In a statement the company said, “The tenement is integral to the company’s heads of agreement with Linchpin Capital Group Limited (Linchpin) to jointly develop the South Clermont coal
The intention, once the agreement is finalised, is to initiate an exploration program to complete proving the resource and then to bring the deposit into production. Initial
indications are that this has the potential to be an open cut operation.
On completion, Australian Pacific Coal will transfer its South Clermont tenement into a newly formed entity,which will raise the funding for and will conduct the exploration and development of the
project. AQC will initially hold 50% of the equity in the new entity.