CALGARY, ALBERTA--(Marketwire - May 3, 2012) - Maxim Power Corp. ("MAXIM" or the "Corporation") (MXG.TO - News) announced today that its wholly owned subsidiary, Summit Coal Inc. ("SUMMIT"), has issued an updated Technical Report for its Mine 14 (metallurgical coal) project pursuant to National Instrument 43-101.
The report outlines Measured and Indicated Resources are 119.3 million tonnes, reflecting a 359% increase over those reported in 2005, and Inferred Resources are 154.0 million tonnes. Proven and Probable Reserves, which are included in the Resource estimate, are 18.7 million tonnes, representing an increase of 40%. As a result, the estimated mine life of Mine 14 increases from 10 years to 14.4 years based on the currently planned mining program. Refer to the May 2012 Technical Report on SEDAR (www.sedar.com), which was prepared by Golder Associates.
MAXIM also announced today that SUMMIT was awarded two coal leases comprising 2,560 hectares, in the Alberta Government's Public Offering of Crown Coal Rights on May 2, 2012. One of these leases comprises 768 hectares immediately adjacent to MAXIM's existing Mine 14 coal leases. The second lease comprises 1,792 hectares and is located northwest of leases owned by Grande Cache Coal Corporation. The addition of these leases increases the coal lease holdings of SUMMIT by 92% to 5,341 hectares. The May 2012 Technical Report excludes potential Resources and Reserves associated with these new leases.
SUMMIT intends to carry out an exploration program during 2012 to identify additional Resources and Reserves on both its existing and recently acquired leases. Upon the completion of this program, SUMMIT intends to issue a further updated Technical Report.
Additional information on Mine 14 can be found in the Technical Report on the Mine 14 Project for Summit Coal Inc. dated May 3, 2012, which is available on SEDAR (www.sedar.com).
Based in Calgary, Alberta, MAXIM is an independent power producer, which acquires or develops, owns and operates innovative and environmentally responsible power and power related projects. MAXIM currently owns and operates 40 power plants in western Canada, United States and France, having 788 MW of electric and 111 MW of thermal net generating capacity. MAXIM trades on the TSX under the symbol "MXG". For more information about MAXIM, visit our website at www.maximpowercorp.com.
Statements in this release which describe MAXIM's intentions, expectations or predictions, or which relate to matters that are not historical facts are forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties which may cause the actual results, performances or achievements of MAXIM to be materially different from any future results, performances or achievements expressed in or implied by such forward-looking statements. MAXIM may update or revise any forward-looking statements, whether as a result of new information, future events or changing market and business conditions and will update such forward-looking statements as required pursuant to applicable securities laws.
Maxim Power Corp.
President and CEO
Michael R. Mayder
Maxim Power Corp.
Vice President, Finance and CFO