Brazil based miner Vale has decided to exercise its option to buy Aquila Resources Ltd
(ASX:AQA) 24.5% stake in the Belvedere hard coking coal project in Queensland, taking its stake to 100%.
Aquila says the purchase price for the stake in the project will be based on a fair market value.
The company says the Belvedere hard coking coal project achieved a major milestone during the first quarter of 2010, with the completion of the project’s pre-feasibility study.
Aquila says this study confirmed that the mine can produce coal for around $71 a tonne, with a mine life in excess of 30 years.
In separate news, Aquila says the West Pilbara Iron Ore project has been granted major project facilitation status by the Federal Minister for Infrastructure, Transport, Regional Development and Local Government.
The company says this grant provides a service to support a timely and efficient Commonwealth Government approval process for the development of the project.
Aquila Resources posted a loss of $26.16 million for financial year 2009 after a profit the year before.
