Coking Coal Near Clermont

A massive find of coking coal near Clermont; is it true? Yes, it is! I have been asked for further information.

It is a great story of three young blokes who decided to keep drilling when most companies stopped coal exploration a few years ago. Their company is called Vitrinite Pty Ltd.

The slowdown in exploration itself certainly had a negative effect on our local economy. For example in Queensland alone in 2011-2012 coal exploration spending was $718m but in 2015-2016 had dropped to only $119m.

They found coking coal in the Karin Basin tenement, which is in the Bowen Basin near Clermont. The Principal Geologist, Dr Guy LeBlanc Smith said the Karin Basin deposit contained extraordinary metallurgical coal despite being on the western edge of a known thermal coalfield.

He also said “The potential for this area was not fully appreciated until now,” and went on to say, “An oasis of high-quality coking coal has been found on thermal coal terrain.”

The seams are reportedly up to 15m. High-quality coking coal can command up to three times the price of thermal coal because of its scarcity and value in steel production.

The quality of this find

The fluidity of the Karin Basin coal ranks among some of the worlds best as new sources of high-quality coals continue to diminish globally.

Will this create many jobs?

Vitrinite Managing Director, Nick Williams said the planned mine would generate 300-400 jobs during construction and 250-300 jobs during full production.

Director and Co-founder Ryan Welker said many corporations had mistakenly written coal off. He went on to say, “Some big companies are getting out of the industry, but the reality is demand for Queensland coking coal is strong and thermal coal still has a big future in Asian markets.”

What about Wilson Creek?

Wilson Creek is about 20km north of Glenden and contains 61 million tons of highly accessible thermal and metallurgical coal. It will be open-cut and will create 50-60 jobs.

These will not be Fly in Fly Out; Ryan Welker has said that they have been fortunate to find these incredible deposits and they will ensure that the whole community benefits by all its future permanent mine employees being hired locally.

I had great feedback on my positive vision for the future of the Central Highlands from last week and this is the icing on the cake.

Steve Taylor

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At the helm of Steve Taylor & Partners, Steve Taylor has been delivering expert advice and product knowledge to clients for over 30 years. Steve Taylor & Partners provide individuals, couples and families with the right strategies to create wealth and change their lives with solid bricks and mortar.

DISCLAIMER

Steve Taylor & Partners blog is opinion and not advice. Readers should seek their own professional advice on the subject being discussed. The figures stated in this article were accurate at the time of publication. For up to date figures, please contact our office.