Another article on the Italian coal miner:

Tuesday, October 28, 2008, 20:06 am
Source: AFP

Venezuela-Italy-coal-mining
State and Italian consortium are associated to exploit coal in Venezuela

The state National Mining Company (MNCs) from Venezuela and the Italian firm Coal Energy on Tuesday signed a memorandum of understanding to exploit coal deposits in the Venezuelan state of Anzoategui (east), the official agency ABN reported.

According to ABN, MND and the Italian Coal Energy will form a "strategic partnership" to explore and exploit coal reserves in "mining areas Fila Master II and III Fila Maestra, located in the municipality Manuel Bruzual."

The mining plan will be developed through a "contract operation" between MNCs and the Italian company, through its subsidiary Carbones de Venezuela Bruzual, whose signature is expected in less than a month, ABN explained to the president of the Venezuelan state, Oscar Roa.

This indicated that "the Venezuelan State will have a direct involvement in the production process, together with communities," but added that "the entire investment will be in charge" of the Italian partner.

For his part, Antonio Peng, general manager of the Italian Coal Energy, told ABN that "the project will work with communities as far as reforestation and environmental control."

The chairman of the state MND also said that any project being undertaken within the framework of the contract canceled "the tax of 3% per mining."

"Additionally, the Venezuelan state will receive 40% of net income, producing, 20% will be allocated to communities and the rest of the gain (40%)" will be for private investors, he added.

According to Roa, this pattern of business "will become an example to follow for any other project of the branch" in Venezuela

Once you sign the contract, it will begin exploratory studies and analysis of technical and financial feasibility required to start the exploitation of coal.

pt / EMM