Tuesday, April 21, 2009

Linc Energy coal tenement sale update

Linc Energy has progressed significantly on the coal sale process and expanded these discussions to include three coal tenements with negotiations to now be on an exclusive basis.
Linc Energy Ltd (ASX:LNC) (OTCQX:LNCGY) is pleased to announce that it has recently agreed to negotiate on an exclusive basis with one party in relation to the coal tenement sale process.
Linc Energy can also confirm that the negotiations now cover three of its coal mining tenements, being the Emerald (Teresa), Galilee and Pentland coal tenement areas. All three coal mining areas are non-core assets of the Company, though all have excellent coal mining potential.
The negotiations, whilst having progressed more slowly than the parties had anticipated over the past four weeks, are nearing completion.
Mr Peter Bond, CEO of Linc Energy said, “I must admit that many of the people on the buyers side and I were confident that our two groups would have completed the coal sale deal and subsequently been in a position to announce and sign the agreement by today. However, I am sorry to say that as yet we have not been able to reach the point where a formal announcement can be made. We are close, and a number of significant steps have been achieved over the past four weeks and I look forward to updating the market in the near future.”

The Company will provide a further update to the market as soon as additional material information is available.

Company Profile

Linc Energy is an innovative, forward thinking energy company and Australia’s leader in clean coal technology. The Company’s vision is to become a dominant player in the supply of more environmentally friendly power, diesel and jet fuel.
Linc Energy aims to achieve this vision by bringing together, for the first time anywhere in the world, two proven production processes known as Underground Coal Gasification (UCG) clean coal technology and Gas to Liquids (GTL).
These processes will economically convert vast “stranded” coal deposits into ultra clean liquid fuels.
Linc Energy will also use the Syngas produced from UCG clean coal technology as feedstock for gas turbines to generate much needed environmentally friendly electricity.
The Company has a unique leading edge capacity to provide a viable, more sustainable and smart alternative source of liquid fuels and power generation well into the foreseeable future.
Linc Energy represents a new future for liquid fuels production and power generation.

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