JOHANNESBURG (miningweekly.com) – Queensland explorer Bowen Coking Coal has acquired a “small, but strategic” project, which positions the company among several large producing mines with well-established infrastructure.
The ASX-listed company announced on Monday that it had entered into an asset sale agreement with Aquila Coal and Eagle Downs to buy the Isaac River project west of Moranbah for A$200 000 in cash.
Covering 14 km2, the project consists of mineral development licence 444 (MDL 444) and exploration permit for coal 830 (EPC 830). The project is wedged between the BHP Mitsubishi Alliance’s Daunia mine to the west and Peabody’s Moorvale West resource to the north. EPC 830 occurs south of MDL 444 and abuts Peabody’s Olive Downs North project and is about 3 km north of Rio Tinto’s Winchester South project.
The Isaac River project is prospective for coal from the Liechardt seam, which is extensively mined by several operating mines in the area.
MD Gerhard Redelinghuys said that the position of the project among large producing companies’ operations could create optionality in the future development of Isaac River.
“The board is confident that this is a very positive step for the company,” he stated.