Good news for farmers: Ebenezer coal mine in doubt after CEO resignation

Published: August 07, 2013

The CEO and Managing Director of OGL resources has resigned from the would-be coal miner, only days after the company's agreement to purchase the Ebenezer coal project, expired.  Lock The Gate Alliance has called the outcome a win for people power and warned any other would be purchasers off the project, stating that it is a very risky venture that is staunchly opposed by local residents in the Bremer Valley, west of Ipswich.
 
Allan Fidock resigned from the company shortly after midday yesterday, less then a week after announcing that the deadline for making good on the purchase agreement with Zedemar Holdings had lapsed and whilst still facing the possibility of a further legal challenge against the mine, this time to the High Court of Australia.

Local farmers and residents are hoping that this spells the end of OGL's ambitions to mine 13 million tonnes of coal only 5 kilometres from the township of Rosewood.

"The community is now vigilant to the threat of coal and CSG mining in the Bremer Valley, and is ready to stand together to protect our land. We did not allow OGL to threaten our community, and we will not allow any other company to take their place," local spokesperson for the landholders and residents Shirley Doyle said today.

"This is a victory for the local people of the beautiful Bremer Valley, who have taken up the challenge to protect their farms and water supplies from this unwanted coal expansion" said Hannah Aulby, Queensland Coordinator with Lock the Gate Alliance.

"This community has decided to put the health of their children above the interests of reckless coal miners, and they will be celebrating this news this week.

"This outcome sends a strong warning to any other would-be purchasers of this coal project - be it New Hope Coal or any other company - the local people do not want it and it will not succeed.  Any company sinking capital into this project will be wasting their money and pitting themselves against a strong and united community who are prepared to defend their livelihoods.

"We're calling on the Queensland Government to step in now and protect the Bremer Valley from any future coal expansions - they promised to protect the Scenic Rim before the last election and now it is time to act on that" she said.

OGL's agreement to purchase the Ebenezer mine and Bremer View Coal Project from Zedemar Holdings Pty Ltd lapsed last Thursday, as the coal company was unable to raise the capital required to buy the assets, effectively ending the company's ambitions to develop the two coal leases.

Only four weeks previously, Mr Fidock had spruiked the future of the company to shareholders.

"I can assure shareholders OGL remains determined to complete the acquisition of these tenements and commence development of what continues to be an economic and valuable reserve of high quality thermal coal, even in the currently stressed international coal market," Mr Fidock said on the 12th of July.

Mr Fidock leaves the company with 700,000 ordinary shares, with a market value of $10,500.

-ENDS-


Contact Details:

Hannah Aulby
Queensland Coordinator, Lock the Gate Alliance
Ph 0427 079 729

OGL Resource's Acquisition Option Lapse statement to the Australian Stock Exchange (1/8/2013)
http://www.asx.com.au/asxpdf/20130801/pdf/42hfdhdkl7jgyb.pdf

Mr Fidock's Resignation statement to the Australian Stock Exchange (5/8/2013)
http://www.asx.com.au/asx/statistics/displayAnnouncement.do?display=pdf&idsId=01431356

Mr Fidock's comments following news that a High Court challenge was looming (12/7/2013)
http://www.qt.com.au/news/miner-confident-action-in-high-court-will-fail/1942343/

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