Stanmore Coal has announced an increased life expectancy for its Isaac Plains operation near Moranbah after investigations doubled the JORC resource for the coking coal complex.
The company says open-cut mine life has been extended to more than 10 years taking into account the maiden reserve it has calculated for the Isaac Plains East tenement sitting alongside the Isaac Plains operation.
First product coal was processed through the washplant at the restarted Isaac Plains operation today and the first shipment to Asia is planned in early May.
The total JORC resource for the area has more than doubled to 76.9 million tonnes, while the total JORC reserve has tripled to 15.3 million tonnes after recent Stanmore Coal exploration and assessments.
“This represents a major upgrade to the Isaac Plains complex as it increases open-cut mine life from three years to more than 10 years,” Stanmore Coal managing director Nick Jorss said.
“Combining two neighbouring Bowen Basin assets, stripping out significant costs and undertaking a comprehensive exploration program has created low-cost coking coal complex at Isaac Plains with significant mine life.
“Upon grant of the mining lease at Isaac Plains East we will be a first quartile producer located in the world’s premier export quality coking coal basin.
“This important milestone for the company reaffirms our commitment to building a larger mining enterprise based around the strategic infrastructure position at Isaac Plains as we supply some of the world’s top steel mills with high quality coking coal.”
Stanmore Coal purchased Isaac Plains East from Peabody Energy and the Isaac Plains operation (then on care and maintenance) from Vale and Sumitomo Corp last year.
It has since undertaken a confirmatory exploration campaign to delineate the potential mining extension areas for open-cut and underground assessment.
The new life of mine figures are based on a steady state production rate of 1.5mtpa run of mine coal (at least 1.1mtpa product coal)
More at http://stanmorecoal.com.au