Allegiance Coal Limited (“Allegiance Coal”) is a coal exploration company with a substantial exploration portfolio of 14 granted tenements within nearly all Queensland’s coal provinces including the world-class Bowen and Surat Basins. Allegiance Coal is planning to be a 10Mtpa independent coal producer with first coal in 2017.
With an experienced board of directors and a highly regarded and experienced management team and staff, Colin Randall, the Managing Director, believes Allegiance Coal has the resources and funding to achieve its medium to long term goals and to capitalise on its exploration and selective tenement acquisition strategy. Colin has over 40 years of experience in most facets of the coal mining industry in New South Wales and Queensland; he has been involved in the operating, exploring, developing and financing of coal mines in both states.
Allegiance Coal’s two lead projects, Back Creek and Kilmain, are in Queensland’s major coal producing areas of the Surat and Bowen coal fields respectively. The Bowen Basin is a major supplier of some of the world’s best coking and PCI coals. Both the Bowen and Surat coal provinces contain thermal coal suitable for the export market. The Company is conducting drilling to raise Back Creek and Kilmain to JORC Inferred Resource status to reach its target of first coal by 2017. Both projects will enjoy lower transport infrastructure expenditure as they are in near proximity of planned and existing rail infrastructure connecting to export ports.
Back Creek Project
Allegiance Coal’s Back Creek (EPC 1297) has potential for a large open pit thermal coal deposit with an identified target of up to 80 million tonnes, contained within the Auburn, Bulwer and Condamine seams.
Back Creek is located 45km south-east of Wandoan in the Surat Basin and covers an area of 62km2. It is approximately 20km to the east of the planned Surat Basin Rail Line connecting to the Port of Gladstone.
Back Creek is along strike from Cockatoo Coal’s Bottle Tree Deposit (MDLA 433) containing 35.2 million tonnes JORC Inferred Resource and adjoins Stanmore Coal’s The Range (MLA 55001) project JORC total resource of 219 million tonnes (78 million tones Inferred and 151 million tonnes Indicated). Down dip from Back Creek lies Cockatoo Coal’s Bushranger project MDLA 451.
Allegiance Coal has planned drilling in 2012 to raise Back Creek to JORC Inferred Resources basis and to produce thermal coal for export by 2017.
Kilmain (EPCs 1298 and 1917) has potential for both an underground and open cut coal deposit with an identified target of up to 200 million tonnes, contained within the Rangal Coal Measures with thermal, PCI and coking coals.
Kilmain is located approximately 300km west of the Port of Gladstone in the Bowen Basin and covers an area of 56km2. It is approximately 12km west of the Rolleston Rail Line, which connects to the Port of Gladstone.
Kilmain is adjacent and down dip of BHP’s Togara South 2 billion tonne deposit (MDL 340). Exploration by BHP right up to Kilmain’s boundary. Kilmain is also adjacent to Bandanna Coal’s EPC 1221 Arcturus Project in the west, where planned open cut and underground JORC resources in the Rangal seams are 206.3 million tonnes.
Allegiance Coal has planned further drilling during 2012 to elevate Kilmain to JORC Resource basis and to produce coal for export by 2017.
Allegiance Coal’s primary focus in 2012 will be on Back Creek and Kilmain, while continuing exploration activities on all other tenements.
Allegiance Coal’s prospective tenements are in hitherto overlooked areas both within known areas of high prospectivity and in prospective new provinces.
Allegiance Coal Limited ACN 149 490 353 Level 13, 49-51 York Street Sydney NSW 2000 Telephone: +61 2 9299 5008 Facsimile: +61 2 9299 5006 Email: email@example.com Web: www.allegiancecoal.com.au