The tenure is the last of three to be granted in its Consuelo project, which is made up of EPC 2318, 2332, and 2327.
The project will provide the company with a major stake in a potentially large coal prospect in the Bowen Basin, International CEO Glenn Simpson said.
“We expect to intersect coal seams at mineable depths in the Bandanna formation - the same formation that hosts coal produced from the Glencore Xstrata Rolleston mine,” he said.
“We are looking to establish a JORC-inferred resource and to test the coal quality.”
The project lies within 10-20km of the existing Blackwater rail line to Gladstone and also sits near Bandanna Energy’s Arcadia project, which has a 273 million tonne inferred resource.
The coals of the Bandanna Formation have potential to deliver a washed semi-soft coking coal product, Simpson said.
