COMPANY ACTIVITY

Maiden coal resource for Northern Star

GOLD producer Northern Star Resources has announced a maiden resource for the surprise coal disco...

Kristie Batten

The Kazput thermal coal project, halfway between the company’s Paulsens mine and Ashburton gold project, has an initial inferred resource of 170 million tonnes of coal at 45% in-situ moisture.

The resource comprises three separate pods of coal – two of which are on Northern Star tenements, and the other on a Northern Star-Fortescue Metals Group joint venture tenement.

Northern Star managing director Bill Beament said the resource was characterised by big seams, but was low grade.

The company considers the resource a domestic product only, considering market conditions, for use in a local coal-fired power station.

Beament said the project wouldn’t remain a part of Northern Star long-term, but the company was yet to consider a strategy for it.

Northern Star made the surprise find in late 2013 during reconnaissance drilling targeting palaeo-channels considered prospective for gold.

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