CARABELLA Resources is hoping the finalisation of an agreement with one of Queensland’s richest men will be a major step forward in the the development of its first mine. Carabella Resources now has a binding agreement with geologist Christopher Wallin, which will see the company acquire a tenement next door to its current holdings at Bluff near Blackwater in Central Queensland. Last year, Mr Wallin made the BRW Rich List, with his personal fortune estimated at nearly $4 billion, largely made up of the value of his privately-owned coal exploration and mining company, QCoal. In return for handing over the tenement, Mr Wallin receives a stage 1 payment of nearly six million Carabella shares, with further payments to be made when milestones are reached at the proposed mine. Carabella Resources has indicated resources of just over 11.2 million tonnes at the site and a further 10.3 million tonnes of inferred coal. Around 8 million tonnes of the indicated resource is within 150 metres of the surface, but with only 60 holes drilled so far, major drilling is required to confirm the full extent and quality of the deposit. In May this year, Carabella completed a concept study of the mine and concluded that the tenement could sustain an open cut mine for ten years, producing 1 million tonnes of coal a year. The coal would be PCI steel-making variety and cost around $96 a tonne to get onto a ship. The company plans to complete a feasibility statement by Christmas. Story courtesy SHIFT MINER
Posted on: Wed, 02 Oct 2013 02:37:57 +0000
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