The company just completed an outright purchase deal for the Blount County metallurgical mine’s first auger machine, a move officials said was intended to reduce lease and contract operating fees paid to the equipment manufacturer.
Novadx also said Rosa’s mining rates had improved since the second shift commenced, and gross tonnage from the operation has gone up as the thickness of the Rosa seam has increased.
The two companies are now looking to acquire an onsite wash plant at the operation, and recently filed a revision to its mine permit for the implementation of the facility.
“The addition of the wash plant will significantly increase recoveries of fine coal particles, reduce operating costs and improve the quality control,” Novadx officials noted.
A June 25 decision by the Alabama Environmental Commission in favor of the state’s Department of Environmental Management’s issuance of a national pollutant discharge elimination system permit, allowing the final issuance of the ADEM’s final permit to MCoal, has been appealed by the petitioners.
MCoal has since filed an intervention motion and said it would assist ADEM in its appeal defense.
"The original order of the court confirms that we have met or exceeded all legal and environmental requirements pertaining to issuance of the permit, and through proper reclamation work we are also reducing uncontrolled surface discharges from the historical mine workings at the Rosa minesite,” Novadx president and chief executive officer Neil MacDonald said.
“Production and sales of coal from the Rosa Mine will not be interrupted by this appeal."
MCoal is still developing its exploration plan for the Dade County, Georgia, coal operation that was announced last month.
The goal is to implement an exploration plan to bring the historical estimates of the property into a National Instrument 43-101 (NI 43-101) compliant resource estimate.