Tonnage boost for BMB’s flagship Polish coal mine
European focused coal junior Balamara Resources (ASX:BMB) has completed the acquisition of its main coal play in Poland – The Mariola Thermal Coal Project– and boosted its JORC tonnage by 56% to 120.6Mt.
BMB’s strategy is to bring three low capex, high output coal mines in Poland into production, taking advantage of the lower operating costs and higher demand for coal the country provides.
Mariola is in the heart of the Upper Silesian coal basin, Poland’s most prolific coal producing region where most of the county’s thermal power stations are located. The Tauron Power Station is just two kilometres away and requires 1.5Mt of coal a year – Mariola is planned as 2Mtpa mine.
56% boost for BMB’s Mariola coal mine
BMB is fast tracking Mariola’s development, aiming to begin production in 2016.
To bring this about, BMB appointed Salva Resources Pty Ltd (HDR) to reassess the JORC resource at Mariola – previously measured as 77.1Mt – to form the basis of a Pre-Feasibility Study.
HDR completed an updated JORC (2012) compliant mineral resource estimate for Mariola, revising its tonnage upward by 56% to 120.6Mt.
This was achieved by including a significant proportion of the previous Exploration Target at the mine of between 60 and 80Mt to the JORC figure, as well as thorough analysis of historical drilling and one additional drill hole.
Revised figures point the way ahead for BMB
A new exploration target has also been established at Mariola by HDR of between 4 and 12 million tonnes based on the two deepest seams in the deposit. BMB says additional deep drilling is required to bring this target into the JORC resource.
BMB’s Managing Director Mike Ralston says these developments show his company has a clear path ahead in 2015.
“This work has resulted in a significantly enhanced resource, adding substantial value to our priority project, which, due to its exceptional location and infrastructure characteristics, is expected to be our first asset to move into development and production,” he says.
“The updated mineral resource will form the basis of the Pre-Feasibility Study currently underway, which is expected to be completed toward the end of Q1 of 2015. That will establish a clear development pathway for us to fast track Mariola towards production in 2016.”