Exploration consents sought for export coking coal operation

Solid Energy to seek exploration consents for export coking coal operation near Greymouth

Solid Energy is applying to the Grey District and West Coast Regional Councils for resource consents which would support the company’s exploration of a substantial resource of export-grade hard coking coal near Greymouth.

If the exploration consents are granted and the next phase of feasibility assessment supports further investment, Solid Energy will seek mining consents in 2012 to develop the proposed Liverpool mining operation in a series of small opencast and underground operations.

Barry Bragg, Solid Energy’s Chief Operating Officer, says work done so far suggests a combined underground-opencast mining operation over 15-to-20 years, producing up to 500,000 tonnes a year of hard coking coal for the international steel market.

“Once the mining consents are secured and our feasibility studies continue to point to a favourable outcome, we think Liverpool could provide jobs for 120 to 150 people and produce saleable coal from 2014/15,” Mr Bragg says. “The Liverpool coals would complement those produced by the nearby Spring Creek Underground Mine and Stockton Opencast Mine in Buller, increasing our export coking coal portfolio for the international market.”

The Liverpool project, within the company’s Mt Davy Mining Permit in the Upper Seven Mile Valley, is in an area which was mined from 1913 until 1985. In recent years Solid Energy has intensified exploration in the area and now has five drill rigs working on it. In the 2011 financial year financial year, the company financed a 40-hole programme which delivered more than 9,400 metres of drilling.

ENDS

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