Reaching a significant milestone for the Moabsvelden thermal coal project, Xceed Resources has established a maiden Reserve capable of supporting a plus 15 year, open cut mining operation, assuming an annualised mine throughput of 3 million tonne per annum

Xceed Resources has delivered a 43.8 million tonne initial Reserve for the 74% owned Moabsvelden thermal coal project in South Africa’s key coal region of Witbank.

Following the establishment of Measured Resources, as well as the recent completion of a mining work program by mining consultants Belton Mining Group, Xceed has released Proved and Probable reserves of 30.7 million tonnes and 13.1 million tonnes respectively.

Mr Ian Culbert MD told Proactive Investors that Xceed is confident that it will be able to extend the mine life by potentially going underground. He said that “Our expectation at this stage is that a mine life in the order of 14 to 15 years currently exists, with excellent potential to increase this further.”

He added that “With total Proven and Probable open cast reserves of 43.8 million tonnes, the Moabsvelden coal project is well positioned to become a substantial, long life mine.”

Xceed continues to unlock the potential of Moabsvelden, and in October last year upgraded the Resource by 20% to 66.3 million tonnes and, importantly, 96% of this Resource is in the high confidence Measured category.

Extensive washability testwork has confirmed the resource contains a significant fraction of export grade thermal coal as well as domestic grade coal, with each accounting for about half of the total product.

(Sourced from www.proactiveinvestors.com.au)