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Coal production will begin in the new pit, located in the central part of the tenement area, ramping up to 30,000 tonnes per month.
That coal will be trucked to the barge-loading facility at Tampang Village, 27km from the mine site.
Orpheus is not responsible for any capital, operating or coal mining expenses under the life of mine arrangement it has with contractor, PT Debbia Mining.
It will, however, receive a net royalty of $US8 per tonne of coal sold.
At the expected production rate, this will earn Orpheus $US240,000 a month.
The B2 JORC resource of 950,000t indicated and 180,000t inferred will provide a mine life of about three years.
The mine plan allows for Debbia to move to the adjacent B6 project – which has an exploration target of 1.5 million tonnes to 2.5Mt – as B2 coal reserves are depleted.
Orpheus is starting a JORC drilling program at its B34 project, about 60km west of B2, in October. This is aimed at delineating additional resources to continue mining in the area.
