Coal International Plc
Annual Report & Accounts 2007
Coal International Plc
27 Albemarle Street
London
W1S 4DW Contents
Highlights  01
Chairman’s Statement  02
Coal International at a Glance  05 
CEO’s Review  06
Financial Review  12
Directors’ Report  14 
Corporate Governance  16
Statement of Directors’ Responsibilities  18
Report of the Independent Auditors  19
Financial Statements  20
Mission Statement
Build and grow a portfolio of metallurgical and thermal coal
properties to supply the global steel and power industries.
Focus on acquiring properties that can achieve significant
production in the short term with long term growth potential.
Achieve operating and market scale to achieve premium
valuations in the equity markets.
In this Annual Report, references to “tons” means short tons
(being 907kg) and references to “tonnes” means metric
tonnes (1,000kg).
Company Number
5293936
Directors
John Byrne 
John Conlon
W. Durand Eppler
Secretary
Alwyn Davey
Registered Office
27 Albemarle Street
London W1S 4DW
Nominated Adviser & Broker
Cenkos Securities Limited
6.7.8 Tokenhouse Yard
London EC2R 7AS
Auditors
Deloitte & Touche LLP
Hill House
1 Little New Street
London EC4A 3TR
Solicitors
Trowers & Hamlins
Sceptre Court
40 Tower Hill
London EC3N 4DX
Registrars 
Capita Registrars
The Registry
34 Beckenham Road
Beckenham 
Kent BR3 4TU Financial Summary
• Turnover increased to £18.1 million (Restated 2006: £2.9 million);
reflecting the increase in production.
• Loss after taxation of £12.4 million (Restated 2006: £8.1 million).
• Net asset value £58.6 million (Restated 2006: £62.9 million).
• Loss per share from continuing operations of 17.4p (Restated
2006: 16.7p). 
• Details of the restatement of the financial statements for the year
ended 30 June 2006 are in note 1 of the financial statements.
Operational Highlights
• Production commenced on schedule at Maple Coal’s Eagle No. 1
underground metallurgical coal mine. 
• Record production and sales from Gauley Eagle property. 
• New leases acquired covering a further 2,760 acres of land
adjacent to or synergistic with Gauley Eagle operations. 
• Rehabilitation of the Katie preparation plant at the Maple
property completed on time and on budget. 
• Placing raised approximately £8.1 million cash (net of expenses).
• US$7 million third party equipment financing package with CIT
Equipment Finance.
• Active permitting efforts underway to expand production base.
ADC Group Production Chart
Highlights
01
0
50,000
100,000
150,000
200,000
250,000
300,000
350,000
400,000
450,000
Raw Tons Produced & Purchased
3 mths ended
30.09.06
3 mths ended
30.09.06
3 mths ended
30.09.06
3 mths ended
30.09.06
Marketable Tons Produced & Purchased
Subsequent Events
• Energybuild admitted to AIM raising approximately £15 million in
August 2007 (£9.7 million net of loan repayments and expenses).
  This steady improvement has been made possible through the
efforts of Dan Stickel, President of ADC and his team. Dan has
assembled an experienced operating team which is focused on
increasing operating productivity while improving safety and
environmental standards. The Group took over all mining and
processing operations from contractors in July 2006 and had
assembled an operating workforce of 118 full time employees by
30 June 2007. All employees are now working under the
Group’s health and safety training programs and operating
standards, injury and accident rates are becoming consistent
with other established, large regional operators.
Management has also been active in building on its existing
asset base at Gauley Eagle with significant new property
acquisitions and by advancing permitting activities to allow for
an expanded production platform as additional markets are
developed. During the 2007 calendar year the Group acquired
approximately 2,760 acres of additional coal properties
adjacent to or synergistic with the Gauley Eagle property,
increasing the size of Atlantic Leaseco’s properties to
approximately 17,739 acres. 
As the Group has continued to establish itself as a reliable
supplier delivering consistently high quality products, it has
been able to expand its marketing efforts. Initial shipments were
marketed on the spot market and limited to customers that
could be supplied by truck. The Group has been focusing on
developing a range of transportation alternatives,
encompassing both rail and barge loading, which could greatly
Coal International’s third year since listing
on AIM was marked by significant
continued growth in its United States
operations as the Company established
itself as an important new coal producer
in West Virginia, located in the Central
Appalachian region of the United States.
West Virginia
Following the acquisition of three coal properties during the
previous reporting period the Company now has two principal
mining operations: Atlantic Leaseco and Maple Coal. The
Company operates through its wholly-owned US operating
subsidiary Atlantic Development and Capital LLC (“ADC”) and its
subsidiaries Atlantic Leaseco LLC and Maple Coal Co. During the
period, the Group substantially expanded operations at the
Atlantic Leaseco property and commenced development of its first
underground mine at the Maple Coal property. Coal production
and sales increased in each quarter and the Company reported
production of 561,192 tons of marketable coal and sales of
587,649 tons for the year ending 30 June 2007. 
The Atlantic Leaseco facility is now operating at a sustainable
rate of production of 750,000 tons per annum of marketable coal
with the current equipment and labour configurations. The Eagle
No. 1 underground mine at the Maple Coal operation
commenced production in June 2007 and is currently increasing
its operations with the goal of achieving a sustained production
rate of 720,000-750,000 marketable tons per annum. 
Chairman’s Statement
02 Coal International Plc  Annual Report & Financial Statements 2007 both. Anglo and Hillsborough Resources Limited have agreed to
pay NEMI’s required contribution to the Joint Venture until the
end of December 2007 up to an amount of US$18million.
Thereafter, NEMI will be subject to joint venture capital calls and
potential dilution. 
In order to take a more active role in helping NEMI to bring
value to its shareholders, Coal International Directors W. Durand
Eppler and John Byrne joined the NEMI Board of Directors on
20 March 2007. The NEMI Board is reviewing a range of
strategic alternatives for the company.
Financial
In recognition of the rate of growth and development of the
Group, the Board was pleased to appoint Deloitte & Touche LLP
as the Company’s auditors in June 2007.
Following the identification of a number of misstatements and
missing disclosures in the financial statements for the year
ended 30 June 2006, the Board requested a review of the
financial controls of the Group including a review of the 2006
report and financial statements. These items have now been
corrected and the restated amounts are set out in the 2006
comparatives along with appropriate disclosures with full
explanation included in note 1 of the 2007 financial statements. 
The loss before tax for the year was £12.4 million (restated 2006:
£8.1 million). The loss for 2006 as previously reported was £5.4
million. £1.4 million of the £2.7 million increase is accounted for
by the adoption of FRS20 Share Based Payments. The balance of
£1.3 million relates primarily to a reassessment of mineral rights
and restoration provisions. The net assets at 30 June 2007 were
£58.6 million (restated 2006: £62.9 million). The net assets as
previously reported for 2006 were £55.1 million. The increase of
£7.7 million has arisen primarily from revisiting the fair value
accounting of acquisitions completed during that year.
The Board is satisfied that the internal controls across the
Group have been reviewed and the issues and areas requiring
improvement have been identified. Implementation of
strengthened financial controls at the Group and Company
level is an active process with ongoing development. The
Board receives monthly management accounts from both ADC
and Energybuild and believes the accounting functions within
ADC and Energybuild are effective. The Company has recently
recruited a dedicated financial controller and intends to recruit
a finance director. In the meantime, Cambrian Mining Plc’s
Finance Director continues to provide support to the Company’s
finance and accounting functions. Further, to strengthen the
governance of the Company, the Board intends to identify and
invite additional independent non-executive directors to assist
in overseeing the Company’s affairs.
The financing activities of the Group included the raising of
£8.1 million in cash, net of expenses, by the Company through a
placing in May 2007. ADC also finalised a US$7 million third
party equipment financing package with CIT Equipment Finance
in May 2007.
expand the potential marketing range for the Group’s coal
products. The Group is now negotiating medium term contract
business with a number of key customers which, if completed,
will represent an important milestone and demonstrate
recognition of the Group’s increasing stature in the market
place. In addition, with two coal preparation plants and
operations capable of producing coal from a number of
alternative seams, each with particular chemistry and
characteristics, as well as purchased third-party coal from
specific operations, the Group has begun utilising its production
capability to produce specific coal blends for customers. These
blended products enable the Group to earn an improved
margin and utilise its resource base more efficiently.
Investments
Energybuild Group Plc (“Energybuild”)
On 6 August 2007 (subsequent to the reporting period)
Energybuild was admitted to trading on AIM following the
raising of approximately £15.0 million (£9.7 million net of loan
repayments and expenses) to finance the Energybuild group’s
development and operations. Immediately prior to Energybuild’s
listing, Coal International held 50 per cent. of the issued capital
of Energybuild and, as a result of the placing, Coal
International’s holding has decreased to its current shareholding
of 23.08 per cent.. Coal International’s major shareholder,
Cambrian Mining Plc, currently holds a further 27.51 per cent. of
Energybuild. 
Energybuild has continued to develop its drift mine and
opencast activities in South Wales. With the increased price of
world coal, the main activity of Energybuild has been to
accelerate the mine development with a view to achieving
production of 440,000 saleable tonnes per annum within the
next three years and 770,000 saleable tonnes per annum within
the next six years.
A number of milestones were reached in pursuing this strategy,
including successfully accessing and recovering the old British
Coal intake and returns across the Pentreclwydau fault at the
Aberpergwm Colliery in September 2007. This allowed access to
the 18 foot landing where underground production will resume. 
NEMI Northern Energy & Mining Inc. (“NEMI”)
Coal International holds a 20.1 per cent. interest in NEMI, a
Vancouver based coal investment company. NEMI’s principal
asset is a 20 per cent. stake in the Peace River Coal Joint
Venture, managed by Anglo Coal Canada (“Anglo”) (60 per
cent.), which operates the Trend coal mine in northeastern
British Columbia, Canada and other development projects in the
region. The principal asset of the Peace River Coal Joint Venture
is a 50 per cent. stake in the Belcourt-Saxon Joint Venture with
Western Canadian Coal (50 per cent.), which is advancing a
major new metallurgical coal project through the permitting and
feasibility stage.
The Peace River Coal Joint Venture was entered into in
December 2006, with NEMI, Anglo and Hillsborough Resources
Limited each contributing properties or cash or a mixture of
03 04 Coal International Plc  Annual Report & Financial Statements 2007
Outlook
As at 30 June 2007, Coal International has invested
approximately £40.7 million (US$80.5 million) to develop its
West Virginia coal business. The Group has established itself
as a respected new entrant into the US coal industry with a
solid operating base and an impressive platform for future
growth. 
Looking forward to 2008, the Company intends to continue to
seek a permit to open the Eagle No. 2 mine, planned for late
in the 2008 calendar year, which will enable the installation of
a third mining unit in the Eagle seam. These activities are
intended to bring metallurgical coal production from Maple
Coal to approximately one million tons per annum by the end
of the 2009 financial year. Subject to permitting and
settlement of marketing contracts, the Company also hopes to
establish its first surface mining operating unit at the Maple
property during the 2008 calendar year.
At the Atlantic Leaseco property, we will continue operations at
the Silo Mains underground and Crooked Run surface mines
and will seek permits to open new surface and underground
mining operations to maintain production as reserves at the
current mines are exhausted. Simultaneously, we are
continuing to seek permits to establish surface and
underground operations in the Peerless seam reserve blocks
which were acquired in this reporting period. First production
from these reserve blocks is anticipated to occur in 2009.
The Company is closely following activities at Energybuild as it
looks to accelerate development of its first coal operations.
Management is also continuing to work with NEMI’s operating
team to explore new development opportunities.
John Byrne
Chairman
19 December 2007
Chairman’s Statement
continued 05
Product: Thermal and Metallurgical Coal
Reserves: Measured and Indicated
(saleable tons in millions):
Surface: 6.8
Underground: 17.1
Total: 23.9
(of which 1.1 is metallurgical coal)
Atlantic Leaseco Preparation Plant
Capacity: 3 million raw tons per annum
Atlantic Leaseco, LLC
West Virginia
Maple Coal Co
West Virginia
Energybuild Group plc
South Wales
ucky
Virginia
Atlantic 
Leaseco
MD
D
West
Virginia
North
C
Ohio
Pennsylvania
N
ucky
Virginia
Maple
MD
D
West
Virginia
North
C
Ohio
Pennsylvania
N
Wales
Energybuild
U
Product: Thermal and Metallurgical Coal
Reserves: Measured and Indicated
(saleable tons in millions):
Surface: 16.3
Underground: 17.4
Total: 33.8
(of which 5.0 is metallurgical coal)
Katie Coal Preparation Plant
Capacity: 2 million raw tons per annum
Percentage owned: 23.08%
Percentage owned combined 
with Cambrian Mining Plc’s 
shareholding: 50.59% 
Product: Anthracite
Reserves (recoverable tonnes in millions):
Underground: 7.6 Proven and Probable Reserves
Coal International at a Glance
See notes on page 11 for further information on the reserves set out above. 06 Coal International Plc  Annual Report & Financial Statements 2007
West Virgina Operations
The Company’s West Virginia properties are owned and
operated through its wholly-owned subsidiary Atlantic
Development and Capital LLC (“ADC”) and ADC’s wholly-owned
subsidiaries Maple Coal Co (which owns the Maple property)
and Atlantic Leaseco LLC (which owns the Gauley Eagle and
other properties).
The combined Measured and Indicated Reserves of the West
Virginia properties are as follows:
ADC Group Surface Underground Total
(million tons) (million tons) (million tons)
Atlantic Leaseco
(Gauley Eagle and 
other properties) 6.8 17.1 23.9
(1)
Maple Coal
(Maple property) 16.3 17.4 33.8
(2)
(1) Of which 1.1 million tons is metallurgical coal.
(2) Of which 5.0 million tons is metallurgical coal.
Coal International has achieved its first full
year of production at its West Virginia
operations and has continued to establish
itself as a reliable new producer of Central
Appalachian coals, with a solid
management team and growth potential.
Energybuild, in which the Company also holds an interest,
continued to make progress in advancing the redevelopment of
anthracite mining operations in South Wales and was admitted
to trading on AIM in August 2007. The Company also advanced
efforts to build value in its investment (20.1 per cent.) in NEMI.
CEO’s Review 
The Board is pleased with the Group’s progress during the
reporting period and looks forward to another year of building 
on its solid operating base. 07
Total West Virginia production performance for the reporting period was (in tons):
Total for Total for  
12 months 3 months 3 months 3 months 3 months 12 months
ended ended ended ended ended ended
Key performance indicators 30.06.06 30.09.06 31.12.06 31.03.07 30.06.07 30.06.07
Raw Tons Produced 208,073 197,842 249,422 286,466 341,483 1,075,213
Raw Tons Purchased 0 4,275 7,404 38,168 70,308 120,155
Marketable Tons Produced & Purchased 113,401 105,954 135,154 161,626 205,498 608,233
Tons Sold 100,324 103,986 94,556 181,511 207,596 587,649
Linear Feet of Advance 10,648 16,200 16,810 18,170 23,879 75,059
Cubic Yards Moved 554,213 666,637 1,139,352 1,576,972 1,795,867 5,178,828
Raw Tons Processed 202,911 195,549 205,232 324,099 367,795 1,092,675
Marketable Tons Processed 108,578 99,480 99,929 148,950 171,416 519,775
Recovery %* 54% 51% 49% 46% 47% 48%
As the business has expanded, we have worked hard to build
a solid operating team, starting with a small head office and
building a workforce for each of its operations. At the end of
June 2007 ADC had a total of 118 employees, which increased
to 151 employees as at the end of October 2007.
The average operating cost margins for thermal coal sales for
the period was negative and ADC was also carrying the cost
of keeping the Pageton property in care and maintenance as
well as Maple property overheads. Going forward,
strengthening coal prices and production at the Maple
property are expected to increase the sales price and
decrease the operating cost per ton. The negative margins
experienced during the reporting period were, in part,
attributable to higher unit costs associated with the ramp-up of
production during a period of weak prices for thermal coal. As
production has increased unit production costs have improved
and thermal coal prices have also rebounded. The
commencement of operations at Maple Coal, which produces
metallurgical grade coals which sell at significantly higher
prices than thermal coals, will continue to enhance operating
margins. Going forward, further strengthening of thermal coal
prices and commencement of metallurgical production at the
Maple property are expected to increase the sales revenue
per ton and improve the margin per ton. 
Atlantic Leaseco
Upon completion of refurbishment of a shuttered preparation
plant, we commenced mining operations at the Atlantic
Leaseco properties in March 2006 by opening the Silo Mains
underground mine and the Crooked Run surface mining
operation. Initial mining was carried out with third party mining
contractors at both the surface and underground operations.
By the end of July 2006, contract miners were replaced by
Group personnel and direct operating control was achieved for
all coal mining and washing operations. This move allowed
management to substantially improve mine planning,
productivity and equipment utilisation and has resulted in a
continuous improvement in operational performance at all
levels throughout the reporting period. Management believes
it has normalised current operations at Atlantic Leaseco at
a sustainable production rate of approximately 750,000
marketable tons per annum from captive operations, in
addition to third party coal which is purchased, washed,
marketed and sold by the Group. 
Atlantic Leaseco added significantly to its 14,970 acre
leaseholdings at the Gauley Eagle property during the period
by signing new leases covering 2,760 acres adjacent to or
with the potential to provide synergies with current holdings.
We are currently in negotiations for additional leases
covering over 2,500 acres of contiguous coal lands. These
acquisitions will facilitate long term surface and underground
mining operations at Atlantic Leaseco properties and also
provide the Group access to a reserve of Peerless seam coal,
a seam with high quality characteristics which is expected
to command a premium price in the industrial market. 
To date, substantially all of the production from Atlantic Leaseco
has been sold in the thermal coal market. Start up of the Maple
operations in June 2007 has created marketing synergies for
the Group based on coal blending from the two properties and
will enable Atlantic Leaseco to sell a portion of its production
into the metallurgical coal market, by blending Atlantic
Leaseco’s Kittanning seam coal together with Maple’s Eagle
seam coal. We are developing our marketing strategy for the
recently acquired Peerless seam reserves. 
To advance market opportunities, as well as to plan for
continued growth, we have continued to follow an aggressive
permitting strategy by working with State and Federal
authorities to enable the expansion of both surface and
underground operations at Atlantic Leaseco properties. 
Maple Coal
Building on our success at the Atlantic Leaseco properties, the
Group began the recommissioning of operations at the Maple
property. The Group controls approximately 21,214 acres
located in Fayette and Kanawha Counties, West Virginia that
had previously been mined but shuttered since the early 1990s.
The property contains substantial resources which can be
accessed via surface mining operations as well as significant
underground resources and has excellent potential for further
*Marketable Tons Processed as a percentage of Raw Tons Processed
  08 Coal International Plc  Annual Report & Financial Statements 2007
CEO’s Review
continued
exploration. One significant resource block is in the Eagle
seam, a premium high-volatile metallurgical coal. 
In January 2007, we commenced the rehabilitation of the
shuttered Katie coal preparation plant at Maple and received
permits to re-establish underground mining operations by
commissioning the Eagle No. 1 mine. First production from the
mine began at the end of June 2007, on schedule, and was
delivered to the re-commissioned plant. Initial efforts have
proceeded well and a second continuous miner was installed in
late calendar year 2007. The mine and plant are on a ramp-up
schedule to bring the mine and plant to a sustained operating
rate of 720,000 marketable tons per annum by the first calendar
quarter of 2008. 
We are well advanced in the permitting process for the opening of
a second mine in the Eagle seam as markets are developed, with
the goal of achieving annual production in excess of one million
tons of marketable metallurgical coal. Initial production from
Maple has been marketed into both the metallurgical and
thermal market until longer-term metallurgical sales are
established. Thermal production has been sold on orders already
held by Atlantic Leaseco. Metallurgical sales have primarily been
through test orders and blends to establish term business
(contracts in excess of one year) for the 2008 calendar year and
beyond. Between existing thermal business and test shipments to
potential longer-term metallurgical customers, the balance of
Maple’s 2007 calendar year production is fully committed. 
Pageton Property
The Pageton coal recovery operation was placed in care and
maintenance at the beginning of the 2007 calendar year due
to poor market conditions. We have continued to sell small
volumes of coal from inventory into the thermal market, but
have no current plans to restart the property and are currently
assessing disposal options. As at 30 June 2007, the book value
of the investment in Pageton after impairment is £671,088.
