Hillsborough unit finalises coal-supply contract

Hillsborough Resources Ltd.has reported its Quinsam mine has finalized a new three-year contract to supply coal to a major international cement manufacturer, starting Jnuary 2006. The company said the 2006 delivery year price was set, while 2007 and 2008 prices will be partially subject to the producer price index for coal mines and partially based upon the New York Mercantile Exchange index for bituminous coal.

Quinsam is an underground thermal coal mine located in Campbell River, British Colombia, Canada, serving the local and West Coast US cement industry. Hillsborough also operates the Crossville underground coal mine in Tennessee which is currently being brought into commercial production.