Coalspur Mines Limited (ASX:CPL) Drilling In Vista South Coal Project Confirms Further Mineralization
Sydney, May 19, 2011 AEST (ABN Newswire) - Coalspur Mines Limited (
ASX:CPL) (PINK:CSPZF) (TSE:CPT) is pleased to announce that it has recently completed additional drilling on the Vista South Coal Project ("Vista South") which has confirmed further mineralization outside the current resource model. The results from the recent drilling will be utilized to increase the understanding of the geological structure and coal quality and update the existing Coal Resource estimate on Vista South.
The recent drilling on Vista South focused on the central portion of the Entrance Syncline and established additional significant coal intercepts beyond the existing resource model.
Commenting on the ongoing exploration activity in Vista South, Gene Wusaty, Managing Director and CEO, said: "We are very pleased with how the ongoing exploratory drilling has progressed at Vista South. Each stage of the drilling program has provided additional positive indications that Vista South hosts significant coal resources and we look forward to the results from further exploration activities. We expect the results of additional resource modeling in mid-2011 and anticipate an increase in the estimated Coal Resources on Vista South."
The recent drilling commenced in March 2011 and comprised of 10 rotary holes and one core hole. The core hole intersected the Val d'Or seam and the core sample has been shipped to ALS Laboratory Group in Vancouver, BC for quality testing. The drillhole results from the recent drilling will be sent to Moose Mountain Technical Services who will complete an updated JORC (2004) and NI 43-101 compliant Coal Resource estimate on Vista South. The Company expects to receive the coal quality results and the updated Coal Resource estimate progressively by mid-2011.
Analysis of the drilling results has indicated that through fault repetition the thickness of the McPherson seam is up to 28m in certain parts of the northern limb of the Entrance Syncline. The Company is currently analyzing the drilling results to increase its understanding of the geological structure and the surface mining potential on Vista South.
The Company plans to conduct additional drilling on Vista South in the coming months, which will incorporate the increased geological understanding from the recent drilling activity. The additional drilling will consist of approximately 15 to 20 drill holes which will further define the geological structure and test for extensions of the coal structure along the northern limb of the Entrance Syncline.
Vista South currently hosts a Measured & Indicated Coal Resource of 93.3 million tonnes ("Mt") and an initial Inferred Coal Resource of 75.0Mt. The current Coal Resource estimate is based on the Company's initial drilling program which occurred in 2010 and was confined to the North West portion of the project area. The updated Coal Resource estimate, which is expected in mid-2011, will incorporate data from drilling activity that has occurred since the initial resource estimate which was announced in November 2010.
For the complete Coalspur announcement including figures and tables, please refer to the following link:
http://www.abnnewswire.net/media/en/docs/542331.pdf
About Coalspur Mines Limited
Coalspur Mines Limited (ASX:CPL) (TSE:CPT) is a coal development company with approximately 55,000 hectares of coal leases located within the Hinton region of Alberta, Canada. Coalspur's flagship project is Vista, which covers approximately 10,000 hectares and provides a large scale, surface mineable, thermal coal development. Vista is located adjacent to CN Rail's main line, which is suitable for the transport of coal to deepwater ports on Canada's west coast. Coalspur has secured a port allocation agreement with Ridley Terminals Inc., which is essential to the logistics supply chain necessary to export coal from Vista to the growing demand from the Asia Pacific countries.
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