Intra Energy (ASX:IEC) has secured substantial strategic coal exploration licences in Malawi, that supports its planned East African expansion.
It was granted the North Rukuru EPL0376/2013 covering 318 square kilometres immediately south of existing ML0143/2005 and another tenement Ngana EPL0377/2013 covering 231 square kilometres south of the Tanzanian border.
Historical exploration has been undertaken over the lease areas, principally under the guidance of the Malawian Geological Survey, which shows both Ngana and North Rukuru host large, shallow coal resources.
Intra Energy recently carried out exploration mapping as part of a sponsored due diligence program and has located numerous outcropping coal seams throughout the lease areas with good quality thermal properties.
It will start detailed and systematic exploration of the leases to quantify and qualify the resources and also conduct a significant exploration program over the next four months with the aim of obtaining a JORC resource upon completion.
These coal resources will cement Intra Energy's plans for supplying Malawian coal to an Intra Energy sponsored thermal coal fired power to be developed at Chipoka in Malawi’s Central Region.
It had a cash position of $4.2 million at the end of last quarter.
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