Fitzroy opts to pick up WV properties

FOUR months after confirming it had signed an option agreement to take over 100% of US-based Premier Coking Coal, Australian Securities Exchange-listed Fitzroy Resources says it has completed its exercised option to acquire two properties in West Virginia.

Donna Schmidt

The company said it had made a full report available for review on the Emmaus and Blackstone properties.

During due diligence drilling, Fitzroy intersected 1.2m of Beckley seam coal, a “significant” coal intersection it said warranted further testing.

“The same hole penetrated 0.5m of the Fire Creek seam,” the company said.

It added that once it had pulled out from the core it was unable to continue the hole and thus abandoned without further determinations on the intersection.

With three permitted drillhole locations at the northwestern, eastern and southern boundaries of the Emmaus property, the company said it would drill the locations to test for the presence of the Beckley and Fire Creek seams.

Results are expected during early 2014.

Fitzroy said it had also submitted an application to the West Virginia Department of Environmental Protection for drilling permits at Blackstone.

“[We are] in the process of finalising the design of the program for further below drainage exploration at Emmaus,” it said.

In related news, Australia-based Fitzroy confirmed over the holiday last week that it had appointed Benjamin Lane as its permanent CEO.