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Prophecy Coal completed acquisition of Pulacayo-Paca project in Bolivia


 Prophecy Coal Corp. ("Prophecy" or the "Company") (PCY.TO)(PRPCF)(1P2.F) is pleased to announce that it has successfully acquired Apogee Minerals Bolivia S.A., ASC Holdings Limited and ASC Bolivia LDC (which hold ASC Bolivia LDC Sucursal Bolivia, the holder of Apogee Silver Ltd.'s ("Apogee") (TSX VENTURE:APE) mining joint venture interest in the Pulacayo-Paca project) (collectively, the "Apogee Subsidiaries") from Apogee on the terms described in the Company's news release dated November 4, 2014.

Shareholders of Apogee overwhelmingly approved the transaction, with shareholders holding over 31% of the common shares voting 99.4% in favour of the transaction at a Special Meeting held on December 29, 2014.

In consideration, the Company has paid Apogee $250,000 and issued to Apogee 60 million common shares (the "Consideration Shares"). The Consideration Shares have been deposited into escrow pursuant to an escrow agreement, which allows for the release of the Consideration Shares over time, when Prophecy's shares trading on the Toronto Stock Exchange reach certain price levels or in the face of certain major triggering events. Prophecy has also agreed to assume all liabilities of the Apogee Subsidiaries. The escrow agreement also provides for a standstill on the voting of the Consideration Shares while they are held in escrow, and the voting of all released Consideration Shares in support of Prophecy's management so long as Prophecy continues to be engaged in its current business.

Apogee has also appointed Harald Batista to its board of directors. Mr. Batista is also a current director of Prophecy.