mackenzie coal tenement (epc 14450), located i, page-5

ff,

Yarrabee and Jellinbah are both open cut PCI mines. They mine the Rangal Coal Measures which are late Permian in age and that far north are high rank coals suitable for PCI but I think actually too high rank for coking coal. I find some references to semi-soft coking coal in the area but it's not prime coking coal. I think realistically you'd call this a PCI deposit.

I don't have a structure map of the area but the way it's located between the two in an east-west orientation suggests to me that it's located in a syncline and is thus quite a bit deeper than at the other two mines.

This combined with the references to undergrond mining make me a little bit sceptical. Wait and see what depths they come up with in drilling.

You also have to ask yourself why this EPC was available - who relinquished it and why? From what I can see it was granted to Cougar in June 2011. That's at a time when there is almost no vacant coal tenure anywhere in the state.

Still, Garry Leblang knows his stuff, in fact he knows Qld coal better than pretty much anyone still in the industry. If he thinks there could be 100Mt+ of PCI there I've no doubt he's right. It's just a question of how mineable it is.