The company said the seven drillholes, all within the 12,096 hectares (121 square kilometers) coal properties near Ulaanbaatar in the Tuv Aimag province, were step-out holes beyond a previously drilled area and expanded the intercepts area from 8sq.km (4km by 2km) to 24sq.km (6km by 4km).
Drillers primarily used a poly-crystalline diamond rotary drill bit to move a total of 1517 metres across the eight holes.
Six of the holes that intersected coal were spaced along an approximately 6km strike within the license areas, and the intercepts are open at both ends of the 6km strike length according to the most recent work.
“Two drill holes (33R and 38R), spaced approximately 900m apart on strike, each intercepted approximately 39m of coal mineralization in individual seams,” the company reported in its program results.
“It is reasonable to interpret these intercepts as possibly being correlative coal seams based on their similar thickness, overall stratigraphy, geomorphic interpretation of possible surface expressions of fault structures, and their relative proximity to one another.”
Lucky Strike said its primary priority was to ascertain any potential to increase the known mineralized area by means of step-out drilling. It has already completed its proximate analysis, ash fusion, wash sink and float testing for the CN-11-34C core hole samples, performed to reflect CN Coal’s commercial coal quality potential.
“The potential for a sizable deposit and commercial use of the CN Coal deposit are important factors for Lucky Strike to consider in its decision whether to advance the project,” officials said.
The coal hole coal samples were processed by SGS Laboratory in Ulaanbaatar. Consultant Norwest oversaw the due diligence drilling program’s general layout and also supervised and verified core sampling procedures.
“Considering the positive confirmation of the coal deposit and significant extension of the known mineralized area by the step-out drilling program results, Lucky Strike will aim to further explore the CN project to test the potential to further increase the size of the coal deposit,” the company said.
To date, per the compliance requirements of National Instrument 43-101, Lucky Strike has intersected a total of five coal seams on the CN property.
The coal beds have indicated that the interior of the license block has additional coal resource potential.
