The initial holes intersected thick coal with cumulative thicknesses of 9.28m, 34m below surface and 10.89m, 42m below surface.

Continued drilling has confirmed the continuity of thick seams over 500m of strike length.

Previous work has demonstrated the coal has good coking properties.

The holes are part of a larger 1500m Amaam North program that will drill 15 holes covering an area of about 1.5sq.km.

Tigers Realm chief executive officer Craig Parry said the company had targeted the Amaam North area for low capital cost, early production of direct shipping coking coal.

“We believe the shallow, thick Lower Chuckchi coal seams are highly prospective and there’s a strong likelihood we can convert the exploration target into a resource in coming months as the drilling program progresses,” he said.

“Success at Amaam North will see us rapidly advance the project to establish a large scale, high-quality coking coal operation with the use of the existing port infrastructure close to site making it one of the most competitive suppliers into Asia.”

Coupled with the initial Amaam North results, work continues on completing the company’s Amaam Project prefeasibility study by the end of the first quarter 2013.

“Together with Amaam and Amaam North we have the potential to deliver a resource base of more than 1 billion tonnes of coking coal within the two project licences and assist Tigers Realm Coal in its aim of becoming a global coking coal leader,” Parry said.