NOVA SCOTIA – Royalty holder Morien Resources passed along an update from Kameron Collieries on the construction of the Donkin coal mine in Cape Breton.
Kameron has chosen not to conduct a feasibility study, but has recently begun production using a single continuous miner. A second machine will be added later this year. Two, dual coal sections are anticipated to be operational by the end of 2017. A typical coal section will consist of two continuous miners, six battery haulers, one feeder-breaker, and two roof bolters. The company has hired 64 of the estimated 135 full-time workers for the project.
The Donkin coal project in Cape Breton.
Construction of the coal handling preparation and processing plant are expected to begin before the end of June 2017. Washed coal will be high fluidity, high volatile metallurgical quality with 3.0% ash and 1.65% sulphur.
Kameron, an affiliate of the Cline Group, anticipates low mining costs and only short truck hauls to local power stations and deep water ports. The resource is pegged at 227 million indicated tonnes and 254 million inferred tonnes. With a probable reserve of 58 million tonnes, the Donkin project has a 30-year life.
Morien, holder of a 2% gross production royalty on the first 500,000 tonnes of coal sold each year, filed the Donkin technical report in November 2012 on SEDAR. Click here to find it. Or read more at www.MorienRes.com.