Evidence Package Disclosures

  • Documents in this package are provided for diligence purposes only. No securities offering, investment advice, or guarantee is made.
  • The engineering appraisal reports an in-place value, which is not a guaranteed market value, financing value, or recoverable reserve value.
  • Lenders and investors must conduct their own independent due diligence.
  • Document hashes and IPFS anchoring are pending — this package has not yet been cryptographically sealed.
← Pate-Coal-001/Documents & Evidence

PATE-COAL-001 — Evidence Package

Documents & Evidence

3 PDF files received — 6 document types covered. 16 additional documents needed.

Uploaded Evidence

SUBMITTED

1. Update — Pate Prospect 8-1-24

1. Update - Pate prospect 8-1-24.pdf

2024 update letter from appraiser James T. Weiss, PE, MBA, F. NSPE. Conservatively maintains the Pate Prospect valuation at the 2020 level of $8,378,310,000, noting that coal prices may have increased since 2020 but holding the estimate conservative.

  • 2024 update — valuation held at $8,378,310,000
  • Authored by James T. Weiss, PE, MBA, F. NSPE
  • Conservative: does not adjust upward despite potential coal price increases

Document Hash

Pending — SHA-256 seal required

IPFS CID

Pending publication

SUBMITTED

2. Pate Summary 2-15-20

2. Pate Summary 2-15-20 pgs 1-3.pdf

2020 engineering appraisal summary for the Pate Prospect in Morgan County, Tennessee. Reports approximately 3,790 acres, nine identified coal seams, and combined in-place value of $8,378,310,000. Authored by James T. Weiss, PE, MBA, F. NSPE.

  • Location: Morgan County, Tennessee
  • Reported acreage: approximately 3,790 acres
  • Rex seam: 1,068,000 surface mineable tons
  • Underground mineable: 139,282,500 tons
  • Combined in-place value: $8,378,310,000
  • Appraiser: James T. Weiss, PE, MBA, F. NSPE

Document Hash

Pending — SHA-256 seal required

IPFS CID

Pending publication

SUBMITTED

3. Pate Appraisal — Full Appendix (pgs 4–37)

3. Pate Appraisal pgs 4 - 37.pdf

34-page appendix packet including: legal description of the prospect; estimated coal reserve tables per seam; coal analysis supporting the appraisal; and general geology appendix covering Morgan County stratigraphy, seam maps, and structural notes.

  • Legal description of ~3,790-acre prospect
  • Per-seam reserve tables: Rex, Nemo, Morgan Springs, Sewanee, Richland, Wilder, Lower Wilder, Upper White Oak, Lower White Oak
  • Coal quality / analysis data
  • Geology appendix — Morgan County stratigraphy and structure

Document Hash

Pending — SHA-256 seal required

IPFS CID

Pending publication

Asset Description — From Appraisal

Location

Morgan County, Tennessee

Reported Acreage

approximately 3,790 acres

Rex Seam Surface Mineable

1,068,000 tons

Underground Mineable

139,282,500 tons

Reported In-Place Value

$8,378,310,000

Engineering estimate only — not guaranteed market value

Appraiser

James T. Weiss, PE, MBA, F. NSPE

Appraisal Year / Update

2020 / Updated 2024

Identified Coal Seams — 9 Seams

SeamMining TypeNotes
RexSurface1,068,000 surface mineable tons
NemoUndergroundReserve data in appendix
Morgan SpringsUndergroundReserve data in appendix
SewaneeUndergroundReserve data in appendix
RichlandUndergroundReserve data in appendix
WilderUndergroundReserve data in appendix
Lower WilderUndergroundReserve data in appendix
Upper White OakUndergroundReserve data in appendix
Lower White OakUndergroundReserve data in appendix

Reserve data from the 2020 engineering appraisal. Updated recoverable reserve tonnage requires a new qualified-person / mining engineer report.

Document Request List — 25 Items

CRITICALHIGHMEDIUM

Request these from the asset owner. CRITICAL items are required before any lender will engage with a substantive facility review.

1.

Current deed (surface and/or mineral rights)

CRITICAL
2.

Mineral rights deed or severance document

CRITICAL
3.

Chain of title from original grant to current holder

CRITICAL
4.

Tax parcel IDs — Morgan County, Tennessee

HIGH
5.

Property tax status and current tax certificate

HIGH
6.

Lien / mortgage search report

CRITICAL
7.

UCC search — Morgan County and Tennessee Secretary of State

HIGH
8.

Entity ownership / control documents (who can pledge / sell)

CRITICAL
9.

Authority documents — who has right to pledge or convey mineral rights

CRITICAL
10.

Full 1976 Michael Pitts report referenced in the appraisal

HIGH
11.

All drill-hole data and core logs

HIGH
12.

Coal lab reports (proximate/ultimate analysis per seam)

HIGH
13.

Mine maps in higher resolution

HIGH
14.

Current permit status — TDEC Division of Water Resources

CRITICAL
15.

Any historical mining permits or permit applications

MEDIUM
16.

Environmental reports or environmental assessments

HIGH
17.

Reclamation / bond estimates for TN mining operations

MEDIUM
18.

Access road / haul road rights and easements

MEDIUM
19.

Rail / truck logistics plan and freight costs to market

MEDIUM
20.

Any coal buyer / offtake LOIs or prior offers

MEDIUM
21.

Any mining operator LOIs or discussions

MEDIUM
22.

Any prior financing documents, liens, or existing pledges

CRITICAL
23.

Any lawsuits, disputes, or title claims on the property

CRITICAL
24.

Updated independent reserve / resource report from qualified PE

CRITICAL
25.

Attorney title opinion from TN / mineral-rights attorney

CRITICAL

Valuation Warning

The reported in-place value of $8,378,310,000 was determined by an independent engineer in 2020 and conservatively maintained in a 2024 update letter. This is an estimate of coal in-place value only. Recoverable value, market value, financing value, and liquidation value will all be substantially different and can only be determined through updated technical review, market analysis, permitting review, and arm's-length lender/buyer acceptance.

Do not present this asset as "$8.3B ready to borrow against." Present it as a mineral-rights prospect with engineering appraisal materials requiring further diligence before financing.

Safety Statement

No live IOU issuance, stablecoin issuance, custody, exchange, mining operation, permitting claim, Aave execution, token buyback, liquidity pool execution, or public investment functionality was enabled by this module. All evidence summaries and document statuses are simulation-only.