Valory Resources Inc. has received all final regulatory approvals from the Alberta Energy Regulator (AER) to advance its Mine 14 project near Grande Cache into construction and operation, marking a major step forward for the company and underground metallurgical coal mining in Canada. Valory has also completed the acquisition of Summit Coal (Mine 14) from Maxim Power Corp., becoming the 100% owner of the project.
With these approvals in place, Valory can now begin project financing for Mine 14’s development, construction and production. This includes a strategic process underway with Macquarie Bank to identify one or more global partners to participate in the project’s financing and development. Indicative bids will be sought shortly for a potential joint venture interest of 10%-20%, possibly accompanied by offtake arrangements. The equity process will complement a $175 million debt financing facility and associated working capital arrangements.
Mine 14 will be developed as an underground operation producing premium low-volatile steelmaking coal. The underground design significantly reduces surface impacts, minimizes dust and noise and allows other land uses to continue above ground. Mine 14 has estimated resources of approximately 100 million metric tons (mt).
Progress continues on the Blackstone project, with litigation between Valory and the Alberta Government formally resolved in June 2025. With a lease area of about 15,000 hectares and an exploration target of up to 1 billion mt, Blackstone is regarded as a transformational asset. Fieldwork is scheduled to commence in the coming months, which will include at least six deep drill holes and assay testing for rare earth elements.
Valory Resources Chair Michael Arnett said the AER decision is a defining moment for the company and for responsible resource development in Alberta. “These approvals confirm the strength of the Mine 14 project and the confidence that regulators, Indigenous partners and the community have in Valory’s approach. Mine 14 represents the beginning of a new generation of premium underground steelmaking coal operations that will deliver long-term economic and social benefits for Alberta.”
In related news, Valory has formalized six Impact Benefit Agreements (IBAs) with Indigenous communities across Alberta, including the Lac Ste. Anne Métis Community Association, Driftpile Cree Nation, Louis Bull Tribe, Sucker Creek First Nation, Aseniwuche Winewak Nation and the Mountain Métis community.
Canadian business leaders W. Brett Wilson and Russell Wilson have also joined the Valory board of directors following an approximately $6.3 million investment from the Wilson family.
Source: www.coalage.com
