Cokal has received ministry approval for an exploration stage forestry permit at its Borneo Bara Prima (BBP) metallurgical coal project site in the North Barito Basin of Kalimantan. The permit means larger capacity equipment can access the project to undertake high impact exploration drilling, as well as the construction of access roads and temporary infrastructure.
Cokal’s executive chairman Peter Lynch says “We can now use large drills to finalize drilling in order to obtain a JORC-compliant resource. The issuing of the permit allows us to now finalize the substantially completed environmental impact statement (EIS) for the project and progress the upgrading of our permit to operation/production status.
“The next step for the BBP project is to submit the EIS and then apply to have the mining licence upgraded to enable construction to commence.”
The granting of the permit comes after approval for exploration at the company’s flagship 300 million tonne Bumi Barito Mineral (BBM) project and further confirms Cokal’s strategy in developing coking and other metallurgical coal open-cut mines in Indonesia.
“We have always believed this is the right place to operate, because the system works here in Indonesia if you follow the rules,” says executive director Pat Hanna.
He says the high impact drills now allowed on the site will allow Cokal to drill much deeper and correlate the multiple coal seams already mapped and tested during outcrop sampling.
This sampling in the southern portion of the licence area has delineated more than 10 coal seams with coal quality indicating low ash, low sulphur, low phosphorus PCI and anthracite. Cokal is now mapping the northern section to delineate outcrops and potential coal quality, with this information assisting to design the drilling program.