Project Updates

12/05/2010: Preparing The SGCP EIS

We are currently undertaking baseline studies and preparing the SGCP EIS in accordance with State and Commonwealth legislative requirements. The expected completion of the approvals process is the first half of 2012.

Relevant documents, including the Initial Advice Statement, Draft Terms of Reference and the completed EIS, will be made available for public review and comment as the approval process progresses. Links to all relevant documents that are currently available are provided below.

Publications and Reports

South Galilee Coal Project

The Galilee Basin is a major coal province in Central-Western Queensland that has significant high volatile, low sulphur thermal coal resources. The remote location of the Galilee Basin and the corresponding lack of existing infrastructure have previously precluded large scale coal mining in the region. However, increased demand for low cost and reliable thermal coal and associated firming of contract prices since 2008 has renewed interest in coal exploration in the area.

Galilee Basin Projects

Extensive exploration has been undertaken for the SGCP to assess the quantity and quality of the potential coal resource. Exploration to date has focussed on the northern end of EPC 1049 and has confirmed the SGCP resource is typical of the Galilee Basin, consisting of up to five principal coal seams from 2 metres to 5 metres thick and containing sub-bituminous high volatile perhydrous coals. The conditions are ideal for high production open cut and underground mining. JORC compliant resources of 982 Mt have been confirmed within the two target coal seams on EPC 1049. These announced resources are sufficient to justify the SGCP, with additional resources still to be explored down dip.

Given the current lack of existing infrastructure that will be required to service the proposed mining projects in the Galilee Basin, AMCI and Bandanna Energy believe that there is an opportunity to share port, rail and other infrastructure facilities, thereby optimising infrastructure use and development of the Galilee Basin resources. We strongly advocate a co-operative approach to development of infrastructure servicing the region and have commenced discussions with regulators and other project developers to this end.

Click here to view a map of the SGCP.

other Galilee Basin Projects

The area to the north of the SGCP has also been the focus of intensive exploration in recent years by several resource companies. Immediately to the north of the Alpha township is Waratah Coal Inc's ("Waratah") EPC 1040, which was announced by Waratah as containing a considerable deposit of export quality thermal coal. Adjoining Waratah’s EPC 1040 to the north is Hancock Prospecting Pty Ltd’s MDL 285, MDL 283 and EPC 570, which has also been announced as containing a considerable deposit of export thermal coal. Both of these deposits are in the process of gaining development approval by their respective owners.

Exploration completed to date has confirmed the SGCP has significant resources of thermal coal within a premium location of the Galilee Basin.

Click here to view a map showing the location of the SGCP and other projects nearby.