Coalcorp Provides Updated Default Status Report

TORONTO, March 31 /CNW/ - Coalcorp Mining Inc. ("Coalcorp" or the "Company") (TSX-CCJ) is providing its thirteenth Default Status Report in accordance with National Policy 12-203: Cease Trade Orders for Continuous Disclosure Defaults ("NP 12-203"). On September 16, 2009, the Company announced that it would be delayed in the filing of its annual financial statements and related MD&A for the financial year ended June 30, 2009 (the "Annual Financials") and 2009 Annual Information Form beyond their filing deadlines of September 28, 2009.

On December 16, 2009, Coalcorp announced that it filed its Annual Financials, however remained delayed in the filing of its 2009 Annual Information Form.

On October 19, 2009, the Ontario Securities Commission (the "OSC") issued a management cease trade order related to the Company's securities against the Chief Executive Officer of the Company with respect to the delayed filing of the Annual Financials and 2009 Annual Information Form. The management cease trade order will remain in effect for so long as the 2009 Annual Information Form is not filed. The issuance of such management cease trade order does not affect the ability of persons to trade in their securities of Coalcorp, other than the Chief Executive Officer. However, the OSC, in its discretion, may determine at a later time that it would be appropriate to issue a general issuer cease trade order affecting all of the Company's securities.

    
    Update Matters
    --------------
    

The Company reports the below matters which are material changes to the information contained in the twelfth default status report issued by the Company on March 17, 2010.

On March 29, 2010, the Company announced that it filed its second quarter interim financial statements and related management discussion and analysis (MD&A) for the three and six-month periods ended December 31, 2009 (the "Q2 Financials"). A copy of the Q2 Financials is available on the SEDAR website at www.sedar.com and the Company's website at www.coalcorp.ca.

On March 23, 2010, the Company announced that the Toronto Stock Exchange ("TSX") commenced a review of the eligibility for continued listing on the TSX of the securities of the Company pursuant to the continued listing criteria of the TSX. The Company was granted 120 days to comply with the continued listing requirements of the TSX. If the Company cannot demonstrate that it meets these listing requirements following such period, the Company's securities will be delisted from the TSX 30 days from such date.

On March 22, 2010, the Company announced the closing of the previously announced sale by Coalcorp's subsidiaries of the La Francia mine and related infrastructure assets, including Concession 5160, and all of the issued and outstanding shares of Adromi Capital Corp., the holder of the La Francia II concession, to a subsidiary of The Goldman Sachs Group, Inc. (the "Transaction"). Concurrently with the closing of the Transaction, the Company completed its repurchase of the aggregate principal amount of USD$$106,730,000 of its outstanding 12% senior secured notes (the "Senior Notes") under its previously announced offers for its Senior Notes which expired at 5:00 p.m. (EST) on March 18, 2010.

Coalcorp also announced on that date, the resignations of Juan Carlos Gomez as Interim Chief Executive Officer and Joseph Belan, as director of the Company, and the appointment of Steven Cresswell as the new Interim Chief Executive Officer. The Company further announced that it had relocated its head office from Bogota, Colombia to 120 Adelaide Street West, Suite 2500, Toronto, ON M5H 1T1.

The Company confirms that, except as described herein and in its initial default announcement and its subsequent default status reports: (i) there has been no material change to the information set out in its initial default announcement filed pursuant to NP 12-203; (ii) there has been no failure by the Company in fulfilling its stated intention with respect to satisfying the provisions of the alternative information guidelines set out in NP 12-203; (iii) there is no actual or anticipated specified default subsequent to that disclosed in the initial default announcement; and (iv) there is no other additional material information concerning the affairs of the Company that has not been generally disclosed.

The Company will continue to provide bi-weekly updates, as required by NP 12-203, until the required filings have been made and the Company is no longer in default.

Statements made in this news release may be forward-looking and therefore subject to various risks and uncertainties. Certain material factors or assumptions are applied in making forward-looking statements and actual results may differ materially from those expressed or implied in such statements. Coalcorp does not undertake to update any forward-looking statements; such statements speak only as of the date made.

ABOUT COALCORP

The board of directors of Coalcorp have met and are in the process of developing a new business strategy for the Company which will capitalize on the Board's and management's expertise, to invest in projects in the mining, metallurgical and mineral industries. Further information can be obtained under the Company's profile at www.sedar.com.

For further information: Steven Cresswell, Interim Chief Executive Officer, [phone]