Draig Resources Limited (ASX: DRG) (“Draig”, or “the Company”)...

Draig Resources Limited (ASX: DRG) (“Draig”, or “the Company”) is pleased to announce that it has
intersected steeply dipping coal sequences with an apparent cumulative coal thickness of 20m to 40m
per hole, on three drill holes at the Teeg coal licence (13879x) located in Mongolia’s Ovorhangay
Province.
Draig said the coal intersected in three holes was relatively shallow and well within open pit mineable
depths.
Significantly, one of the holes is located approximately 3.5km from the coal intersections made by
Draig during a due diligence drill program prior to Draig purchasing eight coal licences in Mongolia’s
Ovorhangay and South Gobi regions.
At the time of this announcement the Company has completed eleven holes for a total of 1,650m,
which include four newly planned holes to assist further defining the full extent of the coal structure
in the western portion of the Teeg licence. A further 8 holes are planned for drilling over the coming
days.
Draig Managing Director Mark Earley said: “Although it’s still early stage, we are very pleased with the
initial drill results, particularly to have located this coal sequence. Most significant is the fact the coal
intersections seem to be in line with seams discovered during our initial drilling on Teeg.”
The coal intersections are being geophysical logged and are planned to be spot cored for coal quality
assessment as the drill program continues. These coal cores will be sent to the ALS laboratory in
Ulaanbaatar for quality and petrographic analysis.
The current drill program was designed to test the potential lateral extent of the coal seams identified
in the original due diligence drill holes BTE-001 and BTE-002. BT_01, BT_02 and BT_03 were planned
near the northern peripheral of the interpreted western coal trend based on the data available from
the due diligence drilling, surface mapping and geophysics.
The drill holes completed on the Teeg coal licence are shown on the map below, of which the drill
holes which intersected more than 20m of cumulative coal thickness are highlighted.
In addition to the drilling, the geologists on site have continued to intersect weathered coal during
trench digging over a distance of 100m, between original holes BTE-001 and BTE-002.
At the time of this announcement the drilling of two further holes had commenced.
The Teeg licence area covers 22km2 and sits immediately south of the 50 year old Bayanteeg open-cut
mine, which has extracted an estimated 5 million tonnes of surface coal to date.