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New Age Exploration Announces Lochinvar Project Update in UK

Coal News - Published on Thu, 26 Sep 2019

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New Age Exploration Limited announced the results of an optimisation study on its Lochinvar Coking Coal Project in the UK, recently completed by its technical consultants, Palaris. NAE Executive Director, Mr Joshua Wellisch, said that in addition to identifying several incremental improvements for the Lochinvar Coking Coal Project, the optimisation study recently completed by Palaris has shown that there is potential to mine up to 33 Mt of coking coal mineral resource at depths shallower than 400 m using the Bord and Pillar underground mining method. The Bord and Pillar mining method is expected to provide a lower capital cost pathway to initial development of the Lochinvar project and provides greater flexibility in the mining system to manage geological conditions encountered, therefore reducing overall project risk. In addition to the coking coal mineral resource within the Lochinvar licence, the adjacent Lochinvar North licence exploration target is also expected to contain shallow coking coal that could potentially be mined with the Bord and Pillar mining method and this will now be studied further by the Company.


1. The recently completed optimisation study identified several opportunities for improvement for NAE's 100% owned Lochinvar Coking Coal Project, UK. These include:
Opportunity to reduce ventilation shaft construction cost based on revised contractor quotes
Opportunity to reduce costs of initial underground roadway development to reach first longwall mining panel based on updated estimates by Palaris
Addition of a single Bord and Pillar mining panel to produce salable coal during the 2-year project construction period and prior to coal production from the first longwall panel.

2. The study has highlighted the potential for extended use of Bord and Pillar underground mining method at Lochinvar:
Expected Bord and Pillar mining costs at Lochinvar appear to be competitive with other international Bord and Pillar underground coal mining operations benchmarked by Palaris.
Bord & Pillar mining expected to be possible at Lochinvar to depths less than 400 m from the surface where geotechnical conditions are typically more benign than at greater depths.
331 Mt of the total Lochinvar coking coal resource in the Nine Foot seam is between 200 m and 400 m deep and has potential to be mined via the Bord and Pillar underground mining method. Of this, 21.2 Mt is in the Indicated Resource category and 11 Mt is in the Inferred Resource category.

An additional 7 Mt3 of coal resource in the Six Foot Seam between 200m and 400m depth of cover also has the potential to be mined via the Bord & Pillar method.

The Exploration Target within the Lochinvar North licence may also offer potential for Bord and Pillar mining, subject to further exploration and confirmation of resources.

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Posted By : Rabi Wangkhem on Thu, 26 Sep 2019
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