Environment, Health & Safety
Coal mining operations in the United States are subject to close
regulatory supervision from Federal and State regulators
concerned with workplace safety and environmental protection.
As a new industry participant, our West Virginia operations have
received multiple in-depth inspections and been reviewed by a
broad array of regulators. From January to July 2007 ADC group
facilities and operations have received 200 inspection shifts from
Federal and State inspectors (48 US Mine Safety and Health
Administration inspections, 50 West Virginia Mine Health and
Safety inspections 101 West Virginia Department of
Environmental Protection inspections and 1 inspection by the
Office of Surface Mining), which resulted in a violation rate of
less than 1.0 per inspection, which is in line with our target for
West Virginia operations.
The Historical Safety Performance chart (on the right) indicates
our continued improvement in safety performance in West
Virginia when comparing the Non-Fatal Days Lost (“NFDL”) rate
in 2006 and 2007 calendar years. The NFDL rate is a key
performance indicator for the Group’s West Virginia operations
and is calculated as the incidence rate of the number of lost
time injuries per 200,000 man-hours worked. Following the first
full year of operations, management has had an opportunity to
train new employees under the Group’s safety policies and
procedures. The NFDL rate of 5.64 for the total man-hours
worked in the six month period ended 30 June 2007 compared
very favourably to the NFDL rate of 11.24 for the corresponding
period in 2006. As a reference, the NFDL national average for
the total man-hours worked in the six month period ended
30 June 2007 for all mining operations was reported as 3.16
while the average for all West Virginia operations was reported
as 3.25 for the same period. 
Our NFDL rate was above the national and West Virginia
average mainly due to the shortage of skilled, experienced
workers in West Virginia. We have had to train or retrain much
of our workforce and the benefits of that training have resulted
in the improvement of our safety performance. For the month of
October 2007, there were no lost time injuries in the West
Virginia operations, bringing the NFDL rate for the ten month
period to end of October 2007 down to 3.87. 
Ensuring workplace safety remains a core value for the Group
and management is committed to continuous improvement both
in workforce training and safety performance.
Marketing & Transportation
During the first full year of operation all of the Group’s West
Virginia production was sold into the thermal coal market via
short-term and spot business. A significant achievement, as a
new industry participant, has been to establish ourselves as a
reliable, new producer, capable of producing a consistent
product with consistent quality, in a very competitive market
place. This was a particular challenge as local and regional
coal markets were softening at the time the Group began first
production. In spite of the market softness the Group has been
successful in establishing a number of significant marketing
relationships. 
The Group has substantially sold its production for the 2007
calendar year and, as it has established itself as a credible
producer, it is negotiating longer-term contract business for the
2008 and 2009 calendar years. 
ADC Historical Safety Performance 
(Calendar Year to Date)
MSHA NFDL Rate
CY 2006 CY 2007
25.00
20.00
15.00
10.00
5.00
0.00
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec As new markets are developed, the Group has substantial
capacity to expand both surface and underground production
to meet market demand, subject to permits being obtained and
equipment financing. As operations are expanded at Maple
Coal, the Group’s marketing efforts will largely be focused on
establishing solid long-term markets for the Eagle seam
metallurgical coal production.
As a new producer, the Group’s first customers and markets
were based around those customers within trucking distance
of the operations. Management has made a clear priority of
expanding its customer base by developing a range of
transportation alternatives for marketing the Group’s production.
In addition to those customers within trucking distance, the
Group has established relationships with a number of barge
loading facilities on the Kanawha River, significantly expanding
the potential reach of the marketing programme. Management
is also negotiating throughput agreements to three different rail
road loading facilities. 
In October 2007 we finalised an agreement with a dock facility on
the Kanawha River that is centrally located between Maple and
Gauley Eagle to stockpile, size, blend and load barges for the
remainder of the 2007 calendar year. We are investigating longer
term options with that facility as well as another dock facility. 
We have secured access to a rail loading site located in Cowen,
West Virginia, near the Gauley Eagle property, which, if
developed, could provide access to new customers in the
northeastern United States and Atlantic coast that are serviced
by the CSX Railroad. The site is located on a short line railroad
that is an affiliate to the CSX Rail system. LA Gates Engineering
has been commissioned to permit the site and design a
conceptual engineering layout of the facility. We are also
finalising an agreement to toll load through an existing rail
loading facility on the NS Railroad until such time as the Cowen
facility may be permitted and constructed. Under the toll loading
agreement Gauley Eagle and Maple will be able to utilise the
facility beginning December 2007 to the end of December 2008. 
Growth in West Virginia
The Company’s principal mission has been to establish an
operating base that can serve as a platform for continued
growth. The Group currently has ten additional mining permits
in various stages of review between the Atlantic Leaseco and
Maple properties. The additional permits will enhance efficiency
and flexibility of operations. Management continues to pursue
new permits and engineering projects to enable development
of new reserves at both the Maple and Atlantic Leaseco
properties, to strategically position the properties for increased
production as markets are secured, as well as to provide
replacement production for the depletion of existing operations. 
The Group has applied for a second mining permit in the Eagle
seam for Eagle No. 2 mine that is under West Virginia
Department of Environmental Protection (WVDEP) technical
review. Eagle No. 2 mine will allow the addition of a third
continuous miner unit in the Eagle seam and could increase
metallurgical grade coal production capacity to over one million
09
tons annually from the Maple property by the end of the 2009
reporting period. The reconditioned Katie preparation plant will
be able to accommodate the increased throughput with
minimal additional investment.
The Group has also applied for a mining permit to establish the
Sycamore North surface mine from the Army Corp of Engineers.
Expansion of production at Atlantic Leaseco properties is
anticipated in the next reporting period with the addition of the
Muddlety South surface mine pending revision of a prior WVDEP
mining permit held by Island Creek. Based on current Crooked
Run productivity, annual production from Muddlety South is
estimated to be 300,000 tons.
Further expansion at Atlantic Leaseco includes development of
the Peerless seam coal reserves. The Group has applied for a
surface mine permit and an underground permit on the recently
acquired Peerless seam reserves. The underground mine
permit is at an advanced stage of the application process.
Peerless coal is planned to be marketed as a premium
industrial coal and as a metallurgical grade coal when blended
with the Kittanning coal mined at Atlantic Leaseco properties.
Investments
Energybuild Group Plc (Energybuild) (AIM:EBG)
As at 19 December 2007, Coal International owned 23.08 per
cent. of Energybuild, a coal producer based in South Wales.
Energybuild produces a range of anthracite coals predominantly
from the opencast operations of which 114,000 tonnes (95.8 per
cent. of its saleable coal) went into the power station market in
the reporting period with 5,000 tonnes (4.2 per cent.) going into
the domestic sized coal market. The overall average weighted
selling price was £40 per tonne for the reporting period. During
the reporting period, 106,000 tonnes of the saleable coal was
mined from Area 1 and 1A of the site at an average cost of
£32 per tonne.
The increase in the price achieved for coal into the power
station market is very much in line with the movement we are
currently witnessing in the global coal price. Sized coal prices
have also experienced similar increases which are forecast to
continue. When underground mining production resumes at the
Aberpergwm drift mine, it is expected that the Aberpergwm
sized coal will come onto the market at a premium price.
The opencast coal varies in quality from seam to seam and
although it is ideally suited for the power station market only
selected seams are suitable for the sized coal market. It is
expected that the average price of the company’s saleable coal
will increase as the drift mine comes into production during 2008
and a larger proportion of the overall production will go into the
sized market. In addition other markets such as the pulverised
coal injection market could open up to Energybuild.
In summary the key features of Energybuild are:
• The Aberpergwm mine and the adjacent Treforgan mine
have a defined economic resource of high quality anthracite
with a low sulphur and high calorific value, contained within 10 Coal International Plc  Annual Report & Financial Statements 2007
CEO’s Review
continued
a licence and option area encompassing some 1,526
hectares. Together they have proven and probable
recoverable reserves of 7.6 million tonnes with an inferred
recoverable resource of 36.2 million tonnes and an in situ
seam resource in excess of 110 million tonnes;
• The proven and probable coal reserves as at 6 August 2007
had an estimated net present value of £40 million and the
overall recoverable coal resource over an estimated
30 year life of mine had a net present value of £90 million.
The increase in the world price of coal since the year end
should strengthen the position of Energybuild;
• Considerable work has been done to re-establish
infrastructure at certain parts of the Aberpergwm mine
including dewatering, re-establishing ventilation and
undertaking mine roadway recovery and repairs to access
coal reserves on the west side of the main fault line;
• Development work at the Aberpergwm mine is eligible for
Department for Business, Enterprise & Regulatory Reform
grant aid under its coal investment aid scheme and to 30
June 2007 Energybuild has utilised approximately £2.2
million of a total £3.5 million of the awarded grant;
• Energybuild has a contract with RWE to supply 450,000
tonnes of coal over two years into the nearby Aberthaw
power station and also entered into a marketing agreement
with distributor EH Bennett & Company Limited in respect of
its sized coal.
Energybuild has a comprehensive written Health and Safety Policy
and an extensive health and safety management system in
place. Health and safety documents have been formulated and
implemented at both underground and surface mining
operations. The Company reported no fatal or major injury
accidents for both the 2006 calendar year and the 2007 calendar
year to date. The overall reportable injury rate (including
underground, mine surface and opencast operations) was 9.31
per 100,000 manshifts in the 2006 calendar year and 10.14 per
100,000 manshifts between 1 January and 20 November 2007.
The reportable injury rate for the underground mine only was
14.94 for 2006 and 13.82 for the 2007 period.
UK Coal Plc, a major coal producer in the UK, reported 30 major
injury accidents to the Health and Safety Executive and an overall
reportable injury rate of 27.8 per 100,000 manshifts worked for
the 2006 calendar year. Although UK Coal Plc’s operations are
on a much larger scale than Energybuild’s this is a useful
industry comparator. The Health and Safety Executive has not
published comparable statistics more recently than 2003/2004.
Energybuild has an environmental policy and environmental
management systems and was subject to regular audits from
the Environmental Agency of Wales during the year. The
company also conducts its own audits and has had no
enforcement actions from environmental bodies during the last
two calendar years. 
Recruitment and training is also seen as an essential part of
health and safety. The company strives to recruit the most highly
qualified employees available, with the right level of industry
experience and continues to train and update employees in
respect of their responsibilities under the Mines and Quarries
Act in relation to health and safety. With this in mind Energybuild
started an apprenticeship scheme in 2004 for craftsmen, with its
first five apprentices completing their third year in June 2007.
A further four apprentices commenced employment with
Energybuild in June 2007 ready for the academic year
commencing in September 2007. Energybuild intends to
continue this training commitment for the foreseeable future.
NEMI Northern Energy & Mining Inc. (NEMI) (TSX: NNE.A)
As at 19 December 2007, Coal International owns 20.1 per cent.
of NEMI, a Vancouver based company whose principal asset is
a 20 per cent. holding in the Peace River Coal Joint Venture (JV),
managed by Anglo Coal (60 per cent.). Hillsborough Resources,
Inc. holds the remaining 20 per cent. The Peace River Coal JV
consolidated the north eastern British Columbia coal holdings of
the three parties and manages the Trend mine, which is
anticipated to produce 1 million tonnes of hard coking coal in
2007, (recently authorised to expand to 2 million tonnes of
annual production). The Peace River Coal JV also has a 50 per
cent. interest in the Belcourt-Saxon Joint Venture, a significant
development asset in north eastern British Columbia for which a
bankable feasibility study is currently being completed. Western
Canadian Coal Corporation holds the other 50 per cent. of the
Belcourt-Saxon Joint Venture.
In an effort to take a more active role in advancing NEMI’s future
growth and enhance shareholder value, Coal International
requested representation on NEMI’s Board of Directors. On
20 March 2007, Coal International Directors W. Durand Eppler
and John Byrne joined NEMI’s Board, with W. Durand Eppler
serving as Non-Executive Chairman.
Outlook
The Board is pleased with the Group’s progress during the
reporting period and looks forward to another year of building
on its solid operating base. 
In West Virginia, the Group intends to continue to develop its
operating base at the Maple property with the goal of bringing
metallurgical coal production from Maple to approximately
one million tons per annum by the end of the 2009 financial
year and establishing its first surface mining operating unit in
2008. At the Atlantic Leaseco properties the Group will continue
permitting efforts to open new surface and underground mining
operations and to establish surface and underground
operations in the Peerless seam reserve blocks. 
The Company will continue to actively monitor the progress of
Energybuild and NEMI to help add value to its investments.
W. Durand Eppler
Chief Executive Officer
19 December 2007 11 11
In this Annual Report, references to “tons” means short tons (being 907kg)
and references to “tonnes” means metric tonnes (1,000kg).
West Virginia Coal Reserves
The reserves set out in this Annual Report in relation to the Atlantic Leaseco,
LLC and Maple Coal Co reserves are estimated by Marshall Miller and
Associates Inc. in their reserve up-date report dated 9 November 2007 and
have been estimated and classified as “measured” and “indicated” following
guidelines established by the United States Geological Survey (USGS) in
Circular 891 (1983). Definitions of key terms (sourced by Marshall Miller from
the SEC Industry Guide 7 and USGS Circular 891) are as follows:
• Reserve – Reserve is that part of a mineral deposit, which could be
economically and legally extracted or produced at the time of the reserve
determination. The determination of economic viability was beyond the
scope of authorised work by Marshall Miller. Thus, reserve status has not
been defined.
"Reserves," as strictly defined by the USGS, are those coal resources that
meet two overlapping criteria:
(1) geologic assurances of existence and continuity, and
(2) economic feasibility of recovery (Circular 891, p. 23)
Economic feasibility may be evaluated by interrelating coal thickness;
overburden thickness; coal quality; costs of mining, processing, and
transportation; and expected selling price, among other factors. The
reserve assessment provided herein does not address economic factors
as described above.
• Measured Reserves – Reserves for which (a) quantity is computed from
dimensions revealed in outcrops, trenches, workings, or drill holes; grade
and/or quality are computed from the results of detailed sampling and
(b) the sites for inspections, sampling, and measurement are spaced so
closely and the geologic character is so well defined that size, shape,
depth, and mineral content of reserves are well-established. Measured
reserves lie within a 
1
⁄ 4-mile arc around a coal measurement site.
• Indicated Reserves – Reserves for which quantity and grade and/or
quality are computed from information similar to that used for proven
(measured) reserves, but the sites for inspection, sampling, and
measurement are farther apart or are otherwise less adequately spaced.
The degree of assurance, although lower than that for proven (measured)
reserves, is high enough to assume continuity between points of
observation. Indicated reserves lie more than 
1
⁄ 4 mile, but less than 
3
⁄ 4 of a
mile from a coal measurement site.
The information relating to Atlantic Leaseco, LLC and Maple Coal Co reserves
has been reviewed and approved by Philip L. Evans, Vice-President, Atlantic
Development and Capital LLC, BSC (West Virginia University), MBA (University
of West Virginia College of Graduate Studies).
Energybuild Coal Reserves
The reserves set out on in this Annual Report in relation to Energybuild Group
plc are as estimated by Wardell Armstrong LLP as set out in the Competent
Persons Report dated 6 July 2007 for the AIM admission of Energybuild
Group plc and is reported against the Australasian Code for Reporting of
Exploration Results, Mineral Resources and Ore Reserves – The JORC Code
(2004 Edition)
• Coal Reserve is the economically mineable part of a Measured and/or
Indicated Coal Resource. It includes diluting materials and allowances for
losses, which may occur when the material is mined. Appropriate
assessments, which may include feasibility studies, have been carried
out, and include consideration of, and modification by, realistically
assumed mining, metallurgical, economic, marketing, legal,
environmental, social and governmental factors. These assessments
demonstrate at the time of reporting that extraction is justified. Coal
Reserves are sub-divided in order of increasing confidence into Probable
Coal Reserves and Proven Coal Reserves.
• Measured Coal Resource is that part of a Coal Resource for which
tonnage, densities, shape, physical characteristics, grade and mineral
content can be estimated with a high level of confidence. It is based on
detailed and reliable exploration, sampling and testing information
gathered through appropriate techniques from locations such as
outcrops, trenches, pits, workings and drill holes. The locations are
spaced closely enough to confirm geological and grade continuity.
• Indicated Coal Resource is that part of a Coal Resource for which
tonnage, densities, shape, physical characteristics, grade and mineral
content can be estimated with a reasonable level of confidence. It is
based on exploration, sampling and testing information gathered
through appropriate techniques from locations such as outcrops,
trenches, pits, workings and drill holes. The locations are too widely or
inappropriately spaced to confirm geological and/or grade continuity but
are spaced closely enough for continuity to be assumed.
• Inferred Coal Resource is that part of a Coal Resource for which tonnage,
grade and mineral content can be estimated with a low level of
confidence. It is inferred from geological evidence and assumed, but not
verified geological and/or grade continuity. It is based on information
gathered through appropriate techniques from locations such as
outcrops, trenches, pits, workings and drill holes which is limited or of
uncertain quality and reliability.
• Probable Coal Reserve is the economically mineable part of an Indicated,
and in some cases a Measured Coal Resource. It includes diluting
materials and allowances for losses, which may occur when the material
is mined. Appropriate assessments and studies have been carried out,
and include consideration of, and modification by realistically assumed
mining, metallurgical, economic, marketing, legal, environmental, social
and governmental factors. These assessments demonstrate at the time
of reporting that extraction could reasonably be justified. 
• Proven Coal Reserve is the economically mineable part of a Measured
Coal Resource. It includes diluting materials and allowances for losses,
which may occur when the material is mined. Appropriate assessments
and studies have been carried out, and include consideration of, and
modification by, realistically assumed mining, metallurgical, economic,
marketing, legal, environmental, social and governmental factors. These
assessments demonstrate at the time of reporting that extraction could
reasonably be justified. 
• In-Situ Reserves/Resources represents the volume and tonnage of coal
estimated to be present vertically beneath a defined area. Volume is
derived from the measured plan area of the coal seam and the average
vertical thickness of coal/dirt partings, which is converted to tonnes by
specific gravity (SG) conversion factors (anthracite, 1.40 tonnes per cubic
metre). 
• Recoverable Reserves/Resources Estimates of recoverable opencast coal
is based on detailed open pit design, which in addition to allowances for
geological and abandoned mine workings losses, allows for deductions
due to stand off from physical features, batter losses and coal thickness
losses during mining. Estimates of recoverable coal by underground
working at Aberpergwm mine are based generally on provisional loss
factors, without specifying a particular mining method. Estimates of both
recoverable resources and reserves, which in addition for geological and
abandoned workings losses, allows for deductions due to stand-offs
from flooded mine workings and major roadways and area losses due
to mine layout (50 per cent. deduction). Due to the complex tectonic
structure, geological losses of between 10 per cent. and 20 per cent.
have been deducted along with the mining losses, which allows for
losses due to complex faulting, washout and thickness uncertainty.
The information relating to such reserves has been reviewed and approved
by Colin Stocks, Energybuild Director of Mining, who is an Incorporated
Engineer, Engineers Registration Board of the Engineering Council UK and an
Associate Member of the Institute of Mining Engineers.
Notes on Reserves 12 Coal International Plc  Annual Report & Financial Statements 2007
Financial Summary Table
Consolidated profit and loss account (year ended)
Restated
30 June 2007 30 June 2006
£’000 £’000
Turnover 18,092 2,890
Cost of sales (24,655) (5,773)
Other operating expenses (2,252) (2,690)
Provision against fixed asset investment (2,511) (2,175)
Loss on ordinary activities before taxation (12,424) (8,080)
Loss per share – basic and 
diluted-continuing (17.42p) (16.72p)
Consolidated balance sheet position (as at)
Restated
30 June 2007 30 June 2006
£’000 £’000
Intangible fixed assets – 
Mining properties and mineral rights 38,101 40,399
Tangible fixed assets 41,234 27,931
Associates and other investments 6,069 9,076
Cash 3,850 250
Total assets 93,213 80,512
Long term borrowings (15,443) (2,424)
Provisions (7,316) (7,692)
Total liabilities (34,641) (17,647)
Net Assets 58,572 62,865
Net Debt (16,031) (4,638)
Prior year adjustments (2006)
During the year, the Board requested a review of the financial
controls of the Company and its subsidiaries (the “Group”)
including a review of the report and financial statements for the
year ended 30 June 2006. This resulted in a requirement for a
number of adjustments and the inclusion of additional
disclosures, plus FRS 20 Share Based Payments was adopted
resulting in a further prior year adjustment. The net effect to the
profit and loss account was an increase in loss before tax of
£2,689,000 from £5,391,000 to £8,080,000. The effect on net
assets was an increase of £7,739,000 from £55,126,000 to
£62,865,000. The adjustments are summarised below and are
set out in detail in Note 1 to the report and financial statements.
