With the 70% acquisition of the Kodiak Coking Coal Project in June 2012, Attila secured the mining rights to the Atkins and Coke seams from RGGS Land & Minerals LP. Located 3.5 kilometres north of the Seymour Property (acquired in December 2012), together the Gurnee and Seymour Properties collectively form he Kodiak Coking Coal Project.
Covering an area of 7,770 acres, the Gurnee Property is host to the Atkins and Coke coal seams which are fully permitted with key environmental and mining approvals in place. Both seams have previously been surface mined along much of their outcrop with the resultant highwalls providing sites for the development of underground entries. Approximately 100 historical coal bed methane wells and 10 core holes were drilled on the Kodiak Project from 1980 through to 2007.
Coal seams outcrop along the western margin of the property and generally dip to the southeast to a depth of around 780 metres at the deepest point on the Atkins seam, with 75 percent of the resource lying at depths of less than 600 metres. The drilling results to date indicate that the coal seams are continuous with no apparent offsetting or faulting.
Long Section of the Atkins and Coke Seams on the Gurnee Property
In October 2012, the maiden JORC Resource of 81Mt was announced following an initial drill program that commenced in July 2012.
The Inferred Resource has been defined by Attila’s independent consultants, Stagg Resource Consultants Inc. and is based on data collected by the Company from the first eleven holes of its Phase 1 diamond core drilling and sampling program and from historic data acquired from the property owner and from prior operators.
Phase 1 drilling producing 13,500 metres of core from 23 continuously cored diamond drill holes has now been completed and Stagg Resource Consultants are preparing estimates of resource tonnage in the measured and indicated categories.
The results used to define the 81Mt Inferred Resource indicate that the coal found at the Gurnee Property is a premium hard coking coal with the following important characteristics over the major portion of the Property:
To aid in mine design and planning, desorption testing of coal bed methane content is being conducted on the coal cores and physical testing of rock strength and related characteristics is being conducted on selected roof and floor cores of the two coal beds. This data will be part of the work program used as part of the Bankable Feasibility Study which is expected to formally commence in 2013.