Coalcorp Announces Claim Filed by Former Executives

TORONTO, July 3 /CNW/ - Coalcorp Mining Inc. ("Coalcorp" or the "Company") (TSX-CCJ) announced today that a legal application has been filed in Ontario against the Company and certain of its directors as well as its significant shareholder, Pala Investments Holdings Limited ("Pala") under the Securities Act (Ontario) and the Business Corporations Act (British Colombia). The application has been filed by certain former directors and officers of the Company being Serafino Iacono, Miguel de la Campa, Michael Davies, Jose Francisco Arata, Efrain Carrera and Juan Manuel Pelaez but has yet to be served on Coalcorp or its directors.

The Company believes the claims in respect of Coalcorp are baseless and completely without merit and if served, Coalcorp intends to defend itself vigorously against those claims. The Company is in the process of restructuring its operations and views these claims as disruptive and clearly not in the best interests of the shareholders of Coalcorp.

The allegations made in the current application are substantially similar to those made in the notice of intention to file a derivative action filed by the same group of former directors and officers of the Company, with the addition of Mr. de la Campa and Mr. Davies, which was previously announced by Coalcorp on March 5, 2009 (the "Notice of Derivative Action"). The allegations include that Pala has breached Canadian securities laws and that certain named current directors of Coalcorp, acted in a manner that is oppressive and unfairly prejudicial to the claimants. The claimants are seeking, among other things, an order to remove certain directors and unspecified damages. As previously announced, the Notice of Derivative Action followed the terminations of three former directors and officers of the Company, who are also among the current group of claimants, being Jose Francisco Arata, Efrain Carrera and Juan Manuel Pelaez.

Coalcorp is a coal mining, exploration and development company with interests in the La Francia coal mine and related infrastructure projects and a number of coal exploration properties, all located in Colombia. Coalcorp also holds a 60% equity interest in Carbones Colombianos del Cerrejon which owns the La Caypa coal mine in Colombia. Further information can be obtained by visiting our website at www.coalcorp.ca or under the Company's profile at www.sedar.com.

Statements made in this news release may be forward-looking and therefore subject to various risks and uncertainties. Certain material factors or assumptions are applied in making forward-looking statements and actual results may differ materially from those expressed or implied in such statements. Coalcorp does not undertake to update any forward-looking statements; such statements speak only as of the date made.

Contacts

Joseph Belan
Interim Chief Executive Officer
+57-1-658-5050 Ext: 9990