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Cobalt Coal Ltd. Announces Quarterly Financials and Debenture Conversion

CALGARY, ALBERTA — (Marketwired) — 11/27/13 — Cobalt Coal Ltd. (“Cobalt”) (TSX VENTURE: CCF), announces it has filed its unaudited condensed consolidated financial statements and MD&A for the nine months ended September 30, 2013 on SEDAR ().

In addition, Cobalt announces that it has issued a letter to the 2012 Debenture Holders providing the formal thirty (30) notification period that Cobalt intends to convert the 2012 Debentures on or about December 27, 2013 into common shares of the Corporation.

In 2012, Cobalt issued unsecured debentures with a principal amount of C$1,500,000. The terms of the of the 2012 Debentures included a maturity date 24 months from the date of issuance (the “Maturity Date”) and an interest at a rate of 12% per annum payable on the Maturity Date.

The Debentures are convertible into units (the “Units”) at any time by the Corporation with each Unit comprised of one common share of the Corporation and one warrant, containing certain vesting conditions, to acquire a common share of the Corporation at an exercise price of $0.20, on the basis of 6,666 Units per $1,000 principal amount of Debentures and interest, subject to regulatory approval.

The Conversion Price for each Unit to be issued upon conversion of the Debenture shall be $0.15 of Principal Sum and all accrued interest.

About Cobalt

Cobalt is a publicly traded coal exploration and production company headquartered in Calgary, Alberta, Canada. Cobalt was created to capitalize on the growth opportunities that exist in the metallurgical coal mining industry.

Neither TSX Venture Exchange nor its regulation/service provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

READER ADVISORY

Statements in this news release may contain forward-looking information including the closing of the proposed acquisition, the availability of funds to pay the purchase price for the proposed acquisition and the timing of closing the proposed acquisition. The reader is cautioned that assumptions used in the preparation of such information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted, a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the Company. These risks include, but are not limited to, the risks associated with the coal mining industry, commodity prices and exchange rate changes. Industry related risks could include, but are not limited to, operational risks in exploration, development and production, delays or changes in plans, risks associated to the uncertainty of reserve estimates, health and safety risks and the uncertainty of estimates and projections of production, costs and expenses. The reader is cautioned not to place undue reliance on this forward-looking information.

Contacts:
Cobalt Coal Ltd.
Al Kroontje
Director
403-607-4009

Cobalt Coal Ltd.
Robert Gillies
CFO
403-538-8455

Cobalt Coal Ltd.
Mike Crowder
President & CEO
423-323-2396

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