Profit and loss account 
Year ended
30 June 2006
£’000
Loss before tax as stated (5,391)
Adjustments to acquisition accounting (83)
Amortisation of mineral rights (98)
Share-based payments (1,412)
Share of associate result 63
Impairment of mineral rights (534)
Adjustment to provision for restoration (625)
(2,689)
Loss before tax as restated (8,080)
Balance sheet
30 June 2006
£’000
Net assets as stated 55,126
Adjustments to acquisition accounting:
Decrease in goodwill (27,549)
Increase in mineral rights 32,930
Decrease in accruals 1,475
Reclassification from intangible assets (2,650)
Reclassification to tangible assets 2,650
Adjustment to provision for restoration and 
related asset to reflect effect of discounting 883
7,739
Net assets as restated 62,865
The adjustments arose primarily from the accounting for the
acquisitions of King-Coal Corporation Limited and Energybuild
Holdings Limited. Following adjustment to the acquisition
accounting, in accordance with the stated accounting policies,
including the recognition of intangible mineral rights on
acquisition, goodwill within the Group was reduced to nil from
£27,549,000, while the value of mineral rights was increased.
In accordance with FRS 11 Impairment of fixed assets and
goodwill, the restated mining properties and mineral rights
carrying value was considered for impairment as at 30 June
2006. This resulted in a write-down to the value of the Pageton
asset of £534,000, reflecting the conditions at that time. Further
information relating to this adjustment is provided in the Loss
analysis below. The net effect on mineral rights was an increase
of £30,280,000 from £10,119,000 to £40,399,000.
A further adjustment has been made to the provisions for
restoration, specifically the provisions relating to the operations
in West Virginia (US). The original provision for ADC was based
on the value of bonds that were in place for each individual
mining property. The bond values represented the amount that
the local authorities believed would be necessary to restore and
rehabilitate each property. These provisions were not
discounted. Following a third party review by an independent
assessor it was determined that the provisions which were
previously based on governmental bond obligations were
understated. The Directors have concluded the need to restate
the provisions (including reflecting the effect of discounting) and
related restoration asset based on the output from this third
party assessment. The effect was to increase restoration assets
by £1,825,000 from £6,973,000 to £8,798,000 and provisions
by £922,000 from £6,770,000 to £7,692,000. 
Finally the Group has also adopted FRS 20 Share Based
Payments for the year ending 30 June 2006; the timing of
adoption is in line with other AIM listed companies. This resulted
in a charge of £1,412,000 being recognised in the 2006 profit
and loss account based on the fair value of options issued to
directors and employees and other share based payments
during the year.
Financial Review 13
The review also identified missing disclosures in the 2006
financial statements, primarily relating to acquisitions, and these
disclosures are incorporated in note 17.
The restated amounts are set out in the 2006 comparatives
along with appropriate disclosures. A detailed reconciliation
and full explanation of each adjustment is included in note 1. 
Loss analysis
The Group reported a loss before tax of £12,424,000 (2006:
restated loss of £8,080,000) and basic and diluted loss per
share from continuing operations of 17.42p (2006: restated loss
of 16.72p) for the year. 
A significant increase in operational activity in North America is
reflected within the increased turnover and a related increase in
cost of sales during the year. This follows the first ramping up of
production at the Group’s West Virginia operations.
Administration expenses have increased in line with the
increase in operational activities. However, also included within
these expenses is a charge of £45,000 and £1,412,000 for the
years ending 30 June 2007 and 30 June 2006 respectively,
resulting from the adoption of FRS 20 Share Based Payments.
The charge represents the fair value of options and other share
based payments. 
The net loss includes exceptional items totalling £3,522,000
(2006: restated £2,710,000). The first item is a provision against
fixed asset investment representing a decline in the value of
NEMI during the year amounting to £2,511,000 (2006: restated
£2,175,000). The provision reduces the investment value to that
which the directors consider supportable based upon various
considerations including NEMI’s share price, the value of its net
assets and future financing requirements. Further information
relating to this charge is provided in note 3 of the financial
statements. The second charge within exceptional items is the
impairment of mining properties and mineral rights of
£1,011,000 (2006: restated £534,000). This impairment relates
specifically to the Pageton property which is held by ADC. As the
property was put under care and maintenance in November
2006, the directors believe the carrying value was impaired at
30 June 2006 and further impaired in the current year. 
The consolidated profit and loss account as presented on
page 20 allocates both turnover and the Group operating loss
between continuing and discontinued operations. The
discontinued operations comprise the results of Energybuild. On
6 August 2007 Energybuild was admitted to AIM. Following the
admission, the Group’s 50 per cent. interest in Energybuild was
reduced to 23.08 per cent. As a result, for the year ended 30
June 2008, Energybuild will no longer be consolidated in the
Group results as a subsidiary, and it has been presented as a
discontinued operation for the year to 30 June 2007. 
Acquisition and Investment Activity
At 30 June 2006, the Company had a 55.6 per cent. interest in
Energybuild Holdings Ltd. On 14 July 2006 the Company sold its
direct interest in Energybuild Holdings Ltd via a share-for-share
exchange with Energybuild. In accordance with FRS 6
Acquisitions and Mergers the Group has applied merger
accounting to present consolidated information for the Group as
if the new legal structure had always existed. On 20 July 2006
the Company took part in a private placing of Energybuild
acquiring 2,500,000 ordinary shares of 10p each for 20p a
share. Following participation in the placing the Company’s
interest in Energybuild was reduced to 50 per cent..
On 27 November 2006, the Company increased its interest in
NEMI to 20.09 per cent., which remained the interest held at
30 June 2007. On 20 March 2007 Coal International Directors
W. Durand Eppler and John Byrne were elected to NEMI’s Board.
NEMI was accounted for as an associate from the date of the
directors’ appointment and as such a loss of £95,000 is
included in the consolidated profit and loss account
representing the Group’s share of NEMI’s loss for the period.
Financing Activity
On 1 September 2006 the Company entered into a two year
£8,200,000 loan facility with Cambrian Mining Plc to fund the
purchase of equipment and other project finance requirements.
On 13 November 2006 the Company increased the existing loan
facility agreement from £8,200,000 to £13,500,000 plus accrued
interest. The increased facility incorporates an option to convert
the total balance outstanding into ordinary shares of the
Company at 60p per share and is repayable on 13 November
2008 with an option for the Company to extend this to 7 January
2009. This option is considered to have a value of £379,000
which has been determined following the calculation of the fair
value of the loan of £13,933,000. This value has been included
within reserves. The loan has not been converted to date. 
In addition, the following facilities were agreed with Cambrian
Mining Plc during the year:
– Bridging loan for equipment finance of up to US$10,000,000.
This facility was not used by the Company, during the year to
30 June 2007.
– Working capital facility of up to US$12,500,000 to be used to
fund the Maple metallurgical coal project. The facility was
repaid during the year. 
Equity
The Company raised £8,132,000 in cash, net of share issues
expenses, from the issue of 30,334,932 ordinary shares of 10p
each at 28p per share.
Effective 31 May 2007 each shareholder’s existing shareholding
was converted from one existing ordinary share of 50p each to
one ordinary share of 10p each and 4 deferred shares of 10p
each. The deferred shares have no voting rights and are not
admitted to trading on AIM. 14 Coal International Plc  Annual Report & Financial Statements 2007
Directors’ Report
The Directors present their report together with the financial
statements for the year ended 30 June 2007. The financial
statements for the year ended 30 June 2006 have been
restated and the restated amounts are set out in the 2006
comparatives (see note 1 to the financial statements for a full
explanation).
Principal Activities and Business Review
The principal activities of the Company consist of producing coal
and identifying, evaluating and making investments in, or
acquisitions of, coal mining projects. The Company conducts its
coal mining operations in West Virginia through its wholly-
owned subsidiary Atlantic Development and Capital LLC. The
Group’s main operations in West Virginia consist of a coal
preparation plant, the Silo Mains underground mine and the
Crooked Run surface mining operation at the Atlantic Leaseco
property and the Eagle No. 1 underground mine and Katie
Preparation plant at the Maple property. As at the end of the
reporting period, the Company also held a 50.0 per cent.
shareholding in Energybuild Group plc (“Energybuild’), a Welsh
coal producer (which subsequent to the reporting period
decreased to 23.08 per cent. upon the admission of Energybuild
to AIM), and a 20.1 per cent. interest in NEMI Northern Energy
and Mining Inc, a mining company engaged in the business of
exploration, development and production of metallurgical coal
in British Columbia, Canada.
The Companies Act requires the Company to set out in this
report a fair review of the business of the Group during the
reporting period, including an analysis of the position of the
Gorup at the end of the reporting period and the principal risks
and uncertainties facing the Group. The information that fulfils
these requirements, including key performance indicators, can
be found in the Highlights (page 1), Chairman’s Statement,
(page 2) the CEO’s Review (page 6) and the Financial Review
(page 12). 
Risks and Uncertainties are discussed in the Statement of
Corporate Governance set out on pages 16-17.
Results and Dividends
The loss after tax for the year ended 30 June 2007 amounts to
£12.4 million (restated 2006: £8.1 million).
No dividends were paid or proposed by the Directors in either
the current or previous years.
Substantial Interests in Share Capital
Since the Disclosure and Transparency Rules of the FSA came
into force, the Company has been notified or is aware of the
following significant holdings of voting rights in its shares, as at
19 December 2007:
Number % of Issued
Shareholder of shares capital
Cambrian Investment Holdings 
Limited 33,545,107 34.38
RAB Special Situations (Master) 
Fund Ltd 9,357,143 9.59
Directors
The names and biographical details of the Directors are set out
below. All of the Directors served throughout the reporting
period.
John J Byrne (58) – Non-Executive Chairman and Audit and
Remuneration Committee Member
John Byrne has over 30 years’ experience in the natural
resources industry as an investor and resource business
developer. Mr Byrne is also Executive Chairman of Cambrian
Mining Plc and is Non-Executive Chairman of Western Canadian
Coal Corp, which is listed on AIM and the TSX (Canada).
Mr Byrne holds directorships with a number of other public and
private companies.
William Durand Eppler (54) – Chief Executive Officer
W. Durand (Randy) Eppler is Managing Partner of Sierra
Partners, LLC, a mining investment and advisory firm and a
director of Vista Gold Corporation, Allied Nevada Gold
Corporation and Augusta Resource Corporation. Mr. Eppler also
serves as the Non-Executive Chairman of NEMI: Northern Energy
& Mining Inc. Prior to establishing Sierra, Mr Eppler was Vice
President of Newmont Mining Corporation from 1995 – 2004,
following a twenty year career in commercial and investment
banking, focused on the minerals industries. 
John J Conlon (68) – Non-Executive Director and Audit and
Remuneration Committee Member
John Conlon has been involved in the mining industry since
1972, when he formed Webcon Equipment Inc, a company that
supplies milling and mobile equipment worldwide. In 1980 he
purchased a part share in Graham Mining, a mining contracting
company involved in mine development in northern Canada.
In 1995 he formed Driftech Inc, a company engaged in the
business of repairs and manufacturing mining equipment.
Mr Conlon is a director of several companies including Western
Canadian Coal Corporation and Cambrian Mining Plc.
Directors’ Remuneration 
The Company remunerates the Directors at a level
commensurate with the size of the Company and the
experience of its Directors. 
The remuneration paid to the Directors of the Company for the
year ended 30 June 2007 was £211,178. The remuneration of
the Directors of the Company consists solely of a basic salary
detailed below: 
Director Annual Salary
John J Byrne £12,000
W. Durand Eppler US$360,000
John Conlon £12,000
As at the date of this Directors’ Report, there has been no
changes in the salaries set out above since 30 June 2007.
In addition the Directors hold share options as set out in the
statement of Directors’ Interests. 15
Going Concern
After making enquiries the Directors have a reasonable
expectation that the Group has adequate resources to continue
in operational existence for the foreseeable future. On this basis
they continue to adopt the going concern basis in preparing the
financial statements.
Supplier Payment Policy
It is the Company’s policy to settle the terms of payment with
suppliers when agreeing the terms of the transaction so as to
ensure that suppliers and the Company are aware of those
terms and abide by them. The number of days' purchases
outstanding for payment by the Company at the year end was
33 (2006: 30).
Political donations
No political donations contributions or donations for political
purposes were made during the period. 
Annual General Meeting
The notice of the Annual General Meeting of the Company will
be distributed to shareholders together with the Annual Report.
Full details of the business to be considered at that meeting can
be found in the notice.
Auditors
Each of the persons who is a Director at the date of approval of
this Annual Report confirms that:
• so far as the Director is aware, there is no relevant audit
information of which the Company’s auditors are unaware;
and
• the Director has taken all the steps that he ought to have
taken as a director in order to make himself aware of any
relevant audit information and to establish that the
Company’s auditors are aware of that information.
This confirmation is given and should be interpreted in
accordance with the provisions of s234ZA of the Companies Act
1985.
Deloitte and Touche LLP have expressed their willingness to
continue in office as the auditors and a resolution to re-appoint
them will be proposed at the next Annual General Meeting of
the Company.
By Order of the Board
Dated: 19 December 2007
Alwyn Davey
Company Secretary
Directors’ Indemnities 
The Company maintains directors’ and officers’ liability
insurance which gives appropriate cover for legal action
brought against its directors. The Company has also provided
an indemnity for its Directors, which is a qualifying third party
indemnity provision for the purposes of section 309B of the
Companies Act 1985.
Directors’ Service Contracts
Pursuant to letters of appointment dated 22 April 2005, John
Byrne and John Conlon are required to devote at least 2
working days per month to the Company’s business. The letters
of appointment are terminable on 6 months’ notice given by the
Company and 12 months’ notice given by the Director. Pursuant
to a letter of appointment dated 21 October 2005, W. Durand
Eppler is required to devote sufficient time and attention to the
Company’s business as is required to fulfill his executive
responsibilities. His appointment is terminable on 60 days’
notice by either party.
Under the Company’s Articles of Association at least one third of
all Directors are required to resign by rotation at the forthcoming
Annual General Meeting. Accordingly, John Byrne is retiring at
the Annual General Meeting and, being eligible, has offered
himself for re-election as a Director of the Company.
Directors’ Interests
The Directors who held office as at 30 June 2007 had the
following interests:
30 June 2007 30 June 2006
Director Ordinary Ordinary
Shares Options Shares Options
John Byrne 100,000 1,000,000 100,000 1,000,000
John Conlon 100,000 1,000,000 100,000 1,000,000
W D Eppler Nil 250,000 Nil 250,000
No Director held any interest in any of the Company’s
subsidiaries at the beginning or the end of the reporting period.
Further details of the options can be found in note 32 of the
Financial Statements.
Corporate Governance
A statement on Corporate Governance is set out on page 16.
Environmental Responsibility
The Company recognises that its role as a coal producer
requires it to have regard to the potential impact that it and its
subsidiary companies may have on the environment. The
Company ensures that its subsidiaries comply with the local
regulatory requirements with regard to the environment and
wherever possible, the Company encourages all related
companies to comply with local regulatory requirements as
well. 16 Coal International Plc  Annual Report & Financial Statements 2007
The Board recognises the importance of sound corporate governance commensurate with the size of the Company and the interests of
shareholders. The Company is not required to comply with the Combined Code on Corporate Governance issued by the Financial
Reporting Council. However as the Company grows, the Directors intend that it should develop policies and procedures which reflect the
Combined Code so far as is practicable, taking into account the size and nature of the Company.
The Board of Directors
The Board of Directors currently comprises three members, two Non-Executive directors and one Executive director. The Directors have a
wealth of experience in the minerals industry. 
Board Meetings
The Board ordinarily meets no less than on a quarterly basis, providing effective leadership and overall management of the Group’s
affairs through the schedule of matters reserved for its decision. This includes the approval of the budget and business plan, major
capital expenditure, acquisitions and disposals, risk management policies and the approval of the financial statements. Formal
agendas, papers and reports are sent to the Directors in a timely manner, prior to the board meetings. 
All Directors have access to the advice of the Company’s solicitors and the Company Secretary who is responsible for ensuring that all
Board procedures are followed. Any Director may take independent professional advice at the Company’s expense in the furtherance of
his duties. 
The Board has established an Audit Committee to provide a forum for reporting by the Company’s external auditors. The Committee is
responsible for reviewing a wide range of matters, including half-year and annual results before their submission to the Board, and for
monitoring the controls that are in force to ensure the integrity of information reported to shareholders. The Committee will advise the
Board on the appointment of external auditors and on their remuneration for both audit and non-audit work, and discuss the nature,
scope and results of the audit with the external auditors. The Committee will keep under review the cost effectiveness and the
independence and objectivity of the external auditors. The members of the Audit Committee are John Conlon and John Byrne. 
The Board has established a Remuneration Committee, consisting of John Byrne and John Conlon, who also chairs the committee. The
Committee is responsible for making recommendations to the Board, within agreed terms of reference, on the Company’s framework of
executive remuneration and its cost. The Committee will determine the contract terms, remuneration and other benefits for the executive
directors, including performance related bonus schemes, pension rights and compensation payments. The Board itself will determine
the remuneration of the non-executive directors.
Risks and Uncertainties
The principal risks facing the Group are set out below. Risk assessment and evaluation is an essential part of the Group’s planning and
an important aspect of the Group's internal control system.
General and economic risks:
• Contractions in the world economies or increases in the rate of inflation resulting from international conditions; movements in the
equity and share markets in the United States, United Kingdom and throughout the world. 
• Movements in global equity and share markets and changes in market sentiment towards the resource industry.
• Currency exchange rate fluctuations and, in particular, the relative prices of the US dollar and the UK pound. In particular, for
Energybuild’s operations, coal prices are linked to an index based on the US dollar whilst their costs are denominated in UK pounds.
The US operations are not exposed to this currency exchange rate risk as both their income and costs are denominated in US dollars.
• Exposure to interest rate fluctuations.
• Adverse changes in factors affecting the success of mining operations, such as increases in expenses, changes in government policy
and further regulation of the mining industry; unforeseen major failure, breakdowns or repairs required to key items of mining plant
and equipment or mine structure resulting in significant delays, notwithstanding regular programs of repair, maintenance and
upkeep; and unforeseen adverse geological, mining or prolonged weather conditions.
Funding risk:
• The Company may not be able to raise, either by debt or further equity, sufficient funds to enable completion of planned exploration,
investment and/or mine development projects.
Commodity risk:
• Commodities are subject to high levels of volatility in price and demand and the Group is particularly exposed to movements in coal
and oil prices. The price of commodities depends on a wide range of factors, most of which are outside the control of the Company.
Production costs depend on a wide range of factors, including commodity prices, capital and operating costs in relation to any
operational site. 
Corporate Governance 17
Mining exploration and development risks:
• Timely approval of mining permits and operating plans through the respective regulatory agencies can not be guaranteed. In West
Virginia in particular, increased pressure from the regulatory and approval agencies has resulted from accidents such as at the Sago
Mine (the fatal mining accident which occurred at Wolf Run Mining Company, Sago Mine, West Virginia in January 2006). Coal
producers must also address environmental issues prior to permit approvals. Although it is still possible to work within the guidelines
of the regulatory approval process it could create delays in permit and operating plan approvals necessary to bring on additional
production and planned expansion. 
• Mining exploration and development activity is subject to numerous risks, including failure to achieve estimated mineral resource,
recovery and production rates and capital and operating costs.
• Success in identifying economically recoverable reserves can never be guaranteed. The Company also cannot guarantee that it will
be able to obtain the necessary permits and approvals required for development of their projects.
• The Company may be required to undertake clean-up programmes resulting from any contamination from their operations or to
participate in mine rehabilitation programs which may vary from project to project. The Group follows all necessary laws and
regulations and is not aware of any present material issues in this regard.
• Availability of skilled workers is an ongoing challenge to management. The Company has been successful, to date, in securing
sufficient trained personnel to conduct its operations, although the pool of experienced workers is limited.
