East Energy Resources (EER)

Shares / Stock Code

EER

Stock Exchange / Sharemarket

Australian Securities Exchange

East Energy Resources (EER) is an Australia-based company engaged in mineral exploration. The Company’s coal projects consist of two Exploration Permits for Coal (EPC’s), located in central Queensland. The Blackall - EPC 1149 tenement covers a total area of approx 900 square kilometer and is the Company’s most advanced project. It is located 25 kilometer south of the township of Blackall, in the eastern part of the Eromanga Basin. Warratah Coal’s Galilee Coal Project is located approximately 125 kilometer to the NNE of EPC1149. EPC 1066 Capella, consists of 179 sub-blocks, and surrounds the Central Queensland township of Capella.

The Capella project area extends from 15km west to 25km east of the township of Capella and is covers approximately 20km from north to south. The area is secured by EPC 1066 of 113 blocks or about 400 square kilometres. The tenement was granted on 26 February 2007. Rail Infrastructure exists at Capella and extends through the western part of the tenement.

Queensland coals range in age from Carboniferous, 350 million years (Ma) in age, to Tertiary (65 Ma). The commercially significant black coals are restricted to deposits within sedimentary basins of Permian (280 Ma), Triassic (250 Ma) and Jurassic (200 Ma) age, located mainly in the central and eastern portions of the state.

The coal deposits of Permian age are by far the most commercially important. Of the State's black coal inventory in excess of 30 billion (x109) tonnes (measured and indicated resources), Permian coals account for approximately 75% of the total resources, including almost 100% of the coking coal and about 60% of the thermal coal resources. Permian coals within the Bowen Basin in central Queensland account for approximately 70%, of the State's coal inventory, while Mesozoic coals found mainly in the Clarence-Moreton, Surat, Callide and Tarong basins, make up the remainder. Shallow coal potentially amenable to open-cut mining makes up about 55% of the inventory, with the remaining 45% present at greater depths. The most important Permian coal basin is the Bowen Basin, which is exposed in a large, triangular-shaped area of central Queensland, 600km long and up to 250km wide. The basin extends south in the sub-surface beneath Mesozoic sediments of the Surat Basin, and connects with the Gunnedah and Sydney Basins in New South Wales.

Coal seams in the Bowen Basin exhibit major variations in rank and quality, reflecting both the depositional and tectonic history of the basin. A broad trend of increasing rank from west to east has long been recognised, and was used as a guide for coal exploration targets during the late 1950s and early 1960s.

Along the structurally disturbed north-eastern edge of the Bowen Basin, the coals range in rank from anthracite to low volatile bituminous, and deposits tend to exhibit a complex structure. Coals in the central part of the basin are medium to high volatile bituminous and include the best coking coals. Structural deformation in these deposits is generally relatively mild.

In the southwest, the coal rank falls below the coking range with a consequent loss of coking properties. The more significant deposits in this region are usually low ash non-coking coals and generally are not affected by major structural deformation apart from normal faulting. The westerly decrease in rank continues across the Springsure Shelf and into the Galilee Basin. An exploration drilling program by East Energy Resources was completed at Capella, EPC 1066, in the Bowen Basin during the middle of 2009. A total of 16 exploration holes were drilled at approximately 4km centres, to depths of between 100m and 150m. No coal seams were intersected. Whilst this result was disappointing, the program had been designed to test for the presence of any isolated sub-basin that could potentially contain significant coal seams near the surface. Results from the drilling have shown that this does not occur.

Accordingly , the East Energy Resources board have decided that no further field work will be undertaken at present. The option of exploring for deeper deposits for underground coal or underground gasification is still an option being considered by the board.

East Energy Resources (EER) Products and Services

  • Coal exploration

East Energy Resources (EER) Locations and Subsidiaries

East Energy Resources Head Office
Level 7, 16 St Georges Terrace,
PERTH, WA 6000
Phone: 61 8 9225 5833
Fax: 61 8 9225 7311

East Energy Resources (EER) Share Price

Submitted by ASX Listed Company on 18 March, 2010 - 01:34

Download our FREE App


Signup for Free
Don't miss out on your free share trading articles.


Free Risk Money Management Calculator for those who sign up!