Bowen Basin Projects

Cockatoo Coal’s Bowen Basin projects extend from the Wonbindi project in the south to the Dingo project in the north, across approximately 92 kilometres of strike length, in an area located approximately 180km west of Gladstone, in central Queensland. Permian age Rangal Coal Measures sub-crop throughout the project package, offering 550km2 of contiguous target areas.

Baralaba Mine/Baralaba North

The Company currently has 4 drilling rigs at work in its Bowen Basin area of operations, advancing the company’s understanding of the geology, coal quality and further development potential of the Baralaba mine and surrounding exploration areas. 

As at 31 March 2010, the results of the recent drilling program at the Baralaba North project were being integrated with the Baralaba mine and Baralaba North geological models, and are to be incorporated into the Baralaba North resource model. Once completed, this will enable conceptual mine planning over seven kilometres of strike length.

Bowen Basin project areas.

Resources in the Company's Bowen Basin projects are summarised as follows:

Project Tenement JORC Status Estimated
Tonnes (Mt)		 Depth of
Resource		 Strip Ratio Area of Resource (Ha)
 Baralaba North  MDLA 416 Indicated 15.6 175 metres  8.8:1 108.8
 Baralaba Mine  ML 5605 Indicated 1.8* RL-15 8.2:1 44.1
Baralaba Mine MLA 80157 Inferred 1.7 RL-15 7.1:1 16.8
Baralaba Mine  MDL 184 Inferred 2.8 RL-15 9.2:1 35.1
Wonbindi  MDL 352/EPC 1047 Inferred 43.6 175 metres 11.8:1 373.6
Total of all Resource Categories 65.5 Mt

* As at September 2009 and reduced by subsequent production. 

3Mtpa Bowen Basin target longer term

A concept target output of 2.5-3.0Mtpa ROM production from a combined multi-pit south Bowen Basin operation will be a focus for Cockatoo Coal over the coming 3-5 years.

Expanded resource definition and the availability of new coal transport infrastructure capacity are just 2 of a number of key requirements that will need to be successfully met in order to achieve that target outcome. 

Baralaba Mine (ML 5605) and Baralaba North (EPC 1047) drill hole locations.

Dingo Project

The Dingo project is located at the northern extent of the Company's Bowen Basin projects. Coal seams intersected in the Dingo project continue to demonstrate common geological and geophysical signatures to the mined Rangal Coal Measure seams at the Baralaba mine, where production has demonstrated that the seams have PCI and thermal coal properties.

The Company is currently using 4 open hole drilling rigs and 1 large diameter core rig to systematically advance the geological understanding in the Dingo project. Core drilling of drill hole DG0077CH is underway, with successfully recovered coal samples to be dispatched shortly for detailed raw coal and washability analysis. The analytical results are expected to confirm similar PCI and thermal coal qualities to those seen in Baralaba mine (ML 5605), Baralaba North (MDLA 416) and Wonbindi (MDL 352).

The uppermost Burngrove Formation coal seams (Kaloola Beds), which occur directly beneath the Rangal Coal Measures, are also being assessed for raw and washed coal properties. The Kaloola Beds' equivalents are known to have coking coal properties elsewhere in the Bowen Basin.

The Pearl Creek target has been the main area of focus since the last update. Drilling results are currently being incorporated in the 3D model and are demonstrating the continuity of the Rangal Coal Measures between Pearl Creek and Giles Creek, to the north.

Drill hole location map of Dingo project targets.