L & L Energy (NASDAQ:LLEN)

SEATTLE, Jan. 30, 2012  /PRNewswire/ -- L & L Energy, Inc., (Nasdaq: LLEN) ("L&L" or the "Company"), a U.S.-based company founded in 1995 with coal mining and distribution businesses in China, announced today that it has entered an agreement acquiring 51% controlling interest of the Weishe coal mine ("The Mine" or "Weishe") in China.  

Weishe Mine Acquisition Highlights          

• Purchase Price:            Approximately $16.2 million, to be paid in full with 3 million LLEN shares at $5.396/share
• Interest %:                   51% controlling interest
• Mine Reserves:            19 million tons in a 1.8 square KM site
• Design:                        450,000 ton annually  

Estimated FY2013 (Ended April 30) Impact of Weishe

• Production:                                124,000 tons
• Price per ton:                              $158
• Revenues:                                  $19.6 million
• EBITA:                                       $9.8 million
• Cash flow attributable to L&L:       $3.75 million

Weishe mine produces high quality, low sulfur, anthracite coal, and is one of three newly constructed mines owned by Union Energy located in Hezhang, Guizhou Province, China. The mine is expected to be expanded to its designed 450,000 tons of annual production over the next few years.

Dr. Syd Peng, L&L board member and world-renown mine expert, said, "I welcome the new Weishe mine, which is the first of many new mines we are targeting to upgrade our mining portfolio for better safety and mechanization."  Mr. Po Shui, owner of Union Energy, a local Guizhou company, stated, "I believe in L&L and am pleased to take common shares as payment. I also look forward to the possibility of joint venturing with L&L on two other Union Energy mines, one of which is scheduled to begin producing in the spring and the other in the fall of this year."

Dickson Lee, Chairman and CEO of L&L Energy commented, "L&L Energy has been focused on executing our plan for the Guizhou consolidation. With the recently established Hong Gou operational office in Guizhou, the government's approval of our new wholesales license, and now the addition of the Weishe Mine, we are positioning ourselves well to fully execute the two one millions ton wholesale agreements negotiated in the fall of 2011," Lee continued. "The management team at the Weishe mine is very strong and will be excellent addition to L&L as we scale at a faster pace. To share in our excitement, we invite investors to visit our new operations this summer."

SEATTLE, Sept. 6, 2011 /PRNewswire/ -- L & L Energy, Inc., (Nasdaq: LLEN) ("L&L" or the "Company"), a U.S.-based company since 1995 with coal mining and distribution businesses in China, announced that it has signed Letters of Intent with 14 operating coal mines in the Guizhou Province. The mines produce primarily coking coal and have been collectively approved for 3 million tons of annual coal capacity. If executed, based on current market prices, it would yield approx. US$ 500 million in revenue.

In an effort to increase mine size and improve production efficiency, the Guizhou Province recently announced a plan to reduce its 1,600 locally owned mines to some 40 holding companies. The government also mandates that total coal production in the province be increased by a 40%, equating to 300 million tons per year by 2015. L&L's acquisition team has been working hard at the forefront in the consolidation process, which could result in exponential revenue growth. L&L is the only American owned, and U.S. public listed mining company in the province with strong U.S. management skills, and 16 years of in-China experience. The Company is working with Asian and local sources to finance the acquisitions.

Dickson Lee, Chairman and CEO of L&L Energy commented, "Guizhou's accelerated consolidation plan provides an enormous profit opportunity. In my recent meetings with Vice Governor of Guizhou and the Chief of the Energy Bureau, we were encouraged to target 5 million tons of capacity and to take a leadership position in the Guizhou consolidation process. With our deep relationships in the region and our success of bringing U.S. operating standards to China, I am confident in our position moving forward. A U.S. technical team, led by L&L board member Dr. Syd Peng, will head to China in September to supervise the acquisitions. Based on the team's assessments of geology, staffing and consultation of local agencies, we will execute appropriate mines in our first round of acquisitions."