• Geology is always a potential risk in mining activities but ADC has implemented supplementary drilling programmes to gain
additional information for the areas planned to be mined in the business plan. The Energybuild mining plan is structured such that
faults will be mapped at the development stage to ensure that disruption once continuous mining or shortwall operations commence
will be kept to a minimum.
Market Risk
• The Company markets its production to a broad range of industrial and utility customers under contracts that range from spot terms
to multi-year contracts. The ability to continue to secure sufficient and profitable sales contracts to support its operations is a key
business risk.
Credit Risk
• As the Group moves toward longer term sales contracts, its credit risk will increase in relation to its contracts with customers.
Internal Controls
The Board recognises the importance of both financial and non-financial controls and has reviewed the Group’s control environment to
identify any areas requiring improvement during the period. This will be a continuing process of monitoring internal controls and
ensuring that control procedures are effective and that they operate efficiently.
Please see the Financial section of the Chairman’s Statement and the Financial Review for details of the financial controls of the Group.
Relations with Shareholders
The Board is committed to providing effective communication with the shareholders of the Company. Significant developments are
disseminated through stock exchange announcements. The Company regularly updates its website with developments and news. The
Board sees the Annual General Meeting as a forum for communication between the Company and its shareholders and encourages
their participation in its agenda. 18 Coal International Plc  Annual Report & Financial Statements 2007
The Directors are responsible for preparing the Annual Report and the financial statements in accordance with applicable law and
regulations.
Company law requires the Directors to prepare financial statements for each financial year. Under that law the Directors have elected to
prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom
Accounting Standards and applicable law). The financial statements are required by law to give a true and fair view of the state of
affairs of the Company and the Group and of the profit or loss of the Group for that period. In preparing these financial statements, the
Directors are required to:
• select suitable accounting policies and then apply them consistently; 
• make judgments and estimates that are reasonable and prudent;
• state whether applicable UK Accounting Standards have been followed;
• prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Company will continue in
business.
The Directors are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial
position of the Company and enable them to ensure that the financial statements comply with the Companies Act 1985. They are also
responsible for safeguarding the assets of the Company and hence for taking reasonable steps for the prevention and detection of
fraud and other irregularities.
The Directors are responsible for the maintenance and integrity of the corporate and financial information included on the Company's
website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from
legislation in other jurisdictions.
Statement of Director’s Responsibilities 19
Independent Auditors’ Report To The Members Of
Coal International Plc 
Basis of audit opinion
We conducted our audit in accordance with International
Standards on Auditing (UK and Ireland) issued by the Auditing
Practices Board. An audit includes examination, on a test basis,
of evidence relevant to the amounts and disclosures in the
financial statements. It also includes an assessment of the
significant estimates and judgments made by the directors in
the preparation of the financial statements, and of whether the
accounting policies are appropriate to the group's and
company's circumstances, consistently applied and adequately
disclosed.
We planned and performed our audit so as to obtain all the
information and explanations which we considered necessary
in order to provide us with sufficient evidence to give
reasonable assurance that the financial statements are free
from material misstatement, whether caused by fraud or other
irregularity or error. In forming our opinion we also evaluated
the overall adequacy of the presentation of information in the
financial statements.
Opinion
In our opinion:
• the financial statements give a true and fair view, in
accordance with United Kingdom Generally Accepted
Accounting Practice, of the state of the group's and the
parent company's affairs as at 30 June 2007 and of the
group's loss for the year then ended;
• the financial statements have been properly prepared in
accordance with the Companies Act 1985; and
• the information given in the Directors' Report is consistent
with the financial statements.
Deloitte & Touche LLP
Chartered Accountants and Registered Auditors 
London, UK
19 December 2007
We have audited the group and parent company financial
statements (the ''financial statements'') of Coal International Plc
for the year ended 30 June 2007 which comprise the
Consolidated Profit and Loss Account, the Consolidated
Statement of Total Recognised Gains and Losses, the
Consolidated and Company Balance Sheets,  the Consolidated
Cash Flow Statement, the Statement of Accounting Policies and
the related notes 1 to 35. These financial statements have been
prepared under the accounting policies set out therein.
This report is made solely to the company’s members, as a
body, in accordance with section 235 of the Companies Act
1985.  Our audit work has been undertaken so that we might
state to the company’s members those matters we are required
to state to them in an auditors’ report and for no other purpose.
To the fullest extent permitted by law, we do not accept or
assume responsibility to anyone other than the company and
the company’s members as a body, for our audit work, for this
report, or for the opinions we have formed.
Respective responsibilities of directors and
auditors
The directors' responsibilities for preparing the Annual Report
and the financial statements in accordance with applicable law
and United Kingdom Accounting Standards (United Kingdom
Generally Accepted Accounting Practice) are set out in the
Statement of Directors' Responsibilities.
Our responsibility is to audit the financial statements in
accordance with relevant legal and regulatory requirements
and International Standards on Auditing (UK and Ireland).
We report to you our opinion as to whether the financial
statements give a true and fair view and are properly prepared
in accordance with the Companies Act 1985. We also report to
you whether in our opinion the information given in the
Directors' Report is consistent with the financial statements. The
information given in the Directors' Report includes that specific
information presented in the Chairman’s Statement, CEO’s
Review, Financial Review and Corporate Governance Statement
that is cross referred from the Business Review section of the
Directors' Report.
In addition we report to you if, in our opinion, the company has
not kept proper accounting records, if we have not received all
the information and explanations we require for our audit, or if
information specified by law regarding directors' remuneration
and other transactions is not disclosed. 
We read the other information contained in the Annual Report,
and consider whether it is consistent with the audited financial
statements. This other information comprises the Chairman’s
Statement, CEO’s Review, Financial Review and Corporate
Governance Statement. We consider the implications for our
report if we become aware of any apparent misstatements or
material inconsistencies with the financial statements. Our
responsibilities do not extend to any further information outside
the Annual Report. 20 Coal International Plc  Annual Report & Financial Statements 2007
Consolidated Profit and Loss Account
for the year ended 30 June 2007
Restated* 
Year ended Year ended 
30 June 2007 30 June 2006
Notes £’000 £’000
Turnover
Existing operations 13,331 2
Acquisitions – 2,605
Continuing operations 13,331 2,607
Discontinued operations 4,761 283
2 18,092 2,890
Less: Cost of sales 3 (24,655) (5,773)
Gross loss (6,563) (2,883)
Other operating expenses 3 (2,252) (2,690)
Existing operations (8,553) (3,751)
Acquisitions – (1,917)
Continuing operations (8,553) (5,668)
Discontinued operations (262) 95
Group operating loss 4 (8,815) (5,573)
Interest receivable 7 94 223
Provision against fixed asset investment 3 (2,511) (2,175)
Interest payable 7 (1,097) (618)
Share of associates results 6 (95) 63
Loss on ordinary activities before taxation (12,424) (8,080)
Taxation 10 12 20
Loss on ordinary activities after taxation (12,412) (8,060)
Minority interests 26 229 (6)
Retained loss for the financial year attributable to Shareholders of the Company (12,183) (8,066)
Loss per share – basic and diluted - continuing 13 (17.42p) (16.72p)
Loss/(earnings) per share – basic and diluted – discontinued 13 (0.03p) 0.09p
Loss per share – basic and diluted – total 13 (17.45p) (16.63p)
* Following a review of the 2006 financial statements, certain balances as at and for the year ended 30 June 2006 have been
restated. A detailed description of each restated balance is provided in note 1.
The accompanying accounting policies and notes form an integral part of these financial statements. 21
Restated* 
Year ended Year ended 
30 June 2007 30 June 2006
£’000 £’000
(Loss)/profit for the financial year
Group (12,088) (8,129)
Associates (95) 63
(12,183) (8,066)
Foreign exchange translation differences on foreign currency net
investment in subsidiaries (1,887) (1,778)
Unrealised surplus on revaluation of intangible mineral rights and liabilities – 10,258
Total recognised (losses)/gains relating to the financial year (14,070) 414
Prior year adjustment (as explained in note 1) 7,739
Total recognised losses since last annual report and financial statements (6,331)
* Following a review of the 2006 financial statements, certain balances as at and for the year ended 30 June 2006 have been
restated. A detailed description of each restated balance is provided in note 1.
The accompanying accounting policies and notes form an integral part of these financial statements.
Consolidated Statement of Total Recognised Gains and Losses
for the year ended 30 June 2007 22 Coal International Plc  Annual Report & Financial Statements 2007
Restated*
30 June 2007 30 June 2006
Note £’000 £’000
Fixed assets
Intangibles
Mining properties and mineral rights 14 38,101 40,399
Tangibles
Tangible Assets 15 41,234 27,931
Associate 16 3,141 –
Other investments 16 2,928 9,076
85,404 77,406
Current assets
Stocks 18 751 780
Debtors
– due within one year 19 3,208 2,076
Cash at bank 3,850 250
7,809 3,106
Creditors – amounts due within one year 20 (10,634) (7,075)
Net current liabilities (2,825) (3,969)
Total assets less current liabilities 82,579 73,437
Creditors – amounts due after one year 21 (16,691) (2,880)
Provisions for liabilities 22 (7,316) (7,692)
Net assets 58,572 62,865
Share capital and reserves
Ordinary share capital 23 9,758 33,625
Deferred share capital 23 26,900 –
Share premium account 24 14,274 9,175
Merger reserve 24 14,808 14,808
Other reserve 24 1,660 1,561
Foreign currency reserve 24 (3,665) (1,778)
Revaluation reserve 24 10,258 10,258
Equity component of convertible loan 24 379 –
Profit and loss account 24 (20,149) (7,966)
Shareholders’ funds 25 54,223 59,683
Minority interests 26 4,349 3,182
Total capital employed 58,572 62,865
* Following a review of the 2006 financial statements, certain balances as at and for the year ended 30 June 2006 have been
restated. A detailed description of each restated balance is provided in note 1.
The accounts were approved by the Board of Directors on 19 December 2007 and signed on its behalf by:
W. Durand Eppler
Director
The accompanying accounting policies and notes form an integral part of these financial statements.
Consolidated Balance Sheet
as at 30 June 2007 23
Restated*
30 June 2007 30 June 2006
Note £’000 £’000
Fixed assets
Subsidiaries 16 41,829 41,304
Fixed asset investments 16 3,236 5,572
45,065 46,876
Current assets
Debtors
– due within one year 19 87 564
– due after one year 19 25,011 9,855
Cash at bank 2,963 19
28,061 10,438
Creditors – amounts due within one year 20 (290) (334)
Net current assets 27,771 10,104
Total assets less current liabilities 72,836 56,980
Creditors – amounts due after one year 21 (13,932) (1,989)
Net assets 58,904 54,991
Share capital and reserves
Ordinary share capital 23 9,758 33,625
Deferred share capital 23 26,900 –
Share premium account 24 14,274 9,175
Merger reserve 24 14,808 14,808
Other reserve 24 1,561 1,561
Equity component of convertible loan 24 379 –
Profit and loss account 24 (8,776) (4,178)
Shareholders’ funds 25 58,904 54,991
* Following a review of the 2006 financial statements, certain balances as at and for the year ended 30 June 2006 have been
restated. A detailed description of each restated balance is provided in note 1.
The accounts were approved by the Board of Directors on 19 December 2007 and signed on its behalf by:
W. Durand Eppler
Director
The accompanying accounting policies and notes form an integral part of these financial statements.
Company Balance Sheet
as at 30 June 2007 24 Coal International Plc  Annual Report & Financial Statements 2007
Restated*
Year ended Year ended
30 June 2007 30 June 2006
Note £’000 £’000
Net cash outflow from operating activities 27 (4,212) (3,701)
Returns on investments and servicing of finance
Interest received 94 223
Interest paid (72) (77)
Net cash inflow from returns on investments and servicing of finance 22 146
Taxation ––
Capital expenditure and financial investment
Purchase of fixed assets (16,861) (5,348)
Restoration costs (539) –
Grant received 718 –
Purchase of investments (175) (5,966)
Liquidation of investments 317 1,288
Loans issued to related party – (8,608)
Net cash outflow from capital expenditure and financial investment (16,540) (18,634)
Acquisitions and disposals
Purchase of subsidiaries, net of cash acquired 17 – (1,502)
Net cash outflow from acquisitions and disposals – (1,502)
Cash outflow before management of liquid resources and financing (20,730) (23,691)
Financing 28 24,583 (7,524)
Increase/(decrease) in cash in the year 29 3,853 (16,167)
* Following a review of the 2006 financial statements, certain balances as at and for the year ended 30 June 2006 have been
restated. A detailed description of each restated balance is provided in note 1.
The accompanying notes and accounting policies form an integral part of these financial statements.
Consolidated Cash Flow Statement
for the year ended 30 June 2007 25
Accounting policies
The principal accounting policies are summarised below. They have all been applied consistently throughout the year and the
preceding year, other than as set out in note 1.
Basis of accounting
The financial statements have been prepared under the historical cost convention, and in accordance with applicable United
Kingdom accounting standards.
Comparative information
Comparative information has been restated. Please refer to note 1 for an explanation of the nature and impact of prior year
adjustments.
Basis of consolidation
The Group accounts consolidate the accounts of Coal International Plc and its subsidiary undertakings, drawn up to 30 June
2007. The results of subsidiaries acquired or sold are consolidated for the periods from or to the date on which control
passed. Acquisitions are accounted for under the acquisition method.
Revenue recognition
Revenue and the related trade accounts receivable arising from the production and sale of coal under the Group’s sales
contracts are recognised when the significant risks and rewards of ownership of the goods have passed to the buyer and title
has passed as specified in the respective contract. The cost of transportation including trucking is recorded as an expense in
the cost of mining.
Leases
The determination of whether an arrangement is or contains a lease is based on the substance of the arrangement and
requires an assessment of whether the fulfilment of the arrangement is dependent on the use of a specific asset or assets
and the arrangement conveys a right to use the asset.
All operating lease payments are charged to the profit and loss account on a straight line basis over the life of the lease. The
Group has no finance leases.
Foreign currencies
Transactions denominated in foreign currencies are translated into sterling at contracted rates or, where no contract exists, at
average monthly rates. Monetary assets and liabilities denominated in foreign currencies which are held at the year-end are
translated into sterling at year-end exchange rates. Exchange differences arising on a monetary item that forms part of the
net investment in a foreign operation are recognised in the statement of total recognised gains and losses. All other
exchange differences on monetary items are taken to the profit and loss account.
For the purposes of presenting consolidated financial statements, the assets and liabilities of the Group’s foreign operations
are translated at exchange rates prevailing on the balance sheet date. Income and expense items are translated at the
average exchange rates for the period, unless exchange rates fluctuate significantly during that period, in which case the
exchange rates at the date of transactions are used. Exchange differences arising, if any, are classified as equity and
transferred to the Group’s translation reserve. Such translation differences are recognised as income or as expenses in the
period in which the operation is disposed of.
Fixed asset investments
Fixed asset investments are stated at cost less any provision for impairment. Included within Fixed Asset Investments are
reclamation bonds, including equity and debt securities, which are held in investment accounts by third party bonding
companies that provide reclamation bonds to the State of West Virginia.
Statement of Accounting Policies
for the year ended 30 June 2007 26 Coal International Plc  Annual Report & Financial Statements 2007
Associates
An associate is an entity over which the Group is in a position to exercise significant influence, but not control or joint control,
through participation in the financial and operating policy decisions of the investee. Significant influence is the power to
participate in the financial and operating policy decisions of the investee but is not control or joint control over those policies.
The results, assets and liabilities of associates are incorporated in these financial statements using the equity method of
accounting. Investments in associates are carried in the balance sheet at cost as adjusted by post-acquisition changes in the
Group’s share of the net assets of the associate, less any impairment in the value of individual investments. Losses of the
associates in excess of the Group’s interest in those associates are not recognised.
Any excess of the cost of acquisition over the Group’s share of the fair values of the identifiable net assets of the associate at
the date of acquisition is recognised as goodwill. Any deficiency of the cost of acquisition below the Group’s share of the fair
values of the identifiable net assets of the associate at the date of acquisition (i.e. discount on acquisition) is credited in profit
or losses in the period of acquisition.
Tangible fixed assets
Tangible fixed assets are stated at cost less accumulated depreciation. Depreciation of tangible fixed assets is provided
where it is necessary to reflect a reduction from book value to estimated residual value over the estimated useful life of the
asset to the Group. Depreciation of tangible fixed assets is calculated by the straight line method, other than as set out below,
and the annual rates applicable to the principal categories are:
Plant & Machinery – between 5 per cent and 25 per cent
Office Equipment – between 15 per cent and 20 per cent
Motor Vehicles – between 5 per cent and 50 per cent
Mines & Surface Work – units of production
Restoration Assets/Rehabilitation Assets – units of production
Freehold Land – no depreciation
Freehold Buildings – 50 years
Mine development
Costs of developing new mines or significantly expanding the capacity of existing mines are capitalised until the mine begins
production at which point these assets are amortised on a units-of-production basis. Revenue generated from mining
production of properties being developed is offset against the costs of the new mines during development.
Intangible assets
Intangible assets acquired separately from a business are capitalised at cost. Intangible assets as part of an acquisition of a
business are capitalised separately from goodwill if the fair value can be measured reliably on initial recognition, subject to
the constraint that, unless the asset has a readily ascertainable market value, the fair value is limited to an amount that does
not create or increase any negative goodwill arising on the acquisition. Intangible assets created within the business are not
capitalised and expenditure is charged against profit in the year in which it is incurred.
Intangible mining properties and mineral rights are amortised on a units of production basis. The carrying value of intangible
assets is reviewed for impairment at the end of the first full year following acquisition and in other periods if events or
changes in circumstances indicate the carrying value may not be recoverable.
Grants
Grants relate to funds received under the Coal Investment Aid Scheme in Wales. These grants were used to acquire fixed
assets and are held in the balance sheet as deferred income and released to the profit and loss account over the life of the
asset to which it relates. 
There exists the possibility of grants having to be repaid if all terms and conditions of the grant are not subsequently adhered
to. The directors have reviewed the level of grants received to date and believe that there are no grounds on which any such
repayment could occur, including grants awarded of approximately £105,000 where the expenditure was incurred by a
predecessor operator of the mine.
Statement of Accounting Policies
for the year ended 30 June 2007 continued 27
Taxation
Current tax, including UK corporation tax and foreign tax, is provided at amounts expected to be paid using the tax rates and
laws that have been enacted or substantively enacted by the balance sheet date. 
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date
where transactions or events that result in an obligation to pay more tax in the future or a right to pay less tax in the future
have occurred at the balance sheet date.
Deferred tax is recognised in respect of the retained earnings of overseas subsidiaries and associates only to the extent that,
at the balance sheet date, dividends have been accrued as receivable or a binding agreement to distribute past earnings in
future has been entered into by the subsidiary or associate.
Deferred tax is measured at the average tax rates that are expected to apply in the periods in which the timing differences are
expected to reverse, based on tax rates and laws that have been enacted or substantively enacted at the balance sheet date.
Provisions for liabilities
A provision has been recognised for the rehabilitation, restoration and dismantling obligations associated with the retirement
or disposal of mine site assets. Upon initial recognition of the provision, a corresponding amount is capitalised as part of the
carrying amount of a restoration asset. The provision is measured at the present value of the estimated future expenditure
with the corresponding adjustment going to the cost of the asset. The capitalised cost is amortised over the life of the
estimated mine reserves on a units of production basis and the provision is increased as further disturbance occurs, creating
a further obligation to rehabilitate. The unwinding of discount of the provision is included within ‘finance charges’.
The provision along with the mine life will be reconsidered annually.
Share based payments
The Group has applied the requirements of FRS 20 (IFRS 2) Share-Based Payment.
The Group issues equity-settled share-based payments to certain employees, which are measured at fair value at the date of
grant. Fair value is measured by use of the Black-Scholes Model. The fair value determined at the grant date of the equity-
settled share-based payments is expensed on a straight-line basis over the vesting period.
Coal royalties
Certain land lease agreements provide for the payment of minimum royalties which are recoupable from future coal
production. Minimum payments paid in advance are deferred and recorded within prepayments. These prepayments are
charged to the cost of coal sales as mining occurs or recorded as an expense at the earlier of the expiration of the
recoupment period or at the same time the current mining plans indicate that they will not be recoupable and therefore have
become impaired.
