Q2 2014 Production and Sales Update

Atlantic Coal plc ("Atlantic Coal")

Q2 2014 Production and Sales Update 

Atlantic Coal, the AIM listed anthracite coal mining company operating in Pennsylvania, USA announces production and sales update for the quarter ended 30 June 2014 from its Stockton Anthracite Mine ("Stockton"), located near Hazleton, Pennsylvania.

Q2 2014 Key productionand sales fundamentals:

● Clean coal production of 48,810 tons (Q1 2014: 35,757 tons);

● Clean coal sales of 39,289 tons (Q1 2014: 36,449 tons);

● Clean coal stockpile stood at 12,210 tons (Q1 2014: 2,702 tons);

● Run of Mine ("ROM") production of 185,903 tons (Q1 2014: 85,270 tons);

● ROM stockpile stood at 46,367 tons (Q1 2014: 58,036 tons); and

● Bank cubic yards ("BCY") of overburden removed 494,896 (Q1 2014: 856,254 BCY).

Production Summary Q2 2014:

Atlantic Coal's Managing Director, Steve Best, said: "Our Q2 volumes were not only up on the previous quarter but more importantly were significantly up on Q2 2013. Whilst Q1 production and sales were adversely affected by the worst winter in Pennsylvania for 20 years, we bounced back in Q2 with a 37% increase in coal production and an 8% increase in sales. As we move from spring to summer sales generally fall off but in Q2 we increased sales by 65% compared with Q2 2013 (23,761 tons) and production by 59% compared with Q2 2013 (30,641 tons). This reflects a distinct strengthening in the market and our ability to meet this with increased production.

Our production strategy is based on keeping the washing plant fully utilised and, in order to maintain the ROM feed stockpile to meet the clean coal production target and demand for our product, I am pleased to report that a second shift commenced at the mine on 23 June 2014. I am also pleased to report that, as a result of improvements to the washing plant and washing operations we have improved the annual wash recovery rate (% clean coal recovered from the ROM coal) from 39.3% at the end of Q1 to 46% at the end of Q2.

This all puts Atlantic Coal well on course to meet production targets for 2014."

**ENDS**

For further information on the Company, visit: www.atlanticcoal.com or contact: