According to the release issued by Swiss mining group Xstrata plc on January 29, Xstrata's coal operations Xstrata Coal has registered a significant increase in its coal reserves and resources.
According to the release, as of June 30, 2008, Xstrata Coal's total reported managed coal resources had increased by 2.1 billion mt, comprising 1.6 billion mt of measured and indicated resources and 0.5 billion mt of inferred resources, while recoverable coal reserves had increased by 1.2 billion mt.
Included in these figures, the recently completed pre-feasibility study of the Wandoan Project in the Surat Basin of Queensland delineated more than 540 million mt coal reserves and an increase of more than 470 million mt in measured and indicated coal resources.
Other key reserve movements include a combined increase of approximately 300 million mt for the expansion of open cut operations in the Ravensworth West/Cumnock areas and a combined increase of more than 300 million mt from recent acquisitions, Mangoola, Tahmoor and Ravensworth Underground.
Total coal resources as on 30 June 2008 were 18.7 billion mt and total coal reserves stood at 3.6 billion mt, equivalent to a nominal life of 28 years at 2008 mining rates. The coal resources are inclusive of the coal reserves.
"This significant increase in reserves demonstrates the long-term strength of our current operations, supported by substantial resources which will ensure our continued growth," said Peter Freyberg, Chief Executive of Xstrata Coal.