Cougar's Mackenzie project proves up
PERTH (miningweekly.com) – A conceptual study by coal developer Cougar Energy has proven that its Mackenzie pulverised coal injection (PCI) project, in central Queensland, could be profitable.
ASX-listed Cougar reported on Monday that a four-million-tonne-a-year run-of-mine operation would need a capital investment of A$860-million, with free-on-board operating costs estimated at between A$90/t and A$130/t.
The project covers some 21 km2 in the Bowen basin, and is situated between operating opencut mines. The project currently has an inferred coal resource of 201-million tonnes.
Chairperson Andrew Matheson pointed out that coal quality assessments were carried out on samples taken from the exploration programme, with encouraging results.
Matheson noted that all seams at Mackenzie had the potential to produce a low volatile PCI product.
“Our assessment to date has reviewed a number of options for the development of the Mackenzie project. The results to date are encouraging both from coal-quality and project-cost perspectives, and with improved definition of the project, we will continue to pursue our options with respect to investment into Mackenzie at the project level,” said Matheson.
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