The Perth-based explorer has lifted its earlier target of 200-220 million tonnes of thermal coal to 500-550Mt in EPC 1149 based on results from over 200 rotary air blast holes and 40 core holes.

“The anticipated resource increase is not unexpected as we have drilled more than 300 square kilometres of our 867 square kilometre exploration permit area,” East Energy managing director Mark Basso said.

“Exploration results, and the assays flowing from laboratory analysis carried out at ALS in Emerald from the core samples, indicate an average cumulative coal seam thickness of more than 4 metres.”

East Energy said unweathered and significant coal seams had been discovered as close as 12.77m from the surface.

So far, modelling and exploration have East Energy projecting that thermal coal blending onsite will produce an average air dried calorific value of some 5000 kilocalories per kilogram.

Basso said the company was working towards releasing the JORC resource statement in the first quarter of 2009.

To meet JORC requirements the junior will use a specialist consultancy firm to undertake further resource modelling.

East Energy shares last traded at 20c up 4c from yesterday.