The decline (ramp) development tender was recently finalized with TWP Projects and production is expected to begin soon. Fill material from the box cut excavation has been used in the construction of the terraces for the site buildings, construction of the contractors lay down area, as well as the access roads and visual berms. This work is now 65% complete. The Penumbra mine is expected to produce 500,000 metric tons per year of high-quality export thermal coal. First production from the underground mining operation is forecast to commence during the second quarter of 2012 with full production targeted to be achieved in the third quarter of 2012.