Last updated at 10:09, Tuesday, 05 February 2013

Drilling has started at a mining project that could create hundreds of jobs.

New Age Exploration (NAE), based in Melbourne, Australia, is exploring the Lochinvar coalfield, to the north and east of Longtown. This contains large quantities of coking coal, used to manufacture steel.

It announced that drilling had started in its latest statement to shareholders.

Managing director Gary Fietz said: “The commencement of drilling at Lochinvar marks an important milestone for NAE.

“We expect 2013 to be a very exciting year and look forward to releasing drilling results and JORC (Joint Ore Reserves Committee, an agency of the Australian Government) resource estimates throughout the year.

“The turnaround time of six months from acquisition to commencement of drilling is a great result and is a reflection of the efforts of our UK and Australian teams.”

The site was first explored by the National Coal Board in the 1950s. Other explorations were since made but never progressed to the area being mined.

This drilling is designed to bring data on the coalfield up to date. The first borehole is expected to be completed by the end of March. The company will then examine the quality of the coal and the commercial viabililty of any mine.

NAE has set up a subsidiary company in the UK to manage the exploration. The area stretches as far north as Evertown, near Canonbie, and south to Longtown.

The exact volume of coal that could be mined in Lochinvar is not yet clear.

The coal seam is at its shallowest in the north and west of the field and any mining operation would be likely to start from this point.

It would be extracted by miners working in a series of tunnels. A rail hub would be required to transport the coal.

The earliest date a mine is likely to be operative is 2016.

First published at 10:06, Tuesday, 05 February 2013
Published by http://www.cumberlandnews.co.uk