Walter Energy Canada Holdings, Inc. Commences Sale and Investment Solicitation Process
VANCOUVER, BRITISH COLUMBIA--(Marketwired - Jan. 15, 2016) - Walter Energy Canada Holdings, Inc. ("Walter Energy Canada" or "the Company"), today announced that it has received approval from the Supreme Court of British Columbia to commence a sale and investment solicitation process for the Company's assets (the "SISP") and to engage PJT Partners LP ("PJT") as Walter Energy Canada's financial advisor.
Pursuant to the SISP, PJT is soliciting offers to purchase some or all of the assets of, or make an investment in, Walter Energy Canada and certain of its affiliates and partnerships. The deadline for submission of non-binding letters of intent is 5:00 pm (EST) on March 18, 2016. Interested persons may contact PJT or the Monitor, KPMG Inc., for further information:
|PJT Partners LP
|280 Park Avenue
||777 Dunsmuir Street, PO Box 10426
|New York, NY 10017
||Vancouver BC 7Y 1K3
|Attention: Kerry Greer
||Attention: Anthony Tillman
|Telephone: (212) 364-8993
||Telephone: (604) 646-6332
The Company also announces that the Stay Period has been extended up to and including April 5, 2016 and that William E. Aziz has been appointed as Walter Energy Canada's Chief Restructuring Officer.
Walter Energy Canada and certain of its affiliates and partnerships obtained creditor protection under the Companies' Creditors Arrangement Act (Canada) (the "CCAA") pursuant to an Initial Order granted on December 7, 2015. This will facilitate, among other things, a marketing process for the Canadian assets and for its holdings in the United Kingdom, consisting of an anthracite coal mine held through a subsidiary company ("Walter United Kingdom").
Obligations incurred after the filing date, including obligations to employees and key suppliers of goods and services, continue to be paid on an ongoing basis. Further details of the CCAA filing and related matters, including copies of the Initial Order, the SISP and other relevant information and documentation are available on the Monitor's website at www.kpmg.com/ca/walterenergycanada.
Walter Energy Canada is a holding company for the Canadian and UK operations of Walter Energy, Inc. of Birmingham, Alabama. Walter Energy Canada and Walter United Kingdom were not part of the U.S. chapter 11 filing of Walter Energy, Inc. on July 15, 2015 and are not included in the asset purchase agreement that Walter Energy, Inc. entered into on November 5, 2015.
About Walter Energy Canada
Walter Energy Canada's Canadian operations consist primarily of three coal mines and exploration properties in the Chetwynd and Tumbler Ridge areas of Northeast British Columbia. Walter Energy Canada also owns one coal mine in South Wales through its subsidiary Walter United Kingdom. All four mines are idled as a result of current market conditions.
- The Wolverine Mine in British Columbia is an open-pit metallurgical coal mine with a coal processing plant and a rail load-out facility capable of handling 2.0-2.5 million metric tons per year.
- The Brule Mine in British Columbia is an open pit metallurgical coal mine and produces a premium low volatile pulverized coal injection (PCI) product.
- The Willow Creek Mine in British Columbia is an open-pit metallurgical coal mine with a coal processing plant and a rail load-out facility capable of handling production from both the Brule and Willow Creek mines. The Willow Creek Mine produces both metallurgical coal and coal used for pulverized injection purposes. The coal reserves are comprised of an estimated one-third metallurgical coal and two-thirds low-volatile pulverized coal (PCI).
- The Aberpergwm Mine in South Wales is an underground development mine located near the town of Neath. The mine produces anthracite coal, which can be sold as a low-volatile PCI coal, and other products used for domestic purposes.
About Walter Energy
Walter Energy is a leading metallurgical coal producer for the global steel industry with strategic access to steel producers in Europe, Asia and South America. The Company also produces thermal coal, anthracite, metallurgical coke and coal bed methane gas, with operations in the United States, Canada and the United Kingdom. For more information about Walter Energy, please visit www.walterenergy.com.
(January 15, 2016 - 8:20 AM EST)
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