Challenger eyeing production permit for Tabang coal project

Canadian coal exploration firm Challenger Deep Resources Corp. reported on Monday that following the issuance of the IUP Exploration permit for the ATRP property, in Tabang, East Kalimantan, it has completed a drill program producing results which have encouraged the company to initiate the steps required to obtain an IUP Operation Producing (Mining) permit for the property.

Fundamental requirements for the mining permit application by the company include the preparation of both feasibility and environmental impact studies, both of which have now commenced, the company said.

PT Integral Multi Talenta, a Mines Department of Kutai Kartenegara region approved consultant, has been engaged to prepare the environmental impact study. Challenger's mining consultants, PT Bestindo Kwadratama have been engaged and are preparing the Feasibility Study.

In addition, as part of the process to bring the ATRP property into production, a 300 ha area has been targeted for initial mining. The area is presently being detail mapped and sampled in order to optimize the reserve delineation drill program. 120 ha of this detail mapping and sampling has been completed to date.

Challenger's Tabang Project presently comprises four properties, the ATRP property and the Pelangi property, both of which are under Conditional Sales and Purchase Agreements, and two other properties under MOU for acquisition. Challenger is reviewing additional acquisition candidates within its overall Tabang Project area, it said. (romel)