Stocks
Stocks consist of raw and clean stockpiles which are stated at the lower of cost and net realisable value.
Finance costs
Finance costs of financial liabilities are recognised in the profit and loss account over the term of such instruments at a
constant rate on the carrying amount.
Finance costs which are directly attributable to the construction of tangible fixed assets are capitalised as part of the cost of
those assets. The commencement of capitalisation begins when both finance costs and expenditures for the asset are being
incurred and activities that are necessary to get the asset ready for use are in progress. Capitalisation ceases when
substantially all the activities that are necessary to get the asset ready for use are complete.
Financial liabilities and equity
The Group has applied the requirements of FRS 25 Financial instruments: Disclosure and Presentation.
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered
into. An equity instrument is any contract that evidences a residual interest in the assets of the Group after deducting all of its
liabilities. 28 Coal International Plc  Annual Report & Financial Statements 2007
Convertible loan notes
Convertible loan notes are regarded as compound instruments, consisting of a liability component and an equity component.
At the date of issue, the fair value of the liability component is estimated using the prevailing market interest rate for similar
non-convertible debt. The difference between the proceeds of issue of the convertible loan notes and the fair value assigned
to the liability component, representing the embedded option to convert the liability into equity of the Group, is included in
equity.
The interest expense on the liability component is calculated by applying the prevailing market interest rate for similar
non-convertible debt to the liability component of the instrument. The difference between this amount and the interest 
paid is added to the carrying amount of the convertible loan note.
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of direct issue costs.
Statement of Accounting Policies
for the year ended 30 June 2007 continued 29
1. Prior year adjustment
As described in the Financial Review on page 12, following the identification of a number of misstatements and missing
disclosures in the financial statements for the year ended 30 June 2006, the Board requested a review of the financial
controls of the Group including a review of the 2006 report and statements. These misstatements have been corrected
and reflected as restated comparative amounts in these financial statements for the year ended 30 June 2007. 
A reconciliation of the amounts originally stated to restated amounts for each primary statement is provided below.
A detailed description of each adjustment then follows.
Consolidated profit and loss account – summary
30 June 2006 30 June 2006
As stated Restatements Restated
£’000 £’000 £’000
Turnover 2,890 – 2,890
Less: Cost of sales (4,061) (1,712) (5,773)
Gross loss (1,171) (1,712) (2,883)
Other operating expenses (2,191) (499) (2,690)
Group operating loss (3,362) (2,211) (5,573)
Interest receivable 223 – 223
Provision against fixed asset investment (2,175) – (2,175)
Interest payable (77) (541) (618)
Share of associates results – 63 63
Loss on ordinary activities before taxation (5,391) (2,689) (8,080)
Taxation 20 – 20
Loss on ordinary activities after taxation (5,371) (2,689) (8,060)
Minority Interests (6) – (6)
Retained loss for the year attributable to shareholders of the Company (5,377) (2,689) (8,066)
Consolidated statement of total recognised gains and losses – summary
30 June 2006 30 June 2006
As stated Restatements Restated
£’000 £’000 £’000
Loss for the financial year (5,377) (2,689) (8,066)
Foreign exchange translation differences on foreign currency net
investments in subsidiaries 1,037 (2,815) (1,778)
Unrealised surplus on revaluation of intangible mineral rights
and liabilities – 10,258 10,258
Total recognised (losses)/ gains relating to the year (4,340) 4,754 414
Notes to the Financial Statements
for the year ended 30 June 2007
  30 Coal International Plc  Annual Report & Financial Statements 2007
Notes to the Financial Statements
for the year ended 30 June 2007 continued
1. Prior year adjustment continued
Consolidated balance sheet – summary
30 June 2006 30 June 2006
As stated Restatements Restated
£’000 £’000 £’000
Fixed assets
Intangibles
Goodwill 27,549 (27,549) –
Mining properties and mineral rights 10,119 30,280 40,399
Tangibles
Tangible assets 23,476 4,455 27,931
Other investments 9,076 – 9,076
70,220 7,186 77,406
Current assets
Stocks 780 – 780
Debtors 2,076 – 2,076
Cash at bank 250 – 250
3,106 – 3,106
Creditors – amounts due within one year (7,081) 6 (7,075)
Net current liabilities (3,975) 6 (3,969)
Total assets less current liabilities 66,245 7,192 73,437
Creditors – amounts due after one year (2,874) (6) (2,880)
Provisions for liabilities (6,770) (922) (7,692)
Deferred grants (1,475) 1,475 –
Net assets 55,126 7,739 62,865
Ordinary share capital 33,625 – 33,625
Share premium account 10,172 (997) 9,175
Merger reserve 14,808 – 14,808
Other reserve – 1,561 1,561
Foreign currency reserve – (1,778) (1,778)
Revaluation reserve – 10,258 10,258
Profit and loss account (4,240) (3,726) (7,966)
Minority interests 761 2,421 3,182
Total capital employed 55,126 7,739 62,865 31
1. Prior year adjustment continued
Consolidated cash flow statement – summary
Year ended Year ended
30 June 2006 30 June 2006
As stated Restatements Restated
£’000 £’000 £’000
Net cash outflow from operating activities (6,947) 3,246 (3,701)
Returns on investments and servicing of finance
Interest received 223 – 223
Interest paid (77) – (77)
Exchange variation on loans 1,037 (1,037) –
Net cash inflow from returns on investments and servicing of finance 1,183 (1,037) 146
Taxation –––
Capital expenditure and financial investment
Purchase of fixed assets (10,821) 5,473 (5,348)
Purchase of investments (5,967) 1 (5,966)
Liquidation of investments – 1,288 1,288
Loans issued to related parties – (8,608) (8,608)
Net cash outflow from capital expenditure and financial investment (16,788) (1,846) 18,634
Acquisitions and disposals 
Purchase of subsidiaries, net of cash acquired (753) (749) (1,502)
Net cash outflow from acquisitions and disposals (753) (749) (1,502)
Cash outflow before management of liquid resources and financing (23,305) (386) 23,691
Financing 6,514 1,010 7,524
Decrease in cash in the year (16,791) 624 (16,167)
A summary table and description of each adjustment to the profit and loss account, balance sheet and statement of total
recognised gains and losses are provided below. The restatements to the cash flow statement are described separately
below.
Year ended
30 June 2006
£’000
Consolidated profit and loss account
Loss before taxation as stated (5,391)
Adjustments to acquisition accounting (a) (83)
Amortisation of mineral rights (b) (98)
Share-based payments (c) (1,412)
Share of associate result (d) 63
Impairment of mineral rights (e) (534)
Adjustment to provision for restoration (f) (625)
(2,689)
Loss before taxation as restated (8,080)
30 June 2006
£’000
Consolidated statement of total recognised gains and losses
Total recognised losses relating to the year as stated (4,340)
Restatement to the profit and loss for the year (2,689)
Adjustment to foreign exchange translation differences on foreign currency net investments
in subsidiaries (h) (2,815)
Recognition of fair value adjustments (a) 10,258
4,754
Total recognised gains relating to the year as restated 414 32 Coal International Plc  Annual Report & Financial Statements 2007
Notes to the Financial Statements
for the year ended 30 June 2007 continued
1. Prior year adjustment continued
30 June 2006
£’000
Consolidated balance sheet
Net assets as stated 55,126
Adjustments to acquisition accounting:
Decrease in goodwill (a) (27,549)
Increase in mineral rights (a) 32,930
Decrease in accruals (a) 1,475
Reclassification from intangible assets (g) (2,650)
Reclassification to tangible assets (g) 2,650
Adjustment to provision for restoration and related asset to reflect effect of discounting (f) 883
7,739
Net assets as restated 62,865
Total capital employed as stated 55,126
Adjustments to acquisition accounting
Decrease in cost of acquisition (a) (848)
Recognition of fair value adjustments (a) 10,258
Adjustments to minority interest on acquisition (a) 2,421
Share-based payments (c) 1,412
Adjustment to foreign exchange translation differences on foreign currency net investments
in subsidiaries (h) (2,815)
Reclassification of opening foreign exchange translation balance from retained earnings 1,037
Reclassification of opening foreign exchange translation balance to foreign currency reserve (1.037)
Restatement to the profit and loss for the year (2,689)
7,739
Total capital employed as restated 62,865
(a) Adjustments to acquisition accounting
Impact on Balance Sheet
(i) As described in note 17, during the year ended 30 June 2006 the company acquired the remaining interest in
King-Coal Corporation Limited (King-Coal) and a further interest in Energybuild Holdings Limited (Energybuild).
During the review process described above, management revisited the accounting treatment of both of these
acquisitions. Revised acquisition notes have been presented within note 17. These reflect both revised book
values of assets and liabilities acquired and, where applicable, fair value adjustments as these were not
reflected within the original acquisition accounting. 
It was concluded that the fair value of intangible mineral rights acquired as part of the acquisition of King-Coal
was £33,411,000 and therefore no goodwill arose on the transaction. This fair value uplift was based upon an
assessment of the future cash flows which were expected to be generated at the Gauley Eagle and Pageton
mining properties. There were no other fair value adjustments associated with the King-Coal acquisition.
(ii) Management concluded that the fair value of intangible mineral rights acquired as part of the acquisition of
Energybuild was £5,075,000 and therefore no goodwill arose on the transaction. This fair value was based on
an assessment of the future cash flows which were expected to be generated at the open-cast and
underground coal mines owned by Energybuild. An additional fair value adjustment relating to the acquisition
of Energybuild arose where it was concluded that there was a nil value attributable to grants previously received
under the Coal Investment Aid Scheme. The amount included as a liability at book value within Energybuild, was
in accordance with SSAP 4 and reflected the amount of deferred income remaining to be recognised over the
term of the grant (£1,475,000). However as the fixed assets acquired are recognised at fair value, there is no
similar liability to the Group on acquisition.  33
1. Prior year adjustment continued
(a) Adjustments to acquisition accounting continued
(iii) Following the above review, it was determined that a consistent treatment of goodwill and intangible assets
should be applied to previous acquisitions of the group. On the 12 December 2005, the Company acquired the
remaining interest in Maple Coal Corporation Limited, resulting in the recognition of goodwill of £2,545,000.
However, in accordance with the revised treatment of other acquisitions which took place in the year,
management believe ‘goodwill’ is more accurately classified as ‘mineral rights’ and as such have reclassified
this balance accordingly.
A reconciliation between opening mineral rights at 30 June 2005 and restated closing mineral rights is provided in the
table below reflecting the acquisition accounting adjustments described above as well as additional adjustments as noted:
£’000
At 30 June 2005 –
Recognised on acquisition of King-Coal Corporation Limited (i) 33,411
Recognised on acquisition of Energybuild Holdings Limited (ii) 5,075
Recognised on acquisition of Maple Coal Corporation Limited (iii) 2,545
Amortisation of mineral rights (b) (98)
Impairment write-down of mineral rights (e) (534)
Restated at 30 June 2006 40,399
Impact on profit and loss account
In addition to the matters described above, management also revised the pre-acquisition results previously
eliminated as part of the acquisition accounting, the correction of which had a net impact of (£83,000) as follows:
£’000
Increase in cost of sales (592)
Decrease in operating expenses 509
Adjustment of pre-acquisition result eliminated from consolidation (83)
Impact on statement of recognised gains and losses
The fair value adjustments described above resulted in the recognition of a revaluation reserve of £10,258,469. The
reserve represents the Group’s share of the increase in fair value of the net assets in King-Coal and Energybuild
between the dates each became an associate and the dates they became a subsidiary. 
Impact on equity
An additional adjustment related to the acquisition of Energybuild during the period was to the cost of acquisition,
which was adjusted to reflect the market price on the date of acquisition in order to calculate the fair value of shares
issued. As shares were issued at a premium, the adjustment to the acquisition cost is an adjustment of £848,000 to
the share premium account.
The effect of the above adjustments to the fair value of consideration and the fair value of assets and liabilities
acquired are reflected in the minority interest. 
(b) Amortisation of mineral rights
As a result of the recognition of additional mineral rights on the acquisition of King-Coal and Energybuild, additional
amortisation relating to the restated balance was calculated on a units-of-production basis, which amounted to £98,000. 
(c) Share-based payments
As described within the Statement of accounting policies and in note 32, the company has adopted FRS 20 (IFRS 2)
Share Based Payment for the year ended 30 June 2007 and management has decided to restate the results for the
year ended 30 June 2006 on a comparable basis. In accordance with FRS 20, management has classified the
options awarded to directors during the 2006 year as ‘equity-settled share-based payment transactions’.
Accordingly a charge of £1,411,800 has been recognised during the year based on the fair value of the options
issued. Information relating to options issued and the related charge is provided in note 32. 
(d) Share of associate result
As described in note 17, King-Coal was an associate of the company prior to the acquisition of the remaining interest
on 12 December 2005. The share of King-Coal’s profit for the period 1 July 2005 to 12 December 2005 has been
calculated and included within the profit and loss account.  34 Coal International Plc  Annual Report & Financial Statements 2007
Notes to the Financial Statements
for the year ended 30 June 2007 continued
1. Prior year adjustment continued
(e) Impairment of mineral rights
As described in note 14, the directors have concluded that intangible mineral rights associated with the Pageton
property held by Atlantic Development and Capital LLC (ADC), a subsidiary of King-Coal, were impaired at both
30 June 2006 and further impaired at 30 June 2007. The 2006 write-down of £534,246 reflects conditions that
management believe were present at the original date of signing of the 2006 financial statements and therefore
provides a more prudent reflection of the underlying asset values at that time.
(f) Adjustment to provision for restoration
As shown in note 22, the provision for restoration is allocated between the US and the UK. 
The US provision relates to the ADC operations in West Virginia. The original provision for ADC was based on the
value of bonds that were in place for each individual mining property. The bond values represented the amount that
the local authorities believed would be necessary to restore and rehabilitate each property. These provisions were
not discounted. Following a third party review by an independent assessor it was determined that the provisions
which were previously based on governmental bond obligations were understated. The Directors have concluded
the need to restate the provisions (including reflecting the effect of discounting) and related restoration asset based
on the output from this third party assessment. 
The UK provision relates to the Energybuild operations in Wales. As the majority of restoration activity at Energybuild
for the surface mines was planned to take place in the near term, it was considered that discounting was not
appropriate. The restoration provision level for the drift mine has been reassessed and discounted to present day
value the net effect of which is no restatement of the UK provision balance at 30 June 2006. 
Impact on Balance Sheet
The net impact on the balance sheet at 30 June 2006 as a result of restating the provisions is as follows:
£’000
Increase in restoration asset 1,805
Increase in restoration provision (922)
Adjustment to costs of for restoration 883
Impact on Profit and loss account
The net impact on the profit and loss account as a result of restating the provisions is as follows:
£’000
Increase in interest expense: unwinding discount on provisions (541)
Increase in depreciation charge (84)
Adjustment to costs of restoration (625)
(g) Reclassification between intangible and tangible assets
The reclassification between intangible assets and tangible assets of £2,649,573 arose due to a difference in
presentation of ‘Construction in Progress’ and ‘Mine Development’ at the date of acquisition of King-Coal and at the
2006 year end. At the date of acquisition these assets were included within tangible assets however, at the year end
these assets were included within intangible assets. Management determined these assets were tangible in nature
and as such have amended the classification at 30 June 2006.
(h) Correction of foreign exchange translation differences on foreign currency net investments in subsidiaries
The correction of foreign exchange translation differences on foreign currency net investments in subsidiaries relates
to the foreign currency movement of a US-denominated loan to the group’s wholly-owned subsidiary Atlantic
Development and Capital, based in the USA. The original calculation of the exchange difference did not include an
additional advance provided to the subsidiary during the year under the terms of an existing facility. The inclusion of
this advance, resulted in a foreign currency loss of £1,778,200 which is included in the statement of total recognised
gains and losses as the loan is considered to be a net investment in a foreign operation. In addition, the opening
foreign currency translation reserve gain of £1,037,000 was reclassified from retained earnings to foreign currency
translation reserve. 35
1. Prior year adjustment continued
Cash flow statement
As a result of the restatements to the profit and loss account and balance sheet, a number of adjustments were made to
the presentation of the cash flow statement. The adjustments reflect the cash effect of the underlying transactions which
occurred during the year. As shown in the cash flow statement reconciliation above the cash flow statement as
presented showed a decrease in cash during the year of £16,791,000 whereas the restated cash flow statement shows a
decrease in cash of £16,167,000, despite there being no restatement of the net cash balances. This is the result of the
original cash flow including an increase in external debt of £624,863. The restated cash flow statement which excludes
this item shows the movement in cash as follows:
£’000
Net Cash at 1 July 2005 16,164
Decrease in cash during the year (16,167)
Net Cash at 1 July 2006 (3)
Cash at 30 June 2006 250
Bank overdraft at 30 June 2006 (253)
Net Cash at 1 July 2006 (3)
Tax effect of prior year adjustments
Management considered the tax effect of all prior year adjustments and concluded there were none.
Company profit and loss account
Year ended
30 June 2006
£’000
Loss before tax as stated (2,779)
Intercompany insurance recharge adjustment (39)
Share-based payments (c) (1,412)
(1,451)
Loss before tax as restated (4,230)
Company balance sheet
30 June 2006
£’000
Net assets as stated 55,878
Adjustments to acquisition accounting:
Investment in subsidiary – Energybuild Group Plc (a) (848)
Intercompany insurance recharge adjustment (39)
(887)
Net assets as restated 54,991
Total capital employed as stated 55,878
Adjustment to acquisition accounting
Decrease in cost of acquisition (a) (997)
Share-based payments (c) 1,561
Restatement to the profit and loss for the period (1,451)
(887)
Total capital employed as restated 54,991 36 Coal International Plc  Annual Report & Financial Statements 2007
Notes to the Financial Statements
for the year ended 30 June 2007 continued
2. Turnover and segmental analysis
Turnover represents the amounts derived from the provision of goods which fall within the Group’s ordinary activities, stated
net of value added tax. The Group operates in one principal area of activity, that of coal production and sales. The Group
operates within two geographical markets, North America and Wales. The corporate head office is located in London.
Turnover, group loss on ordinary activities before tax and net assets are analysed as follows:
North North
Corporate America Wales Total Corporate America Wales Total
Restated Restated Restated Restated
2007 2007 2007 2007 2006 2006 2006 2006
£’000 £’000 £’000 £’000 £’000 £’000 £’000 £’000
Turnover – 13,331 4,761 18,092 – 2,607 283 2,890
Segment loss (1,223) (7,330) (262) (8,815) (2,900) (2,768) 95 (5,573)
Group operating loss (8,815) (5,573)
Share of associates’ results (95) 63
Finance charges (net) (1,003) (395)
Provision against fixed 
asset investment (2,511) (2,175)
Loss before taxation (12,424) (8,080)
Segment net assets (8,052) 57,672 8,952 58,572 4,309 50,874 7,682 62,865
Discontinued operations represent the results of Energybuild Group Plc (“Energybuild”) located in Wales, following
Energybuild’s listing on the Alternative Investment Market on 6 August 2007 which resulted in the Group’s ownership
decreasing from 50 per cent. to 23.08 per cent.
3. Cost of sales and other operating expenses 
Year ended Year ended
30 June 2007 Restated 30 June 2006
Continuing Discontinued Continuing Discontinued
Operations Operations Total Operations Operations Total
£’000 £’000 £’000 £’000 £’000 £’000
Cost of sales before impairment (19,041) (4,603) (23,644) (5,083) (156) (5,239)
Impairment on mining properties
and mineral rights (a) (1,011) – (1,011) (534) – (534)
Cost of sales (20,052) (4,603) (24,655) (5,617) (156) (5,773)
Gross (loss)/profit (6,721) 158 (6,563) (3,010) 127 (2,883)
Other operating expenses (1,833) (419) (2,252) (2,658) (32) (2,690)
Exceptional items reported after 
operating loss
Provision against fixed asset 
investment (b) (2,511) – (2,511) (2,175) – (2,175)
Exceptional items
(a) The impairment of mining properties and mineral rights arose in relation to the Pageton property held by Atlantic
Development & Capital LLC. This property was put under care and maintenance in November 2006 and is currently
being held with a view to sell. Refer to note 1(e) for additional information. 
(b) The provision against fixed asset investment at 30 June 2006 arose as the directors believed there was a permanent
reduction in the value of NEMI Northern Energy & Mining Inc (NEMI) due to the fact that in October 2006 NEMI
announced that it had voluntarily sought and obtained protection under the Companies Creditors Arrangement Act
(CCAA) pursuant to an order of the Supreme Court of British Columbia Canada.
