Bowen’s evaluation of previous drilling identified an area of some 68 square kilometres within EPC1045 that could have the resources and dimensions for a mine development.

The exploration program currently underway has the company aiming to uncover a coal seam of necessary thickness for longwall mining.

Bowen said the program would also determine the continuity of coal in a large mass, analysis of core to accurately confirm coal quality and geotechnical information relating to roof and floor conditions for mining and seam gas.

Open-hole drilling results in the project area suggested a number of thin coal seams ranging from 0.3m to 2m could exist at depths of 300m to in excess of 600m, with Bowen considering 500m to be the economic limit for longwall mining.

From an in-house review of its East Middlemount project, the company said there were significant disturbances throughout the project areas which potentially fractured any economic sequence of coal seam being present.

Bowen ended the March quarter with a $A193,000 cash position.