New Age Exploration Ltd (ASX:NAE) has been granted an exploration licence, conditional mining licence, and option agreement at the Lochinvar Coal Project in the UK.
The new area, which was mined from the mid-1800s is known as Lochnivar North and adjoins to the north and east of the existing Lochinvar Licence.
Notably, an Exploration Target of 77-142 million tonnes of coking coal has been determined for Lochinvar North using a minimum seam thickness of 1.2 metres and a maximum depth of cover of 1,000 metres.
A work program initially aimed at defining a JORC resource has been planned using existing historical drilling and geological data.
Lochinvar North has the potential to extend the Lochinvar resource and increase project economics.
READ: New Age Exploration receives exploration and mining licence at Lochinvar Coking Coal Project
New Age’s executive director Joshua Wellisch said: “We are very pleased with the outcome of the review done by the highly experienced consultants at Palaris.
“The results underpin the expectations we have of the northern licence and highlight the overall value of securing the tenure.
“We look forward to progressing the whole of Lochinvar to the next stage and unlocking the value for shareholders.”
Aim is to define JORC resource
An initial 12 to 24 month work program has been developed for the Lochinvar North Licence Area.
The key aim of this work program will be to define a JORC compliant Resource to an Inferred and Indicated status – similar to that which NAE has already defined over the Lochinvar Licence.
The primary task for the first year will be a data collation, assessment, and interpretation of the Lochinvar North Licence area.