Coal glow for Strategic
Article Date: Oct 14 2008Strategic Natural Resources says its South African subsidiary has increased its estimated coal resources 140 per cent to 97.2 million tonnes.
The AIM-quoted company, run by ex-Minmet boss Jeremy Metcalfe, owns 74 per cent of Eletheni Coal, which has confirmed this resource increase at Indwe in South Africa’s Eastern Cape Province. At a time when South Africa is bedevilled with power shortages, Strategic says 44.5 million tonnes of its overall resource estimate fall into the measured category and reports that Elitheni’s mining engineering consultant Rudi Gerber has confirmed 52 million tonnes of extractable coal.
According to Strategic, the area it now has under exploration and application stands at roughly 190,000 hectares, of which it has so far drilled only 2,500 hectares. Floated last year at 30p, the shares now stand at 23p, valuing the company at £14.95 million.
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