During the year ended 30 June 2007, NEMI concluded an agreement with Hillsborough Resources Limited and
Anglo Coal Canada Limited whereby the metallurgical coal assets of the three entities were consolidated into a new
entity, Peace River Coal Limited Partnership. Following completion of the asset combination transaction NEMI filed a  37
3. Cost of sales and administration expenses continued
closing certificate with the Supreme Court of British Columbia which resulted in NEMI’s full emergence from CCAA
protection. However, given a further decline in market value of NEMI shares, the directors have determined that there
is a further permanent reduction in the value of the investment. The remaining investment value is considered
supportable based on the expected cash flows from the Peace River Coal Limited Partnership.
4. Group operating loss
Restated
Year ended Year ended
30 June 2007 30 June 2006
£’000 £’000
Group operating loss is stated after charging/(crediting):
Depreciation 2,121 469
Amortisation of mining properties and mineral rights 699 98
Operating lease charges
– Royalty expense 664 139
– Rental expense 488 23
Directors emoluments 211 228
Amortisation of government grants (13) –
5. Auditors’ remuneration 
Restated
Year ended Year ended
30 June 2007 30 June 2006
£’000 £’000
The analysis of auditors’ remuneration is as follows:
Fees payable to the Group’s auditor for the audit of the Group’s annual accounts 168 –
Fees payable to the Group’s auditor for the audit of statutory accounts 57 –
Fees payable to the Group’s auditor and its associates for audit services 225 –
Fees payable to auditor of subsidiary in North America for the audit of the annual accounts 36 29
Fees payable to the Group’s previous auditor for the audit of the Group’s annual accounts
for the year ended 30 June 2006 – 25
Total audit fees 261 54
Fees payable to the Group’s current auditor and its associates for other services:
– Other services relating to taxation 7 –
– Other assurance and advisory services 42 –
Fees payable to the Group’s previous auditor and its associates for other services:
– Other assurance and advisory services – 47
– Other assurance services relating to interim reviews 6 –
Total non-audit fees 55 47
Total auditors remuneration 316 101 38 Coal International Plc  Annual Report & Financial Statements 2007
Notes to the Financial Statements
for the year ended 30 June 2007 continued
6. Share of associates operating results
Restated
30 June 2007 30 June 2006
£’000 £’000
Existing operations – 63
Acquisitions (95) –
Continuing operations (95) 63
(95) 63
During the year the company acquired an additional interest in NEMI. Following the appointment to NEMI’s Board of Coal
International Directors W Durand Eppler and J Byrne on 20 March 2007, NEMI was accounted for as an associate
reflecting the Groups ability to exert significant influence. Refer to note 16 for further information.
The 2006 share of associates’ results relates to the Group’s interest in King-Coal Corporation prior to King-Coal
Corporation becoming a 100 per cent. owned subsidiary.
7. Finance Charges
Restated
30 June 2007 30 June 2006
£’000 £’000
Interest payable and similar charges
Bank Loans and overdrafts 44 72
Loan from Cambrian Mining Plc 946 5
Unwinding of discount on provisions 207 541
Other short term loans repayable (see notes 20 and 34) 156 –
Capitalisation of finance charges to fixed assets (256) –
1,097 618
Investment income
Interest receivable and similar income (94) (223)
(94) (223)
Net finance charges 1,003 395
8. Staff Costs
The average number of employees (including Executive Directors) was:
Restated
30 June 2007 30 June 2006
Group Number Number
Coal Production and Sales 159 23
Administration 15 3
174 26
Restated
2007 2006
£’000 £’000
Their aggregate remuneration comprised:
Wages and salaries 5,199 588
Social security costs 1,885 193
7,084 781 39
8. Staff Costs continued 
Company
The Company has a service agreement with Cambrian Mining Plc to provide administration services and consequently
has no employees.
In addition to wages and salaries as shown above is a total expense for share-based payments of £45,120 (2006:
restated £1,411,800) which arises from transactions accounted for as equity-settled share-based payments. 
9. Directors’ emoluments
Restated
30 June 2007 30 June 2006
£’000 £’000
Director:
John J Byrne 12 12
John J Conlon 12 12
William D Eppler 187 204
Total 211 228
No pension benefits are provided for any director. William D Eppler is remunerated in US dollars and as such the Sterling
equivalent varies on an annual basis.
10. Taxation
(a) Analysis of credit in the year
Restated
30 June 2007 30 June 2006
£’000 £’000
Current Tax
UK corporation tax credit on loss for the year – –
Overprovision in prior year (12) (20)
Total Current Tax (12) (20)
Share of associates tax – –
Total tax credit on loss on ordinary activities (12) (20)
Deferred tax
No deferred tax asset has been recognised because there is insufficient evidence of the timing of suitable future
profits against which the losses can be recovered. Capital Allowances in excess of depreciation have not been
included in the above reconciliation, as a result of not recognising a deferred tax asset.  40 Coal International Plc  Annual Report & Financial Statements 2007
Notes to the Financial Statements
for the year ended 30 June 2007 continued
10. Taxation continued
(b) Factors affecting tax credit for the year
The differences between the total current tax shown above and the amount calculated by applying the standard rate
of UK corporation tax to the loss before tax is as follows:
Restated
30 June 2007 30 June 2006
£’000 £’000
Loss on ordinary activities before taxation (12,424) (8,080)
Less: share of associates results 95 (63)
Group loss on ordinary activities before taxation (12,329) (8,143)
Loss on ordinary activities before tax multiplied by standard rate of corporation 
tax in the UK of 30% to give expected credit (3,699) (2,443)
Factors affecting the tax credit for the year:
Expenses not deductible for tax purposes 1,597 10
Tax losses not utilised 2,102 2,433
Adjustment in respect of previous year (12) (20)
Group current tax credit for year (12) (20)
11. Loss attributable to parent undertaking 
The loss for the year attributable to the parent undertaking amounted to £4,598,260 (2006 restated: £4,229,996).
As permitted by Section 230 of the Companies Act 1985, no separate profit and loss account is presented in respect of
the parent Company. Following a review of the 2006 financial statements, certain balances for the year ending 30 June
2006 have been restated. A description of the restatement is provided in note 1.
12. Dividends
No dividends were paid or proposed by the Directors. (2006: £nil)
13. Loss per share
Restated
30 June 2007 30 June 2006
The basic (loss)/earnings per share is derived by dividing the loss for the year 
attributable to ordinary shareholders by the weighted average number of 
shares in issue.
Loss for the year (£’000) (12,183) (8,066)
Weighted average number of Ordinary shares of 10p (2006: 50p) in issue 69.8 million 48.5 million
Loss per share – basic and diluted – continuing (17.42p) (16.72p)
(Loss)/earnings per share – basic and diluted – discontinued (0.03p) 0.09p
Loss per share – basic and diluted – total (17.45p) (16.63p)
There is no difference between basic and diluted loss per share as there are no dilutive potential ordinary shares
outstanding. Deferred shares have not been included in the above, as there is no attaching dividend right to these
shares. 41
14. Intangible Fixed Assets – Group 
Mining Properties 
and Mineral Rights
£’000
Cost
At 1 July 2006 – Restated 41,031
Additions –
Exchange adjustment (677)
At 30 June 2007 40,354
Amortisation
At 1 July 2006 – Restated (98)
Charge for the year (699)
Exchange adjustment 11
At 30 June 2007 (786)
Provision for Impairment
At 1 July 2006 – Restated (534)
Impairment in the year (1,011)
Exchange adjustment 78
At 30 June 2007 (1,467)
Net book value
At 30 June 2007 38,101
At 30 June 2006 – Restated 40,399
The impairment of mining properties and mineral rights in both 2007 and 2006 arose in relation to the Pageton property
held by Atlantic Development & Capital LLC. This property was put under care and maintenance in November 2006 and
is currently being held with a view to sell. 
The Directors undertook an impairment review of mining properties and mineral rights assigned to other properties in the
Group as a result of which no additional provisions were required.
15. Tangible Fixed Assets – Group
Plant and Freehold Mines and Rehabilitation
Machinery Land Surface Work Assets Total
£’000 £’000 £’000 £’000 £’000
Cost
At 1 July 2006 – Restated 3,138 167 16,189 8,906 28,400
Additions 7,021 5 9,721 370 17,117
Exchange adjustment (569) – (1,073) (257) (1,899)
At 30 June 2007 9,590 172 24,837 9,019 43,618
Depreciation
At 1 July 2006 – Restated (351) – (10) (108) (469)
Charge for year (1,378) – (431) (312) (2,121)
Exchange adjustment 180 – 14 12 206
At 30 June 2007 (1,549) – (427) (408) (2,384)
Net book value
At 30 June 2007 8,041 172 24,410 8,611 41,234
At 30 June 2006 – Restated 2,787 167 16,179 8,798 27,931
Cumulative finance costs capitalised include in the cost of tangible fixed assets amount to £256,000 (£2006: nil).
As at 30 June 2007 the Directors undertook an impairment review of the Tangible Fixed Assets, as a result of which no
provisions were required. 42 Coal International Plc  Annual Report & Financial Statements 2007
Notes to the Financial Statements
for the year ended 30 June 2007 continued
16. Investments
Group Company
Restated Restated
30 June 2007 30 June 2006 30 June 2007 30 June 2006
£’000 £’000 £’000 £’000
Subsidiary undertakings – – 41,829 41,304
Associate 3,141 – – –
Fixed asset investments 2,928 9,076 3,236 5,572
6,069 9,076 45,065 46,876
Subsidiary undertakings
Cost
Opening balance – – 41,304 12,323
Additions(i) – – 525 28,981
Closing balance – – 41,829 41,304
(i) During 2007 the Company increased it’s investment in subsidiary Energybuild Group Plc, including £25,000 of costs.
During 2006, the Company acquired Energybuild Group Plc and increased it’s investment in King-Coal Corporation Ltd.
As at 30 June 2007, the parent Company of the Group had an interest classified as a subsidiary or associate in the
following companies:
Country of Proportion held
Name of Company registration by group Nature of business
Direct
Maple Coal Co Limited England 100% Holding Company
King-Coal Corporation Limited England 100% Holding Company
Energybuild Group Plc (a) Wales 50% Holding Company
NEMI Northern Energy & Mining Inc (b) Canada 20% Coal Mining
Indirect
Via Maple Coal Co Limited
Atlantic Development and Capital LLC USA 19.93% Holding Company
Via King-Coal Corporation Limited
Atlantic Development and Capital LLC USA 80.07% Holding Company
Via Atlantic Development and Capital LLC
Atlantic Lease co LLC USA 100% Coal Mining
Maple Coal Co Limited USA 100% Coal Mining
Deep Green West Virginia USA 100% Coal Mining
Via Energybuild Group Plc
Energybuild Holdings Ltd Wales 50% Holding Company
Energybuild Limited Wales 50% Coal Mining
Energybuild Mining Limited Wales 50% Dormant
Energybuild Opencast Limited Wales 50% Dormant
Mineral Extraction & Handling Ltd Wales 50% Dormant
(a) Energybuild Group Plc was acquired during 2006. Refer to note 17 for further information.
(b) The investment in NEMI Northern Energy & Mining Inc was transferred from an investment to associate during the year. 43
16. Investments continued
Associates
Group
Restated
30 June 2007 30 June 2006
£’000 £’000
Share of net assets
Opening balance – 5,365
Transfer from investment to associate (i) 3,236 –
Additions – –
Share of associates results (95) 63
Transfer from associate to subsidiary (ii) – (5,428)
Closing balance 3,141 –
The following information is given in respect of the group’s share of its associates.
30 June 2007
£’000
Turnover –
Loss before tax (95)
Taxation –
Loss after tax (95)
Fixed assets 3,404
Current assets 963
Liabilities due within one year 33
Liabilities due after one year –
The share of associates result in 2006 (as restated) relates to the Company’s interest in King-Coal Corporation Limited,
which was transferred to a subsidiary interest in the year ended 30 June 2006.
(i) At 1 July 2006, the Group held an 18.4 per cent. interest in NEMI. On 27 November 2006 the Group acquired a further
1.69 per cent. interest in NEMI, which was subsequently classified as an associate from the date of obtaining
significant influence on 20 March 2007. The net book value of the investment (after provision for impairment) of
£3,236,000 was considered by directors to be fair value and transferred to investment in associate.
(ii) The Group held a 36 per cent. interest in King-Coal Corporation at 1 July 2005. On 12 December 2005, the group
purchased the remaining interest in King Coal Corporation, which became a subsidiary from this point.
Fixed asset investments
Group Company
Restated Restated
30 June 2007 30 June 2006 30 June 2007 30 June 2006
£’000 £’000 £’000 £’000
Cost
Opening balance 11,251 1,781 7,747 7,097
Additions 175 10,758 175 5,966
Transfer from investment to subsidiary (a) – – – (5,316)
Transfer from investment to associate (b) (7,922) – – –
Liquidation of investment (c) (576) (1,288) – –
Closing balance 2,928 11,251 7,922 7,747
Provision for impairment
Opening balance (2,175) – (2,175) –
Impairment in the year (d) (2,511) (2,175) (2,511) (2,175)
Transfer from investment to associate (b) 4,686 – – –
Closing balance – (2,175) (4,686) (2,175)
Net Book Value – closing 2,928 9,076 3,236 5,572
Net Book Value – opening balance 9,076 1,781 5,572 7,097 44 Coal International Plc  Annual Report & Financial Statements 2007
Notes to the Financial Statements
for the year ended 30 June 2007 continued
16. Investments continued
Group
Restated
30 June 2007 30 June 2006
£’000 £’000
Listed investments included above 3,141 5,572
Aggregate market value 2,751 6,523
Listed investments include investment in NEMI (refer to (b) below). Also included in fixed asset investments is Reclamation
Bonds, held by the Company’s subsidiary Atlantic Development & Capital LLC, representing restricted equity and debt
securities which are held in investment accounts by third party bonding companies that provide reclamation bonds to the
State of West Virginia.
(a) Refer to note 16 (ii) for a description of transfer.
(b) Refer to note 16 (i) for a description of transfer.
(c) During the year proceeds were received for the partial release of reclamation bonds.
(d) Investments are carried at cost less provision for any permanent diminution in value. The provisions for impairment
relate to the investment in NEMI. 
The provision against fixed asset investment at 30 June 2006 arose as the directors believed there was a permanent
reduction in the value of NEMI due to the fact that in October 2006 NEMI announced that it had voluntarily sought
and obtained protection under the Companies Creditors Arrangement Act (CCAA) pursuant to an order of the
Supreme Court of British Columbia Canada.
During the year ended 30 June 2007, NEMI concluded an agreement with Hillsborough Resources Limited and
Anglo Coal Canada Limited whereby the metallurgical coal assets of the three entities were consolidated into a new
entity, Peace River Coal Limited Partnership. Following completion of the asset combination transaction NEMI filed a
closing certificate with the Supreme Court of British Columbia which resulted in NEMI’s full emergence from CCAA
protection. However, given a further decline in market value of NEMI shares, the directors determined that there is a
further permanent reduction in the value of the investment. The remaining investment value is considered
supportable based on the expected cash flows from the Peace River Coal Limited Partnership.
17. Acquisition of subsidiary undertakings 
Acquisition of Energybuild Group Plc
At 30 June 2006, the company had a 55.6 per cent. interest in Energybuild Holdings Ltd. On 14 July 2006 the company
sold their direct interest in Energybuild Holdings Ltd via a share-for-share exchange with Energybuild Group Plc whereby
Energybuild Group Plc issued 44,499,000 shares of 10p each in consideration for 100 per cent. interest in Energybuild
Holdings Ltd. In accordance with Financial Reporting Standard 6 (FRS) “Acquisitions and Mergers” the Group has applied
merger accounting to present consolidated information for the Group as if the new legal structure had always existed.
The Company has taken advantage of section 131 of the Companies Act 1985 and the investment has been recorded at
the nominal value of the shares issued.
On 20 July 2006 the Company took part in a private placing of Energybuild Group Plc acquiring 2,500,000 ordinary
shares of 10p each for 20p a share in consideration for waiving outstanding debt of £500,000. Following participation in
the placing the Company’s interest in Energybuild Group Plc was reduced to 50 per cent. 
On 6 August 2007, Energybuild Group Plc listed on AIM. Following the placing and admission of Energybuild Group Plc to
trading on AIM, the Group’s holding in the Energybuild Group Plc was 23.08 per cent. of the issued share capital and
total voting rights.
Prior year acquisitions
The acquisition of King-Coal Corporation Limited and Energybuild Holdings Limited occurred during the year ended 30
June 2006. As certain amounts related to these acquisitions have been restated, the acquisition note disclosures have
been re-presented. 45
17. Acquisition of subsidiary undertakings continued
Acquisition of King-Coal Corporation Limited
The Company held a 36 per cent. interest in King-Coal Corporation at 30 June 2005. On 12 December 2005, the
Company purchased the remaining 64 per cent. interest in King-Coal Corporation satisfied by the issue of 25,241,038
shares of 50p nominal value at £1 each, being the share price on 12 December 2005. Transaction and other related
costs associated with the acquisitions totalled £591,938. The investment in King-Coal Corporation has been included in
the Company’s balance sheet at cost at the date of acquisition. 
Net assets at date control was obtained:
Fair value
Book value adjustments Fair value
£’000 £’000 £’000
Assets
Tangible fixed assets 16,167 – 16,167
Intangible Mineral rights 12,469 20,942 33,411
Investments 4,791 – 4,791
Cash 121 – 121
Stock 157 – 157
Debtors 12 – 12
Prepayments 175 – 175
Liabilities
Long term debt (8,108) – (8,108)
Creditors and accruals (954) – (954)
Provisions (5,408) – (5,408)
Net assets 19,422 20,942 40,364
The Group performed a review of the accounting policies of King-Coal Corporation and did not identify any material
accounting policy differences.
The fair value adjustment represents an uplift to intangible mineral rights to the value the Directors consider is
appropriate based on the underlying cash flows of the mining properties acquired.
£’000
Acquisition of 36 per cent. interest in June 2005:
Fair value of shares issued 5,316
Less fair value of the 36 per cent. share of the attributable net assets acquired (5,316)
Goodwill –
Acquisition of 64 per cent. interest in December 2005:
Acquisition costs 592
Fair value of shares issued 25,241
Less fair value of the 64 per cent. share of the attributable net assets acquired (25,833)
Goodwill – 46 Coal International Plc  Annual Report & Financial Statements 2007
Notes to the Financial Statements
for the year ended 30 June 2007 continued
17. Acquisition of subsidiary undertakings continued
King Coal Corporation incurred a loss after taxation and minority interests of £2,630,392 for the year ended 30 June
2006 (2005: profit of £132,000) of which a profit of £175,000 arose in the period from 1 July 2005 to 12 December 2005.
The summarised profit and loss account and statement of total recognised gains and losses for the period from 1 July
2005 to 12 December 2005 shown on the basis of the accounting policies of King-Coal Corporation prior to the
acquisition are as follows:
Profit and Loss Account
£’000
Turnover 417
Operating profit 40
Net interest income 135
Profit before tax 175
Taxation –
Profit for the period 175
Statement of total recognised gains and losses
Profit for the financial period 175
Acquisition of Energybuild Holdings Limited
On 7 October 2005 the Company purchased a 20 per cent. interest in Energybuild Holdings for cash of £625,000. On 14
June 2006, the Company purchased a further 35.6 per cent. of Energybuild Holdings satisfied by the issue of 3,200,000
shares of 50p at nominal value at 73.5p each, being the share price at 14 June 2006. Transaction and other related costs
associated with the acquisitions totalled £169,976. 
The investment in Energybuild Holdings has been included in the Company’s balance sheet at its cost at the date of
acquisition. 
Net assets at date control obtained:
Fair value
Book value adjustments Fair value
£’000 £’000 £’000
Assets
Tangible fixed assets 8,005 – 8,005
Mineral properties and Mineral Rights 1,083 3,992 5,075
Stock 404 – 404
Debtors 666 – 666
Liabilities
Accounts Payable (2,565) – (2,565)
Bank overdraft (236) – (236)
Short term loan (500) – (500)
Long term loan (451) – (451)
Other loans (1,571) – (1,571)
Provisions (1,743) – (1,743)
Deferred grants received (1,475) 1,475 –
Net assets 1,617 5,467 7,084
The Group performed a review of the accounting policies of Energybuild Holdings and did not identify any material
accounting policy differences.
