coal
A woman sorts coal into different sizes while working at a coal preparation factory at the Coc 6 open-cast coal mine in Cam Pha town, in Vietnam's northeast Quang Ninh province, 200 km (124 miles) from Hanoi September 20, 2010. Reuters/Kham

AIM Exploration, Inc. (OTCQB: AEXE), a US-based mining company that has subsidiaries in the Philippines and Peru, has projected a robust US$35 million (AU$46.8 million) in revenues by the end of 2017, as international demand for its one of its core products, anthracite coal, continues to rise. Anthracite coal is gaining traction as a viable alternative to the traditional oil fuels as a source of power, and power plants that use it as a source of energy have been acclaimed as more protective of the environment, and at the same time less expensive to maintain.

AIM (OTCQB: AEXE) bases its financial projections for anthracite coal for the next 36 months on an assumed selling price of US$110 (AU$147) per MT, and a cost of US$61.77 (AU$82.6) to extract, transport, store, test and loading onto ships. Phase one will be conducted throughout the entire year of 2016. AIM’s goals for this year is to ship nine 35,000 MT shiploads in totaling 315,000 MT. This results in revenues of US$34,650,000 (AU$46.3 million) and EBITA of US$19,457,550 (AU$26,000,538). Yahoo Finance notes that AIM’s stock is currently valued at US$0.06 (AU$0.08).

“Global demand for anthracite oil remains high and will continue to do so in the far future,” said AIM CEO R. (Bob) Todhunter. “It has reached that point wherein China, a major producer of anthracite, has stopped exporting since 2009. Countries all over the world use it not just for energy but for metallurgy, coal gasification and liquefaction, power water purification and filtration, and also for manufacturing of carbon composite materials. We are more than optimistic about the robustness and growth of this industry.”

AIM owns and controls three anthracite mining concessions in Peru, covering 1,000 adjoining hectares in a region approximately four hours from the city of Trujillo. The company obtained these assets from Percana Mining Corp in June 2014. Percana had obtained mining rights in the area based on indications of high-grade anthracite coal. Artisan miners have been operating approximately 20 mines on the property, which supports the presence and mining capabilities of these deposits.

Todhunter points out that India has become a major customer. “We have signed a Letter of Intent with India’s Prina Energy Ltd.,” he continued. “India is a major coal producer and our current agreement is to produce 500,000 MT for them through Prina.”

Prina is expected to issue its purchase order very soon. The Indian government’s current plans to boost its manufacturing sector will increase the demand for coal because of its reasonably low price. The country’s vast energy needs also tend to overwhelm its capacity to produce sufficient amounts of coal to power the rising industries. As a result, economists have observed that the Indian market for coal can grow to become the second largest in the world.

AIM is also in talks with companies from Russia and Turkey to open potential markets based on similar agreements.

In the second year of operations, AIM is anticipating to ship 1,102,500 MT, which results in revenues of US$121,275,000 and EBITA of US$53,172,300. In its third year, the company is anticipating to deliver 2,250,000 MT, and using the same assumptions, the projected revenue would be US$247,500,000, resulting in EBITA of US$108,390,000.

US$1 = AU$ 1.33723

The Anthracite Coal project AIM owns and controls through its wholly owned subsidiary AIM Exploration Inc. is considered to be a high grade Anthracite Coal mining property in the Alto Chicama basin, in the province of Otuzco in Peru. Aim SA acquired these rights by purchasing these assets from Percana Mining Corp (Percana SA), a Peruvian corporation.

AIM Exploration Inc. mines, refines and develops feldspar, as well as anthracite coal. Its Nevada headquarters has operational offices in the Philippines and operates as a junior mining company focusing on global mining and exploration. The company currently has two existing projects, a 40 percent interest in a Feldspar mine located in the Philippines and an Anthracite coal project located in Peru.

AIM partially owns the Paladino Mining and Development Corporation in the Philippines, a subsidiary that is focused on the mining, development and production of feldspar. Feldspar is a non-mineral that is used all over the world to manufacture ceramics and industrial glass. Property development and the construction industries have benefitted from the strength and durability that feldspar-based industrial glass brings to their buildings and other architectural projects.

The Feldspar mine is currently producing and is undergoing upgrades for expanded production. The operation is controlled in a Joint Venture with Paladino Management & Development Corp.

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