PERTH (miningweekly.com) – ASX-listed coal developer Atrum Coal has doubled the Joint Ore Reserves Committee- (Jorc-) compliant resource at its Groundhog North prospect, in Canada.
The project’s Jorc resource has now increased from the previous estimate of 305-million tonnes to 609-million tonnes, and included a measured resource of 156-million tonnes, and indicated resource of 193-million tonnes and an inferred resource of 260-million tonnes.
Atrum told shareholders on Tuesday that more than 80% of this resource occurred at a depth of less than 300 m.
Atrum executive chairperson James Chisholm said that the company’s development strategy for the Groundhog North project was simple, as the miner planned to divest a minority equity stake in the project in return for complete funding of the first 3-million-tonne-a-year mine.
“Subsequent mines can be financed separately through cash flow or traditional debt, positioning the company for significant growth.”
Chisholm pointed out that the Groundhog North resource covered only a fraction of the broader Groundhog coalfield, and noted that the expanded resource would be incorporated into an upcoming supplementary prefeasibility study, which would allow Atrum to progress with the proposed partial sell-down of Groundhog North.