Endocoal moving in on Meteor Downs South
COAL explorer Endocoal Limited will file a mining lease application with the State Government for its Meteor Downs South project, west of Rolleston, by March 31.
The publicly-listed company has released preliminary mine planning information for the Meteor Downs South and Inderi coal resources, located on its Orion Downs tenement EPC 1517, which abuts Bandanna Energy’s proposed Arcturus mine.
Endocoal hopes to ship 2.5 million tonnes of export quality thermal coal.
It estimates mine start-up costs of $65 million, with average cash costs of $42.40 per tonne of coal produced.
Meteor Downs South is proposed to be an eight-year open cut operation with the coal seam at depths between 30 and 80 metres. Inderi’s two coal seams lie at depths of 75 to 150 metres. Endocoal’s scoping study opted for a bord and pillar underground mine with a life to 15 years.
“Endocoal is currently in discussions with QRNational regarding access to the Blackwater rail line, and capital requirements and haulage costs will be further evaluated as part of the upcoming pre-feasibility study,” the company told the Australian Stock Exchange last week.