Celsius Coal (ASX:CLA) has intersected record coal widths in the previously undrilled Kokkia license area, part of its Uzgen Basin Coking Coal Project in the Kyrgyz Republic.
Based on visual observation, the fourth hole drilled at the Kokkia prospect yielded a total of 16.5 metres of coal, which CLA believe to be record cumulative coal thickness for the area.
A mapping and drilling program commenced in July 2013 and is on track to be completed during October; following this, testwork to determine quality parameters and geological modelling will be conducted.
All drill holes thus far at Kokkia have intercepted coal formations; samples are being progressively sent to laboratory with results released as they become available.
Kyrgyz Republic borders China's Xinjiang Province, which has been highlighted as a special case for policy-led growth initiatives, including a total of RMB 2.1tn (US$333bn) to be spent to 2020 for infrastructure.
Xinjiang is looking to double steel production to 23mtpa by 2015, and with only 2% of Xinjiang’s coal being coking - this provides an opportunity for Celsius to potentially tap and supply this market in coming years.
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