Vancouver-based NAG said Friday that application has been made with the Kentucky Department of Natural Resources for the transfer of mine permit 861-0443 from Jamieson Construction to North American Gem.
After a new permit number is assigned, a process that is expected to take about 30 days, the mine will become known as North American Gem No. 2.
Company officials said that contractor Kentucky Mine Partners has mobilized the needed mining equipment to the Knox County auger and surface mine, as mining can commence immediately once the permit transfer is completed.
Initial production is expected to range from 8000 to 10,000 tons monthly with the potential to double that rate.
NAG announced the acquisition of the operation in late March. Drilling at the site has been completed.
The No. 2 mine will produce from the Blue Gem seam as well as the Jellico seam, and output will be treated at the North American Tipple Facility.
The facility serves as a central operation and distribution point for all of the company’s mining operations.