The following is an update from an Oct 28th management...

The following is an update from an Oct 28th management presentation.

South Pentland drilling has revealed 10-15m coal seams over a 100m interval. These are the same Galilee seams that Hancock, Adani, Macmines and Guildford have found. This could be mined using longwall methods, as with those other mines. A JORC exploration target will come in 1Q 2012.

Rolleston South (also in the Galilee Basin) is also being drilled now. BWD is drilling right next to XStrata's Rolleston mine. They say they have intersected shallow coal, which is positive. This is a potential open cut mine, right next to all necessary infrastructure. BWD also states that it has priority EPCs pending in this area which host semi-soft coking coal targets (which is the first time I have heard BWD mention higher value coking coal grades).

This stock reminds me of a similar (albeit slightly smaller) Guildford Coal (GUF). Similar cash on hand ($11m vs. $15m), large area of choice EPCs, 4 drill rigs vs. GUF with 6 drill rigs. GUF is about 6-12 months ahead of BWD. BWD market cap $40m, GUF market cap $400. Now is the time to load up, don't wait for JORC to be announced, it will be too late.

The CEO is ex-XStrata and the Exploration Manager had the same job at Hancock. And it's backed by Noble Group, who want to expand aggressively into Queensland energy coal.

All IMHO.