An updated JORC-compliant resource estimate for Celsius Coal’s Uzgen Basin Coking Coal Project has seen the total inferred resource increase by 40 million tonnes, or about 16%, over the 2013 resource statement. The total inferred resource now stands at 295 million tonnes.

Commenting on the new resource statement Celsius’ technical director Alistair Muir says, “Much of the aim of the recent drilling program was the first exploratory work in the Kokkia area of the Uzgen Basin project. We’re very happy with the 140% increase in inferred resource in this area of the deposit, and this builds upon the favourable coal quality data we have received for the drilling works to date, both at Kokkia and Kargasha.”

The total inferred estimate comprises 235 million tonnes at Kargasha and 60 million tonnes at Kokkia. The coal resource is based on results from Celsius’ 2012/2013 drilling of 18 holes, Soviet-era drilling of 54 drill holes, information from circa 164 adits and extensive field mapping within the project areas.

The resource statement was completed by Australian technical coal specialist resource estimation firm G&S Resources using the advanced Vulcan resource modelling package.

The company has now significantly grown its resource level based on the second year of diamond drilling, and has also completed the first year of drilling and coal quality testing for the Kokkia deposit. The work done over the last exploration season continues to show the potential of the Uzgen Basin to be a major Central Asian coking coal resource.

The 60 million tonne resource at Kokkia is contained in 11 seams across the tenement. For resource estimation purposes a seam thickness cut off of 0.5 metres has been applied. The resource of 235 million tonnes at Kargasha is contained in 17 seams across the tenement. A seam thickness cut off of 0.5 metres has also been applied.

Float sink and coal quality analyses on 2013 drilling is still in progress, however from Celsius’ 2012 drilling results at Kargasha the key features of the coal quality are demonstrated by the analyses from washed composites which shows low and consistent air dried inherent moisture at 0.9%; average ash content of 5% (ad), with the lowest at 2.6% and highest 7.5%; volatile matter on a dry ash free basis averages 39.2% and has a relatively small range; gross calorific value is high due to the generally low ash of the composites averaging 7862 kcal/kg (ad); total sulphur values are moderate to low, averaging 0.71% on a dry basis (db) and range from 0.44% to 1.00%; and phosphorus is generally low at 0.021% (db).

Celsius is continuing with coking laboratory test work and has commenced open pit mining studies on the Kokkia deposit and auger mining studies on various prospective areas of both deposits.

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