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Underground coal gasification exploration target in Wales announced

World Coal,

Cluff Natural Resources (CLNR) has announced an initial exploration target of between 980 million and 1.23 billion t of coal within its 100% owned underground coal gasification (UCG) licence at Point of Ayr, North Wales. 

CLNR's independent consultant, FWS, confirmed the target in accordance with JORC.

The exploration target range is calculated on an in situ basis, with no recovery factors applied. The exploration target focussed on seven individual coals seams with average thicknesses between 1.75 m and 4.18 m present at depths of between approximately 500 m and 2000 m below ground level. 

On an energy equivalent basis this coal exploration target contains the same amount of energy as 23.3-29.2 trillion ft3 of natural gas. 

The coals are expected to be high volatile, bituminous, weakly to strongly caking, usually less than 10% ash (air dried basis) and 1.5% to 2.5% total sulfur. The company considers the quality of this coal to be suitable for UCG.

Chairman and CEO, Algy Cluff, said: "This report confirms the potential scale of coal held within our Point of Ayr Licence Area. This exploration target, along with our recent resource estimate at our Kincardine Licence, highlights the extent of stranded coal in the UK and the significant role that UCG has to play in unlocking this important indigenous asset.” 

"A coal deposit of this scale being exploited by UCG also brings with it the potential for significant local investment, stable long term jobs and increased energy security for the UK. North Wales has already seen the benefits that new hydrocarbon developments can bring to former coal mining areas with the Talacre facility at Point of Ayr and we believe that our own projects will be similarly beneficial,” Cluff continued.

"The UCG projects being undertaken by CLNR have significant environmental, safety and, when combined with carbon capture and storage, climate change benefits compared with coal mining and coal-fired power generation. We believe that UCG will help provide a cleaner energy, diversity of supply and energy security for the UK. Given the massive potential within this licence area, our understanding of the potential resource will have to be progressed in a thoughtful and considered manner, ensuring that the community is fully informed and involved in each step of the process. Our key priority is to work with the community to develop an asset which will bring significant benefits to the surrounding area," Cluff said. 

Edited from various sources by Sam Dodson

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