" ...As far as I know the lower JORC (clinton at least) is to do with the latest (2004) JORC guidelines which are stricter than the guidelines used from 1999. IN other words the coal is there in seams but not necessarily in consitent seams to delineate a larger quantity measurable by the total thickness (i.e. seam at top to seam at bottom). Nonetheless they should still get to 400 or 500Mt in total and they also have the other Moorlands site..."
Also, if you have a look at the drilling program in their 23/05/08 Company Presentation, you will see that the Phase 1 drilling program was designed to build on the extensive past drill data within the area and to move the existing deposit tonnage figures for Clinton, Beaufort and Whitwarta, as published by the South Australian Government, quickly towards JORC compliant resources with minimal infill drilling. Approx. one third of the Clinton and half of the Beaufort and Whitwarta inferred areas haven't been drilled in this initial phase. Follow-up drilling is scheduled in the new year, subject to results from the initial phase.
To put this initial JORC resource estimate into perspective:
GLX has stated that they wish to build a 30,000bbl/day capacity plant. At 1.5bbl syn diesel/tonne of coal, this equates to 20,000t lignite feedstock per day or 7.3mt per year. This initial resource from Clinton alone is enough to produce 10.95m bbl syn diesel per year for 25+yrs. Initial JORC resources from Beaufort and Whitwarta are still to be added to this estimate. Future drilling could expand the resource further. The initial drilling phase is likely to provide a resource capable of producing 10.95m bbl syn diesel for 50+ years (this would require approx. 365mt lignite resource).
In comparison: LNC Chinchilla JORC 600mt (potentially 1.0+ bt) CNX Bloodwood Creek JORC 100+ mt CXY Kingaroy JORC 73mt
As always DYOR :-)
Cheers,
GrayNomad
GLX Price at posting:
6.8¢ Sentiment: None Disclosure: Held
