ULAAN OVOO RESOURCES

Ulaan Ovoo is a coal deposit of Jurassic age, which occurs in a small syncline measuring 2 km in length and 1.6 km in width. The area is divided into southern and northern parts by an east-west fault. The deposit area contains two main coal seams (with aggregate coal thickness of up to 63 m). Within these two major seams, five thinner splits have been defined. The seams include 5 to 11 definable partings of clay and sandstone with thicknesses ranging from 0.15 to 1.0 m. The resource estimate is summarised below:

Ulaan Ovoo Property's Summary of Mineral Resources
  Measured Resources
(Mt)
Indicated Resources
(Mt)
Total (M+I) Resources
(Mt)
Ulaan Ovoo 174 34 200.8

Resource numbers are from the May 2009, 43-101 Prefeasibility Study by Minarco-MineConsult (Australia). Click here to access the report.

The total Mineral Reserve Estimate is 20.7 M proven t (Mt) of Product (Low Ash) Coal in a Prefeasibility Study by Wardrop Engineering released on December 16, 2010. Mineral Reserve estimate considers only the first phase of the project development of the Mineral resources contained in the Ulaan Ovoo project. Opportunity may exist for extension of additional low ash reserves to the south with an expanded pit and a higher throughput rate. All coal quality values are stated on an "as received" basis. Dec 2010, 43-101 Prefeasibility Study Update (PP of 20 mt) (File size: 5.0mb)