to begin construction of its second coal mine in the South American nation.

The El Descanso mine site is near Drummond's Pribbenow Mine in northeast Colombia. Initial investment is USD 1.5 billion to develop the mine and the railroad and seaport used to export the coal to electric utilities worldwide.

Drummond said the surface mine will open in 2009 and produce 50 million tonnes per year. That will bring Drummond's total Colombian production from two mines to 75 million tonnes.