Pan Asia to produce 1.5MTPA of coal from underground mine

ASX-listed firm Pan Asia Corporation Ltd. Reported on Wednesday that a study indicated that its TCM underground coal mine project in South Kalimantan may be able to produce 1.5 MTPA with at least 15 years of mine life.

According to the study conducted by Polish firm Kopex concluded that the project was viable and economic with retreat longwall mining method considered most appropriate.

Coal produced from TCM, which has 53MT of JORC resource, will have CV of 6,534 Kcal/Kg (ADB).

CEO Alan Hopkins said "The completion of this study provides the Company with a roadmap to deliver the project to full production.

We now look forward to undertaking all work required to complete the Final Feasibility Stage and bringing this project into production".

The Company has recently commissioned this next phase of drilling and - further detailed testwork required for the completion of the Full Final Feasibility Study. The drilling results will also be utilised in the Full Final Feasibility Study to upgrade the existing JORC resource and for detailed mine planning, as well as assessing the open pit potential.

Pan Asia has 75% stake at TCM project. (alex)