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The Hume Project
Hume Coal Pty Limited, a joint initiative of POSCO and Cockatoo Coal (Cockatoo), hold Exploration Authorisation 349, which covers an area of 115 km2 in the Southern Highlands of NSW, and is known as the “Hume Project”. The Hume Exploration Authorisation potentially allows exploration activities in an area west of Moss Vale and incorporates parts of the Belanglo State Forest. Authorisation for exploration in the Hume Project area was first granted in 1967, and various exploration programs have been undertaken since then.
On 24 December 2010, Exploration Authorisation 349 was acquired from the former lease holder.
The Hume Coal Resource
Historical exploration within the authorisation area has indicated that the resource is primarily coking coal. Coking coal is recognised as a valuable commodity due to the ability to produce “metallurgical coke”, which is an essential element in the process of steel manufacture. The Hume Project may potentially provide a significant opportunity to meet growing demand for coking coal, for use both locally and abroad.
Hume Coal Approvals and Permits
A Review of Environmental Factors (REF) was lodged with the Department of Industry and Investment (DI&I), detailing the proposed exploration program. This was assessed by the Environmental Sustainability Unit of the Department and determined that the activity would have minimal impact on the environment, and consequently approval to undertake the exploration program was granted on 6th May 2011.
In order for Hume Coal to undertake exploration activities in the Belanglo State Forest, which is classified as an exempt area, a separate approval was granted by DI&I on 11th May 2011, in accordance with the provisions of Section 30 of the Mining Act 1992. Furthermore, an Occupation Permit was executed on 21st April 2011 between Forests NSW and Hume Coal to allow access to the State Forest for exploration purposes.
Current Activities by Hume Coal
The Hume Coal project is set to commence aerial survey work in the Southern Highlands to help plan and inform exploration activities in the Authorisation area. Fugro Airborne Surveys has been engaged to complete an aerial gradiometry, magnetics and digital terrain model survey.
The survey is a low-impact exploration method that will provide valuable exploration data from across the lease area. Survey results will help Hume Coal focus its future exploration drilling activities on key areas of lease, potentially reducing the overall drilling footprint.
Hume Project Timeline
Hume Coal were appointed managers of the Project in January, 2011. The Project is still at a formative stage and there remains a minimum of two years of exploration, planning, environmental monitoring and socio-economic studies to be undertaken before the viability of a mining proposal can be ascertained.
Once the exploration program and environmental monitoring is complete, Hume Coal will be in a position to make an informed decision regarding the viability of a mine within the authorisation area. In the event that it is determined that it is possible to develop a sustainable mine, extensive environmental assessments will accompany a project application to the NSW government for determination. The development of a mine proposal sufficient to be lodged with the NSW government is likely to take up to two years to complete, and will be subject to detailed assessment and close scrutinity by a range of stakeholders including the community, environmental groups and independent scientific experts.

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