Ashford Coking Coal

The Ashford Coking Coal Project covers the previously mined Ashford Coal Mine, where an 14.8Mt Resource of hard coking coal has been identified. The project is located approximately 60km north of Inverell (northern NSW) and covers approximately 14 km2.

Following a series of washability and product coal tests the key coking coal properties of a potential washed product were identified. These properties compare favourably with other coals both in Australia and overseas. Following these tests, a single core from within the resource area was prepared and subject to a pilot coke oven test to assess the quality of the coke formed from Ashford seam coal. The results confirmed that the resource at Ashford would produce a mid-volatile hard coking coal with a high coke yield, moderate ash and other qualities which could be expected to be favourably received by global steel makers.

The project has been advanced sufficiently and with the updated resource estimates completed last year, Laneway intends to progress the project towards a Mining Lease Application over the resource area.

 

 

Geology

The Permian aged Ashford coal measures are expressed as a narrow (<10km) 80km long basin stretching from the Queensland border in the north to Inverell in the south. The Ashford coal measures unconformably overlie highly deformed late carboniferous sediments assigned to the Texas Beds. EL6234 overlies part of the outcrop of the Ashford coal measures which dip to the west at 15-35 degrees. The Ashford seam ranges from 0.2m to 24.4m in thickness and makes up the principle resource within EL6234. The western margin of the coal measures is marked by a prominent west over east thrust fault– the Severn Thrust resulting in Carboniferous rocks overlying the Permian sediments.

 

Ashford Resource Estimate

The Ashford Coking Coal Project incorporates the historic Ashford Mine Area (EL 6234 and EL 6428). Total resources within EL6234 are estimated at 14.8 million tonnes of in-situ coal with 6.5 million tonnes classified as Indicated and 8.3 million tonnes as Inferred. Of the total resource, 9.4 million tonnes are likely to be accessible by conventional open cut methods to a 15:1 vertical waste to in-situ coal tonnes stripping ratio cut off. A further 5.4 million tonnes are expected to be mined via high wall mining methods. These estimates reconcile well with previous studies.

The updated JORC resource reconciled well with previous coal resource estimates providing confidence in the geological interpretation and modelling. The current model is viewed as a robust model for future mine designs and feasibility studies.