Τhe US Army Corps of Engineers issued to Titan Group’s subsidiary in the US, Tarmac America LLC, a permit to mine in the Lake Belt area of Miami-Dade in Florida, the company said Tuesday in a statement.
The new permit has a tenure of 20 years, provides specific requirements for operating the mine and was issued to implement the U.S. Army Corps of Engineers (ACE) Record of Decision (ROD) published on February 1, 2010.
The ROD followed a Federal-Court-mandated Supplemental Environmental Impact Study (SEIS), issued for public comment in May 2009.
“The new permit is not expected to have a significant impact on current operations and profitability, within the context of current depressed market conditions. However, it removes a source of uncertainty and allows Titan a long term focus on operating excellence and environmental stewardship,” the company said.
"The new permit is not going to have a direct effect on the results given that the aggregates mainly and the cement market are thin at the moment. However, in case the demand picks up, Titan secures sufficient supply for the sale of aggregates and for the support of the profitability margins of the Pensuco plant in Florida. According to the company, the mining in Lake Belt under the new requirements will have an additional cost of US$0.45 per ton, and is mainly related to the area restoration. Note that during the peak period, Titan sold around 6m tons of aggregates and hence, we can calculate a maximum additional