Churchill looks for more reserves at E. Kalimantan coal project

UK miner Churchill Mining Plc. is working to find new reserves at its Sendawar coal project in East Kalimantan to make the project commercial.

?Although drilling in one target area has found coal, so far it has not been in economic quantities,? company Chairman, David Quinlivan said in a statement Friday without giving more detail.

Quinlivan said the company continued to work to identify the most promising areas for test drilling. It has begun a series of ground resistivity surveys, which it used to help predicting seam location and thickness and to improve drilling success rates.

The company had commenced drilling in the target area known as AAM and confirmed the presence of high quality coal.

Churchill is aiming for the ultimate target of discovering 200 million tonnes of mineable reserves, but in the short term is looking to discover 5 million tonnes to make the project commercial.(alex)