An area of 185 square km was taken up by SAPEX to allow it to evaluate afresh known sub-bituminous coal measures in the Permian Mount Toondina Formation that constitute the East Wintinna coal deposit. This deposit had been discovered by...
An area of 185 square km was taken up by SAPEX to allow it to evaluate afresh known sub-bituminous coal measures in the Permian Mount Toondina Formation that constitute the East Wintinna coal deposit. This deposit had been discovered by Meekatharra Minerals in 1982, when eight separate persistent seams of thickness >1 m were identified, that could be correlated with the seams in the Wintinna deposit located 30 km to the southwest. Individual coal seams range in thickness from 1 m to 7 m. The seams occur in a gross stratigraphic interval averaging 120 m in thickness, with a cumulative coal thickness ranging from 7 m to 26 m. On average, the coal has a low to medium sulphur content, high volatile content, medium specific energy, low ash, low alkali content and medium moisture content. The deposit is covered by ~170 m of Cretaceous marine Bulldog Shale overlying an average combined thickness of 70 m of Cretaceous to Jurassic non-marine Cadna-Owie Formation and Algebuckina Sandstone. Further exploration was conducted by Rank Geological Services for Meekatharra Minerals in 1983, to upgrade the resource status of the East Wintinna deposit. At this time a total of 27 holes for 9846 m were drilled, of which 4 were partly cored through the coal measures, to recover a total of 125 m of core for analysis [for viewing the relevant reports and data, see Env 5910]. Because the majority of holes were terminated above the Nilkinina and Waddikee seams, there was insufficient data to assess the coal resource contained within those seams, so therefore they were not included in the resource estimates which were calculated according to Australian industry Coal Codes applicable at the time, and published by Meekatharra in 1984, namely: - total Measured in situ resource = 231 Mt; - total Indicated in situ resource = 731 Mt; - total Assumed in situ resource = 1208 Mt. During the first two years of tenure, no work was done by the licensee. During licence Year 3, activities comprised making a detailed review of previous exploration reports and data for the licence area, the generation of a drillhole database, the digitising of pre-existing well log data, and undertaking informed calculations necessary for upgrading the resource status of the East Wintinna coal deposit to JORC compliancy. An initial Inferred Mineral Resource estimate that was prepared for SAPEX by consultancy group Geos Mining stated that the deposit contains 690 Mt of Permian sub-bituminous coal, whilst EL 3325 as a whole could contain an exploration target of between 2 and 3 Gt of similar coal. Because geophysical logs were available for only 12 out of the 27 previously drilled holes, SAPEX had them digitised and then was able to compile representative north-south and east-west cross sections through the deposit to aid in visualisation of the geometry of the coal seams. All of the newly built database on the deposit is appended herein, as is an internal report prepared by SAPEX for a study it made of Arckaringa Basin coal seam gas potential. During licence Year 4, in December 2007, Linc Energy Ltd signed a farm-in agreement with SAPEX and committed to drill 20 closely spaced resource definition holes at the East Wintinna deposit. The aim of this drilling was to better characterise the upper Mount Toondina coal seams by creating drill coverage at a nominal 1 km hole spacing, thus providing for a more accurate geological model and resource estimate, and also to provide additional information on coal properties and suitability for gasification. The drilling campaign commenced in August 2008, but due to ensuing operational issues with the contractors relating to how the drilling and hole sampling was being executed, the programme was cut short in December 2008. The total number of holes completed to depth as planned was 16 from 19 attempts. Each hole was partially HQ3 cored from the base of the Algebuckina Sandstone into the coal bearing Permian sequence. The total depth drilled by aircore rotary methods was 4866.9 m, and the total length of cores cut by diamond bits was 964.2 m. The 16 completed holes were geophysically logged. Coal and interburden proximate analysis provided information on coal quality plus specific information relating to the coal's suitability for gasification. However, the existing JORC resource could not be upgraded due to the inadequate amount of samples recovered and the poor quantitative nature of the well geophysical logs. Hole EEWC3 penetrated the deep Nilkinina Seam which had been identified as a potential underground coal gasification (UCG) target. For this reason, additional testing was completed on the drill core samples from this hole, including ultimate analysis, swelling tests, ash fusion temperature, ash composition and Fischer assay analysis. Coarse sandy sections of the non-coal Mount Toondina Formation interburden in the drill cores were selected for porosity and permeability analysis to aid in the understanding of aquifer isolation. This analysis was completed by ACS Weatherford Labs, and included mercury injection analysis to measure capillary pressure and likely gas / water movements during an underground gasification scenario. During licence Year 5, SAPEX continued to review the previous year's drilling and coal testing results, then updated the geological model for the East Wintinna deposit, and made application to PIRSA for the grant of a subsequent licence, which was approved. During licence Year 6, the first of replacement EL 4502 issued over the same area as before, no work was done. During licence Year 7, between May and August 2011, Linc Energy undertook a regional 2D reflection seismic survey totalling 1153.4 line km on its PEL 117 which surrounds and overlaps EL 4502, as well as on three other nearby PELs it held in the Arckaringa Basin (see Env 12502). Part of one seismic line, LNC11-09, was acquired over the subject EL 4502 in order to provide SAPEX with information about the depth and thickness of the coal bearing section and lateral continuity of the coal seams. Reflector horizons representing all of the coal seams in the East Wintinna deposit were able to be interpreted from the seismic section and tied to the existing coal exploratory drillholes. The seismic survey data confirmed the presence of the coal-bearing stratigraphic section over the whole EL 4502, and also indicated a possible extension of the deposit towards the north-west. During licence Year 8, no field work was done. In May 2012, SAPEX engaged Xenith Consulting to complete a full review of all exploration data for the East Wintinna coal deposit for the purpose of calculating an updated JORC Measured and Indicated resource figure for the identified seams. In February 2013, SAPEX engaged Agapito Associates to undertake a geotechnical rock mass Fatal Flaw Analysis for guiding any future instance of underground longwall mining of the deposit. During licence Year 9, no work was done. An application to fully surrender EL 4502 was submitted by SAPEX to DMITRE on 3/6/2014.