L & L Energy (NASDAQ:LLEN)

PRNewswire- L & L Energy, Inc. today announced that it has entered into an agreement to provide a secured bridge loan to Bowie Resources, LLC ("Bowie"), which owns and operates the Bowie Mine, a Paonia, Colorado based coal mine in production since 1997. Under the terms of the agreement, L&L will provide initial funding to Bowie of up to $3 million in loans that will be used to fund Bowie's ongoing coal mining operations. L&L will fund the loan in tranches, the first $1 million was funded on November 23, 2010.  The loans will receive interest of 9% per annum and L&L will receive an option to acquire up to 9% equity interest in Bowie at nominal costs, subject to certain conditions. L&L holds co-senior status with Bowie's only other secured creditor, GE Energy Financial Services.

Dickson Lee, Chairman and CEO of L & L Energy said, "This is an excellent opportunity to acquire a portion of a high quality, U.S.-based coal mining operation with an experienced management team at an attractive price. We look forward to working with the Bowie team to expand. The application of U.S. mining management and safety practices is a strategic advantage for L&L in China. The Bowie team helps reinforce that advantage." Lee went on to say, "Our partnership in a U.S. mine of Bowie's caliber will be an important first step in becoming a global coal mining player."