NWP Coal Canada purchased a 10% interest in the property for $C46,080 in cash and can potentially earn up to 60% interest by applying exploration expenses of $870,000 over three years at a rate of $5 to $10/ha in the second and third years, respectively.

At that time, Red Earth will become a 60:40 joint venture between it and Saturn, and Saturn will retain a 7% FOB royalty interest in Red Earth’s future production.

“Jameson's coal experience and participation in the area is a welcome development for eastern Saskatchewan as it continues to emerge as a new Canadian coal region, and Saturn welcomes the coal expertise of its new Australian partners,” Saturn said.

Red Earth, which Saturn acquired in 2008, is made up primarily of farmland. It is about 25km from rail facilities and neighbors provincial Highway 55.

Jameson will be preparing the first phase of an exploratory program for the property during the next exploration season.

In August, Saturn announced a 100% interest acquisition in a group of coal properties in Saskatchewan and Manitoba known as the Saskatoba project.

The company obtained the interest under a purchase and termination agreement with its joint venture partner Swift Resources; financial details of the deal were not disclosed. The Saskatoba project is made up of more than 1200sq.km of coal properties in eastern Saskatchewan as well as western Manitoba.

Saturn has made two coal discoveries in the area since 2009: the Leif and Karolina coal basins.

Karolina returned one of Canada’s thickest-ever coal intersections at 88.98m beginning at a depth of 44.65m at the Overflowing Coal Property.

Saturn’s energy and mining assets are located in Saskatchewan, Manitoba and British Columbia, Canada.