Celsius Coal’s Uzgen basin project resources increase by 40Mt

24 March 2014 (Last Updated March 24th, 2014 18:30)

Celsius Coal has reported an increase of 40 million tonnes (Mt) at its Uzgen Basin coking coal project in the Kyrgyz Republic, taking the development's total resource estimate to 295Mt.

Celsius Coal has reported an increase of 40 million tonnes (Mt) at its Uzgen Basin coking coal project in the Kyrgyz Republic, taking the development's total resource estimate to 295Mt.

The project's major inferred resource increased from 35Mt to 60Mt at the Kokkia deposit.

A 5Mt increase of the inferred resource at the Kargasha deposit has taken the inferred resource estimate to 235Mt.

Australian technical coal specialist resource estimation firm G&S Resources completed the coal resource statement using the advanced Vulcan resource modelling package.

"We're very happy with the 140% increase in inferred resource in this area of the deposit."

Celsius Coal technical director Alistair Muir said that much of the aim of this year's drilling programme was the first exploratory work in the Kokkia area of the Uzgen Basin coking coal project.

"We're very happy with the 140% increase in inferred resource in this area of the deposit, and this builds upon the favourable coal quality data we have received from the drilling works to date, both at Kokkia and Kargasha," Muir said.

The company said it will continue with its coking laboratory test work and has started open pit mining studies on the Kokkia deposit, and auger mining studies on several prospective areas of both deposits.

In June 2012, Celsius Coal agreed to acquire an 80% interest in three prospective coking coal tenements, Kargasha, Kokkia and Min Teke, located in the Uzgen coal basin in the Kyrgyz Republic.

The company started exploration activites on the project in the third quarter of 2012, including diamond core drilling, trenching and geological and topographic mapping.

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