Blaze Energy has acquired approximately 43,746 acres of subsurface coal, coalbed methane (CBM), and other mineral rights under enriched acreage in West Virginia, along with an existing CBM gas lease with Consol Energy's subsidiary, CNX Gas Company. CNX currently leases the entire acreage for CBM production, and is presently in the first year of a five-year renewal.

The Company acquired both the mineral rights and the associated gas lease with CNX, by and through a newly formed subsidiary, Blaze Minerals, LLC. The assets were acquired in fee, in a transaction valued just over $51,000,000. The underlying engineering report compiled in FY2010 on the mineral rights estimated the value at $130,000,000; the Company is in the process of updating this reserve report taking into account current market conditions.

Tags: Blaze Energy Corp.