| Moderated By: doubloon -- (Moderated) -- Started: 7/12/2012 10:29:13 AM Revision History |New Columbia Resources, Inc. (NEWC OTC:QB) formally VSUS Technologies, Inc. (VSUT.OTC:QB), through it’s wholly owned subsidiary, will acquire, explore and develop coal mining concessions in Colombia.
First aquisition, La Tabaquera Concession Contract No. ILE-09551 (“The Concession”) granted for the Exploration and Exploitation of a Carbon Mineral and other Grantable Mineral Deposits by the Colombian Institute of Geology and Mining (INGEOMINAS), will allow us to enter the growing Colombian coal mining industry. We will implement new US mining technologies to provide innovative approaches to geological engineering, and clean coal mining in Colombia.
New Columbia has entered into a definitive agreement to acquire Compania Minera San Jose Ltda. in Colombia from Erasmo Almanza. Compania Minera San Jose Ltda. is a twelve year old company set up to explore and exploit coal in central Colombia. VSUS Technologies is acquiring "San Jose Mining" to use as an operating subsidiary for their coal operations in Colombia.
Colombia Coal Sector
According to the World Energy Council, Colombia had 6,814 million short tons (MMst) of recoverable coal reserves in 2007, consisting largely of bituminous coal and a small amount of metallurgical coal. The country has the second-largest coal reserves in South America, slightly behind Brazil. Colombia’s coal is relatively clean-burning, with a sulfur content of less than 1 percent. Over the past decade, production has more than doubled, reaching 86.7 MMst in 2008. Colombia’s coal consumption was only 5.2 MMst in 2008, leaving most of the country’s production available for export; in 2008, Colombia was the fourth-largest net coal exporter in the world.
Colombia completed the privatization of its coal sector in 2004 with the closing of Minercol, the former state-owned coal company. The largest coal producer in Colombia is the Carbones del Cerrejon consortium, composed of Anglo-American, BHP Billiton, and Glencore. Drummond Co. operates the second-largest coal mine in Colombia, La Loma producing about 20 MMst per year.
This company will have three revenue producing business units in Colombia: coking and coal mining in Guaduas, Colombia, docks and river transportation along the Magdalena River, and a coal export terminal on the northern coast of Colombia. The Company is also exploring allegiances with U.S. universities to study capturing Coal Bed Methane (CBM) in Colombia
About Guaduas, Colombia
Our first mining acquisition is in the town of Guaduas, Colombia. VSUS Technologies will become a responsible neighbor in Guaduas. The company will sponsor health centers, schools, and many other causes when needed. Under Colombian law, mining companies are required to donate for social benefit. Mr. Erasmo Almanza, shareholder, has strong ties to the community and expects VSUS Technologies to have the full faith and support of the Town of Guaduas. Guaduas is a municipality of 35,000 people with excellent electrical and water supply and an ample workforce.