Drilling at Waratah Coal’s North Alpha project has revealed an additional coal resource of 3.48 billion tonnes, nearly doubling the company’s total resources.
In a statement released yesterday, the company’s owner Clive Palmer said the miner’s total coal resources now stand at 7.4 billion tonnes.
Although the company has focussed mainly on its proposed $7.5 billion China First thermal coal project, Palmer said it had maintained an extensive drilling program at its Alpha North and Alpha West projects.
The North Alpha project is 40 km from the China First project in central Queensland.
The proposal includes a thermal coal mine, a 490 km heavy-haul railway line and a two-berth export coal terminal at Abbot Point near Bowen.
“The Alpha North and Alpha West projects will both benefit from the China First infrastructure,” he said.
Palmer has previously said the project will open up a new coal region in the Galilee Basin and generate 6000 jobs during construction and 1500 during operation.
As per an agreement with Waratah, the Metallurgical Corporation of China will to secure around 70% of the funds required to build the China First project.
The company has also made a submission to North Queensland Bulk Ports to develop the two Abbot Point terminals.
The company estimates that each terminal will cost about $2 billion and have capacity for about 30 million tonnes a year.