gazman2011, page-4

I stand by what I say guys...

Have a look at the stratigraphy... NRL have correlated the seams with the Fair Hill Formation.... The bottom of the Fort Coopers.

In my opinion you just confirmed what I said: Washability testing yielded an average cummulative float fraction of (for example) 55% for an ash content of 27%. Did you read this? Do you know what it means? It means for a 27% ash coking product you are throwing away 45% of your coal. How do you think that stacks up at a 20% / 15% / 10% product? Not very good and this is in ideal lab conditions.

Try putting that through a wash plant rather than ideal lab simulation conditions and the scenario gets worse.

Highest I have heard of anyone selling a coking product was at the height of the Boom a few years ago at 20%. That comes at a significant discount and is essentially a by product that quite often gets thrown away.

I have seen thousands of meters of Fort Cooper material in core.... If you saw it you would hardly recognise it as coal. The banding is intense and pervasive. The coal itself is high ash. This causes major problems in a wash plant as your product is easily sent to the reject circuit. Your fines circuits will be overloaded and it will be incredibly difficult to handle i.e. even to get this clay out of a dump bin will be a drama.

My view is not outdated... I am a practicing professional geologist. I am very familiar with this material. It was also a major topic of discussion and disgust at the recent Bowen Basin Symposium. Many of the Senior geologists thought very dimly of some of these proposed developments.

You guys are being mined... plain and simple.

I will leave you with this little gem of a quote you seem to have over looked:

"While the Fort Cooper and some of its equivalents are coal
bearing, a l l coal seams are intensively banded with tuffaceous claystones, and have marginal or no economic value at present.

Gaz