Hunnu Coal ups stake in Unst Khudag Coal Project in Mongolia to 80%

Hunnu Coal

Hunnu Coal (ASX: HUN) was incorporated in Australia for the purpose of acquiring and developing coal projects in Mongolia. The Company operates in Mongolia through its subsidiary company Hunnu Resources LLC, a Mongolian incorporated company.

Through a series of acquisition and joint venture agreements, Hunnu has built a diverse portfolio of exploration tenements spread throughout the various coal basins of Mongolia. The company considers these tenements to be prospective for high quality coking and thermal coals able to be developed for both the domestic and export markets.

Hunnu Coal is positioning itself for increased demand for coal with a pipeline of unique exploration and development projects in strategic locations that will help to provide for future growth and expansion.

Hunnu Coal (ASX: HUN) has acquired a further 15% interest in the Unst Khudag Coal Mine and surrounding licenses including the new Har Toirom Coal Discovery.

Hunnu Coal now has an 80% interest in the Unst Khudag Coal Project which has an initial JORC Measured, Indicated and Inferred Resource of 324 million tonnes (Mt) to a depth of 140 metres.

This Resource is based on less than 30% of the available data and an updated JORC Resource is currently being calculated.

Coal analysis reveals a high quality thermal coal with an average calorific value of 6,784 kcal/kg dry ash free (daf).

The Unst Khudag Coal Project is located in Dundgobi province, Mongolia, and is situated about 180km from the Mongolian railway grid.

The project consists of two exploration licenses and one mining license covering a massive 59,000 hectares of area.

The Unst Khudag Coal Mine aims to provide a high quality premium thermal coal product to service both hungry domestic and Chinese off-take customers and has an Exploration Target of 250Mt to 500Mt.

Source:Hunnu Coal