The fair value adjustment represents an uplift to intangible mineral rights to the value the Directors consider is
appropriate based on the underlying cash flows of the mining properties acquired. The fair value adjustment to deferred
grants received arose as it was concluded that there was a nil value attributable to grants previously received by
Energybuild under the Coal Investment Aid Scheme. The original amount included as a liability at book value within
Energybuild, was in accordance with SSAP 4 and reflected the amount of deferred income remaining to be recognised
over the term of the grant. However as the fixed assets of the Group are acquired at fair value, there is no similar liability
to the Group on acquisition. 47
17. Acquisition of subsidiary undertakings continued
Acquisition of 20 per cent. interest in October 2005:
Cash paid 625
Less fair value of the 20 per cent. share of the attributable net assets acquired (625)
Goodwill –
Acquisition of 35.6 per cent. interest in June 2006:
Acquisition costs 170
Fair value of shares issued 2,352
Less fair value of the 35.6 per cent. share of the attributable net assets acquired (2,522)
Goodwill –
Energybuild Holdings incurred a loss after taxation and minority interests of £622,789 for the year to 30 June 2006 (2005:
profit of £323,000), and a loss of £719,705 arose in the period from 1 July 2005 to 14 June 2006. The summarised profit
and loss account and statement of total recognised gains and losses for the period from 1 July 2005 to 14 June 2006
shown on the basis of accounting policies of Energybuild Holdings prior to the acquisition are as follows:
Profit and loss account
£’000
Turnover 3,409
Operating loss (823)
Net interest expense (75)
Loss before tax (898)
Taxation 178
Loss for the period (720)
Statement of total recognised gains and losses
Loss for the financial period (720)
18. Stocks
Restated
30 June 2007 30 June 2006
Group Group
£’000 £’000
Finished goods and goods held for resale 492 717
Raw unwashed coal 259 36
Materials – 27
751 780
There is no material difference between the balance sheet value of stocks and the replacement cost. 48 Coal International Plc  Annual Report & Financial Statements 2007
19. Debtors
Restated
30 June 2007 30 June 2006
Group Company Group Company
£’000 £’000 £’000 £’000
Amounts falling due within one year:
Trade Debtors 1,577 – 1,229 –
Other Debtors 465 36 116 117
VAT 59 28 196 196
Prepayments 1,107 23 535 251
3,208 87 2,076 564
Restated
30 June 2007 30 June 2006
Group Company Group Company
£’000 £’000 £’000 £’000
Amounts falling due after more one year:
Amounts owed by group undertakings – 25,011 – 9,855
– 25,011 – 9,855
The Company has various loan facilities in place with its subsidiaries with interest rates ranging from interest free to
7.75 per cent.
20. Creditors – Amounts falling due within one year
Restated
30 June 2007 30 June 2006
Group Company Group Company
£’000 £’000 £’000 £’000
Bank overdraft –– 253 –
Trade creditors 3,915 – 3,972 –
Accruals 2,167 280 355 322
Short term loans owing to Cambrian Mining Plc 2,010 – 450 –
Other short term loans repayable 1,678 – 1,571 –
Current maturities of long-term debt to banks 750 – 190 –
UK Corporation Tax –– 12 12
Other short term liabilities 114 10 272 –
Total 10,634 290 7,075 334
Short term loans owing to Cambrian Mining Plc consist of principal and interest of £2,010,000 (2006: nil) owing to
Cambrian Mining Plc. £2,000,218 of this balance is owed by Energybuild Group Plc under a £1,900,000 facility. The loan
incurred interest of LIBOR plus a variable margin and was repaid in August 2007. In 2006, the loan balance of £450,000
was owed by Energybuild Group Plc under separate loan agreements. £350,000 was repayable on demand and bears
interest at 10 per cent., and the remaining £100,000 was repayable on the earlier of 4 weeks from the date of the loan
agreement or the receipt of additional funding by Energybuild Group Plc, bearing interest of 2.5 per cent. of the total loan
amount.
Other short term loans repayable relates to an Energybuild Group Plc outstanding loan of £1,677,880 (2006: £1,571,204)
from Mr R L Morgan, a director of Energybuild Group Plc. Of the capital sum outstanding on the loan, £1,280,020 (2006:
£1,330,020) is repayable on demand and bears interest at 2 per cent. above HSBC Plc base rate. The remaining capital
balance of £50,000 (2006: £50,000) is unsecured, has no fixed terms of repayment and no entitlement to interest. The
balance at 30 June 2007 included £347,860 (2006: £191,384) of compound interest accrued. Refer to note 34 for
additional information relating to both loans. 
Current maturities of long-term debt to bank includes bank and lender financing of equipment purchases secured by the
related mine machinery and equipment. Interest on these loans principally ranges from 6.75 per cent. to 9.57 per cent. at
30 June 2007.
Notes to the Financial Statements
for the year ended 30 June 2007 continued 49
21. Creditors – Amounts falling due after one year
Restated
30 June 2007 30 June 2006
Group Company Group Company
£’000 £’000 £’000 £’000
Accruals 543 – 456 –
Deferred Income 705 – ––
Long-term debt to banks 1,511 – 435 –
Amount owing to Cambrian Mining Plc 13,932 13,932 1,989 1,989
Total 16,691 13,932 2,880 1,989
Deferred Income relates to grants received under the Coal Investment Aid Scheme. The grants were used to acquire fixed
assets. During the year, £12,624 was released to the profit and loss account to match the depreciation on related assets.
Long-term debt to banks includes bank and lender financing of equipment purchases secured on the related mine
machinery and equipment. Interest on these loans principally ranges from 6.75 per cent. to 9.57 per cent. at 30 June
2007. The loans are re-payable in monthly payments through to 2011.
The amount owing to Cambrian Mining Plc reflects the principal and interest outstanding on a £13,500,000 convertible
loan facility. The loan is convertible at the discretion of the lender into ordinary shares in Coal International Plc at 60p per
share and is due for repayment on 13 November 2008, with an option by the Company to extend this to 7 January 2009.
The equity component of the loan, being the holders right to convert has been valued at £379,430 based on an effective
interest rate for the liability component of 8.5 per cent. The loan bears interest at LIBOR plus 2.5 per cent. Refer to note 34
for further information.
The 2006 loan for £1,989,000 is a US dollar loan with Cambrian Mining Plc, which incurred interest at the greater of 7.5%
or LIBOR plus 2.5%.
22. Provisions for Liabilities
Provision for Provision for
restoration US restoration UK Total
£’000 £’000 £’000
Group
At 1 July 2006 – restated 5,949 1,743 7,692
Created in the year 370 – 370
Utilisation of provision – (539) (539)
Unwinding of discount 207 – 207
Exchange adjustment (414) – (414)
At 30 June 2007 6,112 1,204 7,316
Provision for restoration – US
The provision for restoration in the US primarily consists of estimated spending related to reclaiming surface land and
support facilities at both surface and underground mines in accordance with federal and state reclamation laws as
defined by each mining permit. Obligations are incurred at the time development of a mine commences for
underground mines and surface facilities or for support facilities, refuse areas and slurry ponds when construction
begins. Current estimates are based on a third party review by Marshall Miller and Associates Inc which was completed
in May 2007. Marshall Miller and Associates Inc are Civil, Environmental, and Mining Engineering – Geology, Oil and Gas
Experts. Restoration costs are expected to be incurred between 2008 and 2033.
Provision for restoration – UK
The provision for restoration in the UK consists of the following:
Restoration and closure costs – Drift mines
Shaft treatment and pit top provisions are made to meet the liability to fill and cap all mine shafts and return pit top areas
to a condition consistent with the required planning permission. No transfer of economic benefits will arise until
decommissioning of each individual colliery. The current pit top provision reflects existing planning permissions that
require pit top areas to be restored to former use, usually agriculture. The provision level has been reassessed and the
current value represents the cost of the restoration obligations discounted to present day value.  50 Coal International Plc  Annual Report & Financial Statements 2007
Notes to the Financial Statements
for the year ended 30 June 2007 continued
22. Provisions for Liabilities continued
Restoration and closure costs – Surface mines
This provision relates to the total estimated costs of reinstatement of soil excavation and of surface restoration such as
topsoil replacement and landscaping. Restoration costs will be payable when individual sites are completed and
payments against aftercare liabilities will extend beyond the life of each contract. The costs accrued are expected to be
incurred during the next two years. The restoration liability is expected to be completed in the near term and therefore
discounting the provision is not required. 
23. Share capital
The authorised share capital of the Company and the called up and fully paid amounts at 30 June 2007 were as follows:
30 June 2007 30 June 2006
£’000 £’000
Authorised:
981,002,516 ordinary shares of 10p each
(2006: 250,000,000 ordinary shares of 50p each) 98,100,252 125,000,000
268,997,484 deferred shares of 10p each 26,899,748 –
£’000 £’000
Allotted, called up and fully paid:
97,584,303 ordinary shares of 10p each
(2006: 67,249,371 ordinary shares of 50p each) 9,758,430 33,624,686
268,997,484 deferred shares of 10p each 26,899,748 –
Effective 31 May 2007 each shareholder’s existing shareholding was converted from one existing ordinary share of 50p
each to one ordinary share of 10p each and 4 deferred shares of 10p each in order to increase liquidity in the shares
traded on AIM. The deferred shares are not admitted to trading on the Alternative Investment Market. On 31 May 2007
the authorised share capital of the company was split into 981,002,516 ordinary shares of 10p and 268,997,484 deferred
shares of 10p. 
Effective 31 May 2007 the Company issued 30,334,932 ordinary shares of 10p each at 28p per share. The proceeds
raised from the issue were used principally to repay a working capital facility extended by Cambrian Mining Plc. 
The movement in ordinary and deferred share capital and share premium during this year is as follows:
Ordinary Deferred
share capital share capital Share Premium
£’000 £’000 £’000
Opening balance as at 1 July 2006 as previously reported 33,624,686 – 10,171,737
Prior year adjustment (see note 1) – – (996,823)
Restated opening balances 33,624,686 – 9,174,914
30,334,932 shares issued on 31 May 2007 3,033,493 – 5,460,288
Share issue expense – – (360,986)
Re-organisation of share capital on 31 May 2007 (26,899,749) 26,899,749 –
9,758,430 26,899,749 14,274,216
The Deferred Shares have attached to them the following rights and restrictions:
(i) as regards income: 
the deferred shares do not entitle the holders to receive any dividend or other distribution;
(ii) as regards voting:
the deferred shares do not entitle the holders to receive notice of or to attend or vote at any General Meeting of the
company;
(iii) as regards capital:
on a return of capital on a winding up the holders of the deferred shares shall only be entitled to receive the amount
paid up on such shares after the holders of the Ordinary Shares have received the sum of £1,000,000 for each
Ordinary Share held by them and shall have no other right to participate in the assets of the company. 51
23. Share capital continued
(iv) as regards transfer:
the Company is authorised at any time:
(a) to appoint a person to execute on behalf of the holders of the deferred shares a transfer and/or an agreement
to transfer the same, without making any payment to the holders of deferred shares;
(b) pending any such transfer not to issue certificates for the deferred shares;
(v) as regards variation of rights, neither:
(a) the passing by the company of any resolution for a reduction of capital involving the cancellation of the deferred
shares without any repayment of capital in respect, or a reduction of share premium account, or the obtaining
by the company or the making by the court of an order confirming any such reduction of capital or share
premium account or the making effective of such order; nor
(b) the purchase by the company in accordance with the provisions of the Act of any of its own shares or other
securities or the passing of a resolution to permit any such purchase shall constitute a variation or abrogation of
the rights attaching to the deferred shares, and
(vi) as regards further issues:
the rights conferred by the deferred shares shall not be varied or abrogated by the creation or issue of further
shares ranking pari passu with or in priority to the deferred shares
24. Reserves
The movements on reserves during the year were as follows:
Equity
component
Share Foreign of Profit
Premium Merger Other Currency Revaluation convertible and Loss
Account Reserve Reserve Reserve Reserve loan Account Total
£’000 £’000 £’000 £’000 £’000 £’000 £’000 £’000
Group
Opening Balance as at 
1 July 2006 as 
previously reported 10,172 14,808 – – – – (4,240) 20,740
Prior year adjustment
(note 1) (997) – 1,561 (1,778) 10,258 – (3,726) 5,318
Restated Opening Balance 
as at 1 July 2006 9,175 14,808 1,561 (1,778) 10,258 – (7,966) 26,058
Issue of shares 5,460 – – – – – – 5,460
Share issue expenses (361) ––– ––– (361)
Loss for the year – – – – – – (12,183) (12,183)
Currency translation on 
foreign current net 
investments – – – (1,887) – – – (1,887)
Share based payments – – 45 – – – – 45
Gain on disposal (note 26) – – 54 – – – –54
Recognition of equity 
component of convertible 
loan ––– –– 379– 379
As at 30 June 2007 14,274 14,808 1,660 (3,665) 10,258 379 (20,149) 17,565 52 Coal International Plc  Annual Report & Financial Statements 2007
Notes to the Financial Statements
for the year ended 30 June 2007 continued
24. Reserves continued
Equity
Share component of
Premium Merger Other convertible Profit and
Account Reserve Reserve loan Loss Account Total
£’000 £’000 £’000 £’000 £’000 £’000
Company
Opening Balance as at 1 July 2006 
as previously reported 10,172 14,808 – – (2,727) 22,253
Prior year adjustment (note 1) (997) – 1,561 – (1,451) (887)
Restated Opening Balance as at 
July 2006 9,175 14,808 1,561 – (4,178) 21,366
Issue of shares 5,460 – – – – 5,460
Share issue expenses (361) – – – – (361)
Loss for the year – – – – (4,598) (4,598)
Equity component of convertible loan – – – 379 – 379
As at 30 June 2007 14,274 14,808 1,561 379 (8,776) 22,246
The Other reserve is used to recognise the equity component of share based payments.
25. Reconciliation of movements on shareholders’ funds
Restated
30 June 2007 30 June 2006
Group Group
£’000 £’000
Group
Opening shareholders’ funds – restated (note 1) 59,683 20,928
Loss for the year (12,183) (8,066)
Proceeds of share issues 8,493 36,969
Share issue expenses (361) (40)
Share based payments 45 1,412
Revaluation – 10,258
Foreign exchange translation differences on foreign currency net investment in subsidiaries (1,887) (1,778)
Gain on disposal of investment 54 –
Equity component of convertible loan 379 –
Closing shareholders’ funds 54,223 59,683
Restated
30 June 2007 30 June 2006
Group Group
£’000 £’000
Opening shareholders’ funds – restated (note 1) 54,991 20,880
Loss for the year (4,598) (4,230)
Proceeds of share issues 8,493 36,969
Share issue expenses (361) (40)
Share-based payments – 1,412
Equity component of convertible loan 379 –
Closing shareholders’ funds 58,904 54,991 53
26. Minority Interests
£’000
At 1 July 2005 1,834
Acquisition of minority interest in Maple Coal Corporation Ltd (1,834)
Minority interest arising from acquisition of Energybuild Holdings Ltd 3,182
At 1 July 2006 – Restated 3,182
Loss on ordinary activities after taxation (229)
Acquisition of subsidiary undertaking (i) 1,450
Loss on disposal (i) (54)
At 30 June 2007 4,349
(i) On 20 July 2006, Energybuild Group Plc issued 10,000,000 ordinary shares of 10p each in a private placing for 20p
per share. The Company acquired 2,500,000 shares and the minority interest acquired the remainder, resulting in
dilution in the Groups effective interest from 55.6 per cent. to 50.0 per cent. and a gain on disposal of £54,078, (a loss
for the Minority Interest) which has been taken to reserves.
27. Reconciliation of operating loss to operating cash flow
Restated
30 June 2007 30 June 2006
Group Group
£’000 £’000
Group operating loss (8,815) (5,573)
Adjustments for:
– Depreciation & amortisation 2,820 567
– Impairment of mining properties and mineral rights 1,011 534
– Amortisation of grant (13) –
Share based payment expense 45 1,412
Increase in debtors (1,132) (554)
Decrease/ (increase) in stocks 29 (219)
Increase in creditors 1,683 472
Increase in provisions 370 24
Exchange differences (210) (364)
Net cash outflow from operating activities (4,212) (3,701)
Net cash (outflow)/Inflow from operating activities comprises:
Continuing operations (4,317) (3,741)
Discontinued operations 105 40
(4,212) (3,701)
28. Analysis of cash flows
Restated
30 June 2007 30 June 2006
Group Group
£’000 £’000
Financing
Issue of ordinary share capital 8,493 5,000
Issue of share capital by subsidiary – proceeds from minority interest 1,450 –
Share issue expenses (361) (40)
Proceeds from long term loans 14,672 2,564
Repayment of loans (50) –
Proceeds from equity component of convertible loan 379 –
Net cash inflow from financing activities 24,583 7,524
Investing
During the year ended 30 June 2006 the Company lent £8,108,000 to Atlantic Development & Capital LLC and £500,000
to Energybuild Group Plc as part of investment activities. These amounts were lent prior to recipients becoming
subsidiaries of the Group and were repaid subsequent to acquisition. 54 Coal International Plc  Annual Report & Financial Statements 2007
Notes to the Financial Statements
for the year ended 30 June 2007 continued
29. Net debt
(a) Analysis of net debt
Restated Other
Group Group Exchange non-cash Group
30 June 2006 Cash Flow movement changes 30 June 2007
£’000 £’000 £’000 £’000 £’000
Cash in hand and at bank 250 3,600 – – 3,850
Bank overdraft (253) 253 – – –
(3) 3,853 – – 3,850
Short term loans (2,021) (1,411) – (256) (3,688)
Long-term debt to bank (625) (2,054) 451 (33) (2,261)
Long term loan (1,989) (11,157) – (786) (13,932)
Net Debt (4,638) (10,769) 451 (1,075) (16,031)
(b) Reconciliation of net cash flow to movement in net debt
Restated
30 June 2007 30 June 2006
£’000 £’000
Increase/(decrease) in cash 3,853 (16,167)
Cash (inflow)/outflow from (increase)/decrease in debt (14,622) (2,564)
Change in net debt resulting from cash flows (10,769) (18,731)
Cash acquired with subsidiary – 121
Bank overdraft acquired with subsidiary – (236)
Loans acquired with subsidiary – (2,022)
Translation difference 451 69
Other non-cash changes (1,075) (3)
Movement in net debt during the year (11,393) (20,802)
Net debt as at 1 July 2006 – Restated (4,638) 16,164
Net debt (16,031) (4,638)
30. Material Non-Cash Transactions
During 2006 the company acquired Energybuild Group Plc via a share for share exchange as detailed in note 17.
31. Derivatives and other financial instruments
Pages 25 to 27 of the Directors Report provide an explanation of the risks associated with financial instruments.
The numerical disclosures in this note deal with financial assets and financial liabilities as defined in Financial Reporting
Standard 13 Derivatives and other financial instruments: disclosures (FRS 13). Certain financial assets such as investments
in subsidiary and associated companies are excluded from the scope of these disclosures. As permitted by FRS 13, short-
term debtors and creditors have been excluded from the disclosures, other than the currency disclosures. 55
31. Derivatives and other financial instruments continued
Interest rate risk profile of financial liabilities
The interest rate profile of the group’s financial liabilities at 30 June 2007 was as follows:
Interest free Floating rate Fixed rate Total
£’000 £’000 £’000 £’000
Currency
Sterling 50 17,570 – 17,620
US Dollar – 2,261 – 2,261
Total 50 19,831 – 19,881
The interest rate profile of the group’s financial liabilities at 30 June 2006 as restated was as follows:
Interest free Floating rate Fixed rate Total
£’000 £’000 £’000 £’000
Sterling 50 1,774 450 2,274
US Dollar – 2,614 – 2,614
Total 50 4,388 450 4,888
The interest free liabilities have no weighted average period to maturity as there are no fixed terms of repayment.
The floating rate liabilities comprise:
• sterling denominated loans that bear interest rates based on LIBOR plus a variable margin or the bank base rate
plus a variable margin; and
• US dollar denominated bank loans that bear interest at rates between 6.75 per cent. to 9.57 per cent.
