The Foreign Investment Review Board has given its approval for TerraCom Ltd (ASX:TER) to acquire the disused Blair Athol Coal Mine in Queensland.
This is one of oldest and largest coal mines in the sunshine state.
TerraCom bought the mine through its subsidiary, Orion Mining Pty Ltd, at a purchase price of $1. And this acquisition includes the mining lease, licences, land, contract and all plant and equipment.
TerraCom also recently secured US$12 million to fund the commissioning of the mine to deliver its first coal sales in December, this year.
In regards to the coal mine, the company has forecast positive cash flow, through a low overhead structure and operation efficiencies.
TerraCom reported a net loss of $74 million at 31 December 2015.