Mineral Resource Statement
The exploration work carried out to date has been reviewed and resources classified according to JORC standards by SRK. The total identified resource is tabulated below.
JORC classification and tonnages (South, North and West blocks )
| Coal Area | Category | Tonnes | Raw Coal Qualities | |||
| Calorific Value | Ash | Volatiles | Sulphur | ||
| (Mt) | (MJ/kg) | (%) | (%) | (%) | ||
| South | Measured | 24 | 13.15 | 52.7 | 13.2 | 0.9 |
| - | Indicated | 447 | 13.06 | 50.6 | 9.9 | 0.7 |
| - | Measured + Indicated | 471 | 13.07 | 50.7 | 10.0 | 0.7 |
| - | Inferred | 127 | 12.13 | 55.6 | 10.2 | 1.0 |
| - | Sub-total | 597 | 12.87 | 51.7 | 10.1 | 0.8 |
| ||||||
| North | Measured | |||||
| - | Indicated | 174 | 11.64 | 58.8 | 16.4 | 1.0 |
| - | Measured + Indicated | 174 | 11.64 | 58.8 | 16.4 | 1.0 |
| - | Inferred | 503 | 10.17 | 63.3 | 16.4 | 0.9 |
| - | Sub-total | 677 | 10.54 | 62.2 | 16.4 | 0.9 |
| West | Measured | |||||
| - | Indicated | |||||
| - | Measured + Indicated | |||||
| - | Inferred | 534 | 12.40 | 55.2 | 21.5 | 1.1 |
| - | Sub-total | 534 | 12.40 | 55.2 | 21.5 | 1.1 |
| Total | Measured | 24 | 13.15 | 52.7 | 13.2 | 0.9 |
| - | Indicated | 620 | 12.66 | 52.9 | 11.7 | 0.8 |
| - | Measured + Indicated | 644 | 12.68 | 52.9 | 11.8 | 0.8 |
| - | Inferred | 1,164 | 11.41 | 58.8 | 18.1 | 1.0 |
| - | Grand Total | 1,809 | 11.86 | 56.7 | 15.8 | 0.9 |
Source: SRK Consulting (UK) Ltd
Note: Numbers are rounded. In situ resources tonnages have been adjusted for a 30% geological loss factor. Coal analyses are quoted on an Air Dried Basis.
The resource table details only the pre-wash geological resource tonnages, and hence no mining or processing recovery factors have been applied. The resources are in-situ resources limited to a depth of exploration drilling of approximately 200 metres.
Drill spacing is variable across the South, North and West Blocks at between 500 metres – 1,000 metres. SRK believes the presence of dykes and sills within the licence area represents a high geological risk and has applied a geological loss of 30% to the in-situ JORC resource estimates to mitigate this uncertainty.
Five distinct coal zones have been identified in the North and South Blocks and four in the West, all with varying thicknesses. In relation to the South Block, Zone 1 is the thickest at 83.5m and the average varies between 4.4m and 49.3m. The shallow nature of the resources is conducive to open pit mining.
A representative cross section showing the broad correlation of these zones across the South Block is shown below:
Source: SRK Consulting (UK) Ltd
Three dimensional block models of South and West Blocks are shown below:
South block three-dimensional block model
Source: Company
West block three-dimensional block model
Source: Company