Sydney - Wednesday - August 8: (RWE Aust Business News) -...

Sydney - Wednesday - August 8: (RWE Aust Business News) - SAPEX
(ASX:SXP) has reported a significant expansion in the initial inferred
resource estimate for coal deposits and potential coal seam gas content
within the Arckaringa Basin exploration licence areas in South
Australia.
The new inferred coal resource estimate is one billion tonnes
ofsub-bituminous coal in six seams located in the south-central area of
the licence.
Outside of this inferred resource there is an exploration target
of 2bn tonnes of sub-bituminous coal within the EL area.
"The outcome of the initial study on EL 3326 indicates a
potential for some 300 billion cubic feet to 900 billion cubic feet of
Coal Seam Gas (CSG), based on a notional gas content of 300 scf/tonne,"
managing director Andrew Andrejewskis said.
"When combined with the results of the study on EL 3325 (Wintinna
East) - which was reported on 25 June this year - the two ELs combined
have an in-place potential for CSG of between 507 billion cubic feet to
more than 2 trillion cubic feet.
"This combined CSG estimate only covers the areas of EL 3325 and
EL 3326 and does not include the remainder of the Arckaringa Basin which
is held by SAPEX in seven Petroleum Exploration Licences (PEL) covering
65,000 sq km."
SAPEX shares were last traded at 27.5c.
ENDS

Cheers markco2