Waratah Coal managing director Peter Lynch said the results were a significant step for the company, which began with zero resources when it commenced drilling in March this year with one drill rig.

 

“We now have identified a combined resource of 1.7 billion tonnes in the Galilee Basin, with the coal seams open along strike and down dip," Lynch said.

 

"Waratah is now in a position to study various mining and infrastructure options necessary to efficiently exploit these deposits and others in the Basin.

 

"At the same time, five drills will continue the process to expand and improve Waratah’s resources."

 

Lynch also stressed that the amount of resources is expected to increase as the results of other holes already completed becomes available from the congested laboratories.

 

The latest results are made up of 1.055 billion tonnes of inferred coal resource at the South Alpha EPC 1040 and 675Mt inferred coal resource at the North Alpha EPC 1053.

 

Lynch believes the company's Galilee coal tenements could eventually play host to a massive coal mining complex, supported by a dedicated 500km rail system and an exclusive deepwater port situated at Port Clinton.