* Sees coal production from new mine in Q1 of FY11
* Plans to increase clean coal production
Dec 2 (Reuters) - Canadian metallurgical coal miner Grande Cache Coal Corp GCE.TO said it has received regulatory approval to proceed with the development of a new surface mine at Smoky River Coalfield in west-central Alberta.
The Alberta-based company said it expects to produce coal from the No. 8 surface mine during the first quarter of fiscal 2011, which begins April 1, 2010.
“The No. 8 mine will provide us with over ten years of good quality surface mining resources,” Chief Executive Robert Stan said in a statement.
The company also said it plans to spend about C$180 million ($172.2 million), primarily to increase clean coal production at the existing mine site to 3 million tons per year within the next three fiscal years.
Shares of Grande Cache closed at C$4.07 Tuesday on the Toronto Stock Exchange.
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