The fixed rate liabilities comprise:
• sterling denominated loans repayable on demand bearing an interest rate of 10 per cent.; and
• sterling denominated loans repayable on the earlier of 4 weeks from the date of the loan agreement or the receipt
of additional funding by Energybuild Group Plc, and bearing an interest rate of 2.5 per cent. of the total loan amount.
Further information relating to borrowings is given in notes 20, 21 and 34. 
Interest rate risk profile of financial assets
The interest rate profile of the group’s financial assets at 30 June 2007 was as follows:
Interest free Floating rate Fixed rate Total
£’000 £’000 £’000 £’000
Sterling
– Cash at bank – 3,202 – 3,202
US Dollar
– Investments 2,928 – – 2,928
– Cash – 648 – 648
Total 2,928 3,850 – 6,778
The profile at 30 June 2006 as restated for comparison purposes was as follows.
Interest free Floating rate Fixed rate Total
£’000 £’000 £’000 £’000
Sterling
– Cash at bank – 36 – 36
Canadian Dollar
– Investments 5,572 – – 5,572
US Dollar
– Investments 3,504 – – 3,504
– Cash – 214 – 214
Total 9,076 250 – 9,326 56 Coal International Plc  Annual Report & Financial Statements 2007
31. Derivatives and other financial instruments continued
Floating rate financial assets comprise cash deposits with banks. The financial assets on which no interest is earned are
the Groups other fixed asset investments which have no maturity. 
Currency Exposures
For the year ended 30 June 2007, there are no currency exposures that comprise monetary assets and monetary
liabilities of the Group that are not denominated in the operating (or ‘functional’) currency of the operating unit involved.
For the year ended 30 June 2006, the table below shows the Group’s currency exposures. Such exposures comprise the
monetary assets and monetary liabilities of the Group that are not denominated in the operating or (‘functional’) currency
of the operating unit involved.
At 30 June 2006, these currency exposures as restated are as follows:
Net foreign currency monetary assets/(liabilities)
Sterling US dollar Other Total
£’000 £’000 £’000 £’000
Functional currency of group operations
Sterling – (1,989) 5,572 3,583
US Dollar – – – –
Total – (1,989) 5,572 3,583
The US dollar amount represents the Company’s loan with Cambrian Mining Plc, which incurred interest at the greater of
7.5 per cent. or LIBOR plus 2.5 per cent. The amount shown within Other represents the Company’s investment in NEMI at
30 June 2006. NEMI is listed on the Toronto Stock Exchange and as such is denominated in Canadian dollars.
Maturity of financial liabilities
The maturity profile of the group’s financial liabilities at 30 June was as follows:
Restated
Total Total
2007 2006
£’000 £’000
In one year or less, or on demand 4,438 2,464
In more than one year but not more than two years 14,745 208
In more than two years but not more than five years 698 227
In more than five years – 1,989
19,881 4,888
Borrowing facilities
The Group had undrawn committed borrowing facilities at 30 June 2007, in respect of which all conditions precedent
had been met, as follows:
Restated
Total Total
2007 2006
£’000 £’000
Expiring in one year or less 1,497 –
Expiring in more than one year but not more than two years 6,239 –
In more than two years – –
7,736 –
Notes to the Financial Statements
for the year ended 30 June 2007 continued 57
31. Derivatives and other financial instruments continued
Fair Values
Set out below is a comparison by category of book value and fair value of the Group’s financial assets and liabilities at
30 June 2007.
Restated
2007 2006
Book Value Fair Value Book Value Fair Value
£’000 £’000 £’000 £’000
Primary financial instruments held or issued 
to finance the Group’s operations
Short-term financial assets and liabilities and current 
portion of long-term borrowings 4,438 4,438 2,464 2,467
Long-term borrowings 15,443 15,443 2,424 2,424
Fixed asset investments – – 5,572 6,523
Other investments 2,928 3,318 3,504 3,504
Cash 3,850 3,850 250 250
Market values have been used to determine the fair value of listed fixed asset investments. The fair value of all other
items has been calculated by discounting the expected future cashflows at prevailing market rates. 
32. Share-based payments 
The group recognised total expenses in the profit and loss account of £45,120 and £1,411,800 (as restated) related to
equity-settled share-based payment transactions in the years ended 30 June 2007 and 2006 respectively. In addition,
£148,823 was recognised in share premium in 2006. 
The share-based payment charges recorded in the years ended 30 June 2007 and 30 June 2006 (as restated) are
summarised below:
Profit and Share
loss account premium Total
£££
2007
Equity-settled warrants – Energybuild Group Plc (ii) 45,120 – 45,120
45,120 – 45,120
2006
Equity-settled Directors and Employee Share Options – 
Coal international (i) 1,021,800 – 1,021,800
Equity-settled payments to Brokers – W De Broe (iii) – 148,823 148,823
Equity-settled payments to Brokers – Logical Investments (iv) 390,000 – 390,000
1,411,800 148,823 1,560,623 58 Coal International Plc  Annual Report & Financial Statements 2007
32. Share-based payments continued
Equity-settled Directors and Employee Share Options
(i) Coal International equity-settled share options
The company issued share options to directors and certain employees of the group. Options are exercisable at a
price of 90p for three years and vested immediately upon issue.
Details of the share options outstanding during the year are as follows:
2007 2006
Weighted Weighted
Number of average Number of average
share options exercise price share options exercise price
£ £
Outstanding at beginning of year 2,620,000 0.90 –
Granted during the year – 2,620,000 0.90
Outstanding at the end of the year 2,620,000 0.90 2,620,000
Exercisable at the end of the year 2,620,000 2,620,000
In 2007 no share options were granted. The options outstanding at 30 June 2007 had a weighted average exercise
price of £0.90 and a weighted average remaining contractual life of 1.45 years. In 2006, options were granted on
11 November 2005. The estimated fair values of the options granted on that date was £1,021,800.
Share options granted 11 November 2005
The inputs into the Black-Scholes Model were as follows:
Restated
30 June 2006
Number of options granted 2,620,000
Weighted average share price £1.00
Weighted average exercise price £0.90
Expected volatility 56%
Expected life 3 Years
Risk-free rate 4.22%
Expected dividend yield 0%
The inputs resulted in a option fair value of £0.39 per share.
Expected volatility was determined by calculating the historical volatility of the share price of comparable companies.
The expected life used in the model has been adjusted, based on management’s best estimate, for the effects of
non-transferability, exercise restrictions, and behavioural considerations.
(ii) Energybuild Group Plc equity-settled warrants
Energybuild Group Plc issued warrants to its directors on 15 May 2007. Warrants are exercisable at a price of 10p for
three years from the date of grant and vested immediately upon issue.
Details of the warrants outstanding during the year are as follows:
2007
Weighted average
Number of exercise price 
warrants £
Outstanding at beginning of year –
Granted during the year 4,000,000 0.20
Outstanding at the end of the year 4,000,000
Exercisable at the end of the year 4,000,000
No warrants were exercised during the period. The warrants outstanding at 30 June 2007 had a weighted average
exercise price of £0.20 and a weighted average remaining contractual life of 2.9 years. The estimated fair values of
the warrants granted was £45,120.
Notes to the Financial Statements
for the year ended 30 June 2007 continued 59
32. Share-based payments continued
(ii) Energybuild Group Plc equity-settled warrants continued
Warrants granted 15 May 2007
The inputs into the Black-Scholes Model were as follows:
2007
Weighted average share price 15p
Weighted average exercise price 20p
Expected volatility 16%
Expected life 3 years
Risk free rate 5.5%
Expected dividend yield 0%
The 2007 inputs resulted in a Market Option Value of £0.013 per share.
Expected volatility was determined based on the best estimate of the directors. 
Equity-settled payments to Brokers
(iii) Share options granted 28 April 2005
Coal International Plc granted 535,333 share options to W De Broe on 28 April 2005, which vested immediately
upon issue. The options are exercisable for two years at a exercise price of £0.75.
The inputs into the Black-Scholes Model were as follows:
Restated
30 June 2006
Weighted average share price £0.81
Weighted average exercise price £0.75
Expected volatility 57%
Expected life 2 Years
Risk-free rate 4.5%
Expected dividend yield 0%
The inputs resulted in an option fair value of £0.28 per share. Total fair value of £148,823 was recognised in share
premium. There was no impact on the profit and loss account as the cost of the options has been taken to share
premium account as a cost of share issuance. Though these options were issued in exchange for goods and
services, the fair value of the goods and services has been determined by reference to the fair value of the option as
no fixed value of the services provided was stipulated in negotiating the issue of the options.
(iv) Share options granted 11 November 2005
Coal International Plc granted 1,000,000 share options to Logical Investments on 11 November 2005. The options are
exercisable over three years. 
The inputs into the Black-Scholes Model were as follows:
Restated
30 June 2006
Weighted average share price £1.00
Weighted average exercise price £0.90
Expected volatility 56%
Expected life 3 Years
Risk-free rate 4.22%
Expected dividend yield 0%
The inputs resulted in an option fair value of £0.39 per share. Total fair value of £390,000 was recognised in profit
and loss. The options were issued to Logical Investments in relation to investor services provided. Though these
options were issued in exchange for goods and services, the fair value of the goods and services has been
determined by reference to the fair value of the option as no fixed value of the services provided was stipulated in
negotiating the issue of the options. 60 Coal International Plc  Annual Report & Financial Statements 2007
32. Share-based payments continued
Stock Option Plan
On 30 May 2007, shareholders approved the company’s Stock Option Plan. This plan enables the Company to issue
options over its Ordinary Shares up to an aggregate number of 1.5 million shares to employees of the Atlantic
Development & Capital LLC (“ADC”) subsidiaries, based in the United States. The options granted pursuant to the Stock
Option Plan will have an exercise price being the market value of the Ordinary Shares as at the date of grant. The vesting
period of the options issued to existing employees will reflect the length of service of employees at the date the options
are granted. Future vesting will be conditional upon continued employment. New employees may be granted options
which will vest over a period of years with the first portion of their options expected to vest after at least one year.
The Stock Option Plan will be administered by a compensation committee of the board of the Company which will
include one director of ADC. This committee will have the discretion to set the vesting period for any options granted on
an individual basis taking into account the prevailing circumstances. No options had been issued under this plan as at
30 June 2007.
33. Commitments
Restated
30 June 2007 30 June 2006
Land and Land and
Coal Equipment Building Coal Equipment Building
royalties rentals rentals royalties rentals rentals
£’000 £’000 £’000 £’000 £’000 £’000
Annual commitments within one year 
under non-cancellable operating 
leases expiring:
Within one year ––– –32 –
Within two to five years – 602 23 – 240 –
After five years 653 – 36 289 – –
653 602 59 289 272 –
34. Related party transactions 
The Group had the following material transactions with related parties during the year ended 30 June 2007.
Transactions with directors and director related entities
The Group paid an amount of £80,648 (2006: £90,065) to Sierra Partners (owned by W. Eppler) for professional fees,
travel and other miscellaneous expenses. The outstanding balance owing to Sierra Partners at 30 June 2007 is £9,990
(2006: nil).
The Group incurred costs of £60,000 (2006: £2,500) from Scotia developments Limited for the services of Mr R Nugent, a
director of subsidiary Energybuild Group Plc. There was no outstanding balance owing at 30 June 2007 or 30 June 2006.
During the year, £36,000 (2006: £72,000) was paid to Bowmaker Management Limited in relation to the lease of the
Company’s registered address. Coal International’s Company Secretary Alwyn Davey is a Director of Bowmaker
Management Limited. There was no outstanding balance owing at 30 June 2007 or 30 June 2006
Energybuild Group Plc (“Energybuild”) has an outstanding loan of £1,677,880 at 30 June 2007 (2006: £1,571,404) from
Mr R L Morgan, a director of Energybuild Group Plc. Energybuild incurred interest amounting to £156,476 (2006: £3,000)
on the loan during the year. Of the capital sum outstanding on the loan, £1,280,020 (2006: £1,330,020) is repayable on
demand and bears interest at 2 per cent. above HSBC Plc base rate. The interest was rolled up and added to the
principal on the loan. Interest was charged on the compounded balance. The compounded amount was secured by a
first charge over Energybuild’s assets and can be converted at the option of Mr R L Morgan into ordinary shares in
Energybuild. The remaining capital balance of £50,000 (2006: £50,000) is unsecured, has no fixed terms of repayment
and no entitlement to interest. The balance at 30 June 2007 included £347,860 (2006:£191,384) of compound interest
accrued. The loan is a “compound instrument” in accordance with the definitions within FRS 25: Financial Instruments:
Presentation, however, since the interest rate was considered to be the market rate, the whole amount was recorded as
a liability and the equity component was considered to be immaterial. The loan was assigned to Cambrian Mining Plc on
2 July 2007.
Notes to the Financial Statements
for the year ended 30 June 2007 continued 61
34. Related party transactions continued
Mineral Extraction and Handling Limited (MEHL) has the benefit of an Option Agreement and agreement for lease dated
14 June 2006 between it and Rhidian Davies. By this Option Agreement MEHL granted to Rhidian Davies the right for the
period commencing on and including 14 June 2006 and ending at 5.00pm on 14 June 2008 to purchase six parcels of
freehold land at Crynant in Neath (the Treforgan Land). The Option Agreement requires that immediately following
completion of a transfer of the Treforgan land from MEHL to Rhidian Davies, Rhidian Davies must lease back part of the
Treforgan land to MEHL. Rhidian Davies triggered this option on 20 June 2007. The leaseback is for a term of 51 years
from the date of the lease subject to a certain rent of £12,000 per annum. 
The above agreement also provided that Rhidian Davies is paid a fee of 60p per tonne of clean saleable coal extracted
from the Treforgan Mine. This agreement was terminated on 31 July 2007 and replaced with a new fee arrangement
payable to Rhidian Davies being (1) the sum of £750,000, less any advances paid to Rhidian Davies under the original
fee; and (2) a commission, payable quarterly in arrears for the duration of the term of the lease granted by Rhidian
Davies to MEHL, which is equal to 1.85 per cent. of the net revenue of the group which is attributable to the Treforgan
Mine, after the deduction of operating mine costs. The whole of the agreement was finally completed on the 31 July 2007
and does not apply retrospectively.
Transactions with related undertaking
Transactions with ultimate parent entity Cambrian Mining Plc (“Cambrian”)
The Company has a service agreement with Cambrian Mining Plc to provide administration services and consequently
has no employees. The Group paid an amount of £24,500 (2006: nil) during the year to Cambrian in relation to these
services. The outstanding balance at 30 June 2007 was £9,313 (2006: nil).
On 1 September 2006 the Company entered into a two year, £8,200,000 loan facility with Cambrian under which it can
draw down funds for the purchase of equipment and other project finance requirements. The Facility is secured on Coal
International’s shares in King-Coal Corporation Limited and Maple Coal Co Limited, its 100 per cent. owned subsidiaries. 
On 13 November 2006 the Company entered into an agreement with Cambrian Mining Plc to increase the loan facility
agreement from £8,200,000 to £13,500,000 plus accrued interest, and provide for the conversion of the total balance
outstanding under the facility into equity. The loan is convertible into ordinary shares in Coal International at 60p, which,
at 30 June 2007, assuming principal and interest is converted at the end of term, would increase Cambrian’s
shareholding to 46 per cent. The loan has not yet been converted and bears interest at LIBOR plus 2.5 per cent. At 30
June 2007 the gross amount outstanding was £14,311,178 which has been allocated between an equity and debt
component. Interest of £786,186 was incurred on the loan during the year. Prior to this agreement the company had an
outstanding USD denominated loan with Cambrian as at 30 June 2006 for £1,988,764.
On 13 November 2006 the Company reached an agreement with Cambrian for the provision of a further bridging loan
for equipment finance of up to US$10,000,000 incurring interest at a rate of LIBOR plus 4 per cent. This facility was not
used by the Company during the year to 30 June 2007.
On 13 November 2006 the Company entered into an agreement with Cambrian to provide a working capital facility of up
to US$12,500,000 to be used to fund the Maple metallurgical coal project. The loan was repayable over 24 months and
had an interest rate of LIBOR plus 4 per cent. The facility was repaid during the year including interest of £59,135.
Pursuant to a series of letters dated from 9 March 2006 to 5 July 2006, Cambrian lent an aggregate amount of £700,000
to Coal Internationals subsidiary Energybuild Group Plc on an unsecured and demand basis. On 1 March 2007 a loan
facility agreement was entered into to replace the aforementioned letters and to provide the terms on which the
aforementioned indebtedness would be governed. The facility agreement also provided the company via its immediate
holding company with a further facility of £500,000. Pursuant to the terms of the facility agreement, interest was charged
on the aggregate principal outstanding at the rate of LIBOR plus a variable margin, which is determined by Cambrian’s
banking facility with Investec Bank (UK) Limited. The principal amount of the loan is repayable on demand. Pursuant to a
letter dated 21 April 2007 Cambrian agreed to extend the loan facility provided under the facility agreement to
£1,900,000. Interest of £100,218 has been accrued making the balance at 30 June 2007 £2,000,218. (2006: £450,000).
The loan balance was repaid on 6 August 2007 for a share placing by Energybuild Group Plc. 
Pursuant to a Release and Substitution Agreement, Cambrian agreed to guarantee certain lease obligations of Atlantic
Leaseco LLC, an indirect subsidiary of King Coal, in connection with two lease agreements (the “Tioga Lease” and the
“PBB Lease”) covering the rights transferred by Gauley Eagle. The maximum lease guarantee obligations of Cambrian is
US$1,000,000 per lease, being a total of US$2,000,000. 62 Coal International Plc  Annual Report & Financial Statements 2007
34. Related party transactions continued
Pursuant to a lease with Pardee Minerals LLC dated 10 November 2005, Cambrian has agreed to guarantee the
obligations of Maple Coal Co. as lessee in relation to a lease over coal property in Kanawha and Fayette Counties, West
Virginia up to a maximum amount of USD$2,000,000, for the duration of the lease. No fees were charged to provide
guarantees.
35. Post balance sheet events
On 6 August 2007, Coal International’s 50 per cent. owned subsidiary Energybuild Group Plc listed on AIM having placed
75 million shares at 20p per share. Following the placing and admission of Energybuild Group Plc to trading on AIM, the
Group’s holding in Energybuild Group Plc was 30,000,000 ordinary shares, representing 23.08 per cent. of the issued
share capital and total voting rights. As a result, Energybuild Group Plc will become an associate of the Group and has
consequently been treated as a discontinued operation in these financial statements. The Group is in the process of
determining the financial effect of this transaction.
On 12 December 2007, Atlantic Leaseco LLC, a subsidiary of Atlantic Development and Capital LLC signed an offer to
lease with First National Capital Corporation (FNCC) for an amount of US$4,000,000, subject to final inspection and
completion of documentation. The funds are to be used to acquire equipment at the Powelton mine. 
Notes to the Financial Statements
for the year ended 30 June 2007 continued 63
Notes 64 Coal International Plc  Annual Report & Financial Statements 2007
Notes Coal International Plc
Annual Report & Accounts 2007
Coal International Plc
27 Albemarle Street
London
W1S 4DW Contents
Highlights  01
Chairman’s Statement  02
Coal International at a Glance  05 
CEO’s Review  06
Financial Review  12
Directors’ Report  14 
Corporate Governance  16
Statement of Directors’ Responsibilities  18
Report of the Independent Auditors  19
Financial Statements  20
Mission Statement
Build and grow a portfolio of metallurgical and thermal coal
properties to supply the global steel and power industries.
Focus on acquiring properties that can achieve significant
production in the short term with long term growth potential.
Achieve operating and market scale to achieve premium
valuations in the equity markets.
In this Annual Report, references to “tons” means short tons
(being 907kg) and references to “tonnes” means metric
tonnes (1,000kg).
Company Number
5293936
Directors
John Byrne 
John Conlon
W. Durand Eppler
Secretary
Alwyn Davey
Registered Office
27 Albemarle Street
London W1S 4DW
Nominated Adviser & Broker
Cenkos Securities Limited
6.7.8 Tokenhouse Yard
London EC2R 7AS
Auditors
Deloitte & Touche LLP
Hill House
1 Little New Street
London EC4A 3TR
Solicitors
Trowers & Hamlins
Sceptre Court
40 Tower Hill
London EC3N 4DX
Registrars 
Capita Registrars
The Registry
34 Beckenham Road
Beckenham 
Kent BR3 4TU