ROYAL STANDARD MINERALS, INC.
WWW.ROYALSTANDARDMINERALS..COM
SYMBOLS:
RSM-TSXV (Toronto
Venture Exchange)
http://finance.yahoo.com/q?s=rsm/.v
RYSMF- OTCBB (US
OTCBB)
http://finance.yahoo.com/q?s=RYSMF.OB
Jun 12, 2008 09:00 ET
Robert N. Granger Appointed Chairman of
RSM Board of Directors
RSM to enter into a joint venture to
develop coal properties in eastern Kentucky
MANHATTAN,
NEVADA- June 12, 2008- ROYAL STANDARD MINERALS INC., "RSM",(TSX
VENTURE:RSM)(OTCBB:RYSMF) Royal Standard Minerals Inc. is pleased to announce
that it has appointed Robert N. Granger Q.C. as Chairman of the Board. Mr.
Granger, an Ontario resident, has practiced law in Toronto, Ontario
for more than 30 years mainly in the corporate and securities law areas. He has
been an officer and director of a number of resource companies during this
period. Currently Mr. Granger serves as Chairman of Harricana River Mining
Corporation as well as a director and officer of a number of other companies.
Roland M. Larsen indicates, "we are pleased to have the depth of
experience that Mr. Granger has to help provide management strength to RSM
going forward."
Roland
M. Larsen, CEO to announce that Royal Standard Minerals Inc.(RSM) has reached
an agreement in principle with Sharpe Resources Corporation on which he also
serves as CEO and (SHO.H, OTCBB:SHGPF) to jointly develop and operate a number
of coal projects in Eastern Kentucky. Sharpe currently controls 100% interests
in a number of coal projects in West Virginia
and Eastern Kentucky. To enter into the
transaction RSM has agreed in principle to advance to the project up to $2
million to facilitate the startup.
In
order to conduct the negotiations and settlement of definitive agreements in
this connection, the board of RSM has appointed an independent committee of
directors consisting of Robert N. Granger (chairman) Mackenzie I. Watson and
James C. Dunlap to evaluate finalize and recommend the transaction to the Board
of Directors of the Company if warranted. It is anticipated that the business
will operate as a joint venture between the companies at least at the outset.
In an
effort to achieve diversity within its natural resource portfolio the RSM has
entered into the jv program mentioned above focused initially on the eastern Kentucky
coal fields with Standard Energy Company a subsidiary of Sharpe Resources
Corporation. The joint venture will involve the opportunity for RSM to earn a
40% interest in coal projects that Standard has acquired or holds under option
agreements. RSM can earn its $40% interest by advancing four projects to
production over the next 12 months.
The
Central Appalachian coal region is a major participant in the domestic and
international coal markets and a leading exporter of metallurgical coal. This
region to include Eastern Kentucky and southwestern West Virginia are
participating in one of the one of the hottest coal markets in memory, a
perfect storm that has descended on the worldwide coal business with no
apparent near term solution to international demand because of the overwhelming
growth in China, and unsatisfied demand in Europe and India. The international
coal producers cannot keep pace with demand, this in turn has a direct impact
(pricing pressure) on the domestic coal market. The Central Appalachian region
is the site of one of the few areas in the US
that holds large resources of metallurgical coal. Coal prices are up to $200-$250
per ton for metallurgical coal and in the $100-$150/ton range for high btu
steam coal.
Stock
prices for coal companies operating in this region in the past 6-10 months have
increased in many cases, by more than 300% in this market with new stock market
highs almost on a daily basis. RSM is getting into a market that offers the
potential for rapid growth and at the same time provide it with some diversity
into the strong energy business. The energy business is seen as being more
immune to market conditions that affect volatility in the other commodities.
RSM
will continue to work diligently on its gold projects in Nevada
as part of an effort to advance the development programs that are currently in
progress. Particular attention will be maintained on the Goldwedge project in
an effort make this property profitable in the near term. To this end the
Company has recently acquired and installed another Knelson Concentrator.
RSM is a natural resource exploration and development company.
Royal Standard Minerals cautions that the statements made in this press release
and other forward looking statements made on behalf of the Company may be
affected by such other factors including, but not limited to, volatility of
mineral prices, product demand, market competition, imprecision of mineral
estimates, and other risks detailed herein and from time to time in the
Securities and Exchange Commission filings of the Company.
The TSX.V Exchange does not accept responsibility for
adequacy or accuracy of this release as per Exchange Policy 3.3 section 6.5.
For more information, please contact
Royal Standard Minerals Inc.
Roland Larsen
Qualified Person NI-43-101
775-487-2454
775-775-2460 (FAX)
or
Royal Standard Minerals Inc.
Mr. Rich Kaiser
Investor Relations
800-631-8127
RoyalStandardminerals.com
RSM.TSXV/ RYSMF.OTCBB
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