The Kolan project is comprised of two exploration permits, EPC1872 and EPC2003.

Guildford said the exploration target was derived from independent consulting geologists Moultrie Database and Modelling.

It comprised of an estimated 20Mt to 80Mt from the Burrum coal measures and an estimated 40Mt to 320Mt from the Maryborough formation.

While recent adverse weather conditions at the tenement have halted drilling until conditions improve, recent drilling intersected coal seams in the southern portion of EPC1872 range in depth from about 56m to 65m.

Drilling on EPC2003 intersected four thin coal seams between depths of 46m and 143m.

Historical exploration at Kolan tenement has confirmed some holes fall within the hard coking coal and PCI coal product range, with the Maryborough formation known to contain thicker seams of coal.

Guildford will need to undertake further drilling at Kolan to confirm if thicker extensions of the target formations exist on the project.

The Kolan project is one of Guildford’s handful of priority projects.

The tenement is connected to the Port of Gladstone via the Maryborough North Coast rail system, which runs adjacent to the project.