Hillsborough Resources Limited

Hillsborough Resources Limited

January 16, 2008 14:59 ET

Hillsborough Announces Q4/08 Sale of 130K Tonnes at US $91 Per Tonne FOB and the Sale of Surplus Equipment for CDN $1.2 Million

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Jan. 16, 2008) - Hillsborough Resources Limited (TSX:HLB) is pleased to advise that it has contracted to deliver 130,000 tonnes of its quality Quinsam coal to an Asian generating utility for loading in Q4, 2008. The FOB price has been fixed at US $91 per tonne. This export tonnage is in addition to the normal 400,000 tonnes contracted to the domestic market and is part of the previously announced production increase at Quinsam whereby production from current underground operations increases to 630,000 tonnes (base plan) with additional tonnage of up to 200,000 tonnes to come from other sources.

Hillsborough is pleased to report the sale of 3 Dosco Roadheaders for CDN $1.2 million. These Roadheaders were purchased from a bankruptcy sale in 2000, and are considered to be surplus to requirements.

David Slater, President and CEO stated, "We are now well positioned to capitalize on the recent significant increases in world prices for thermal coal. Based on our recent costs for mining and processing, and increased production, 2008 should prove to be a banner year for Hillsborough."

About Hillsborough Resources Limited

Hillsborough Resources Limited is a coal mining company that operates the Quinsam underground thermal coal mine in Campbell River, British Columbia, serving the local and west-coast U.S. cement industry. The Company is a limited partner in the Peace River Coal Limited Partnership, which has substantial metallurgical coal properties both in production start-up and under development near Tumbler Ridge, British Columbia. In addition, the Company is developing the proposed Wapiti thermal coal mine in the same region. Hillsborough also holds the Bingay Creek metallurgical coal property located in the Elk Valley region of southeast British Columbia.

Contact Information

  • Hillsborough Resources Limited
    David Slater
    President & C.E.O
    (604) 684-9288
    (604) 684-3178 (FAX)
    Website: www.hillsboroughresources.com
    CHF Investor Relations
    Cathy Hume
    (416) 868-1079 ext. 231
    (416) 868-6198 (FAX)
    Email: cathy@chfir.com