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High Quality, Premium Products

Characteristics of Premium Quality Coal

Walter EnergyCoal

Excellent low-ash composition

Low sulfur

Low volatility (high-yielding)

High coke strength (stability and CSR)

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Competitive Advantage

Walter Energy’s mines

Ridley Terminal

Tumbler Ridge/Chetwynd• Local population with extensive

mining experience

CN Rail• 40 Mt/a of available capacity• 950 km between port and

mines

Ridley Terminal• 13 Mt/a capacity expanding to

24 Mt by end of 2014• $200M Capex approved• 36-hours closer to Asian

customers than Vancouver ports.

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In the Community

• Good corporate citizens

• Support for regional and community programs and events throughout the year including:– Gwilliam Lake Provincial Park upgrade– Chetwynd Chainsaw Carving Competition– Tumbler Ridge Museum Foundation– Grizfest– Youth sport programs– High school scholarships– Library programs– Donation to STARS Air Ambulance– Partnership with Telus to bring high-speed

internet to Tumbler Ridge

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In the Community - continued

• We recruit from within the local area wherever possible– For example, approx. 85% of Wolverine

employees recruited from local communities

• We operate in the Treaty 8 traditional territory and have strong business relationships with the:– McLeod Lake Indian Band– Saulteau First Nations– West Moberly First Nations

• Partnering with Saulteau and West Moberly First Nations on Twin Sisters Native Plant Nursery

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Brule Mine

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Brule Mine

• Located approximately 45 km / 28 miles south of Chetwynd, BC

• Open pit mine producing ultra-low volatile pulverized coal injection (ULV-PCI) coal

• Coal from Brule is hauled by truck to Walter Energy’s Willow Creek Mine for processing and shipping

• Employs 300+ employees and contractors• Planned production is 2 million metric tons of clean coal per year• Brule has enough coal reserves to produce at its planned rates

until approximately 2023

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Brule Mine

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Willow Creek Mine