AQA 0.00% $3.37 aquila resources limited

Aquila Resources

  1. 470 Posts.
    This one interests me as I remember Toni Poli from Eagl;e Mining days. What's important I think is the coal resource. I hear that a large miner with nearby holdings is interested in doing a deal with AQA to market their coal for them. As I'm not really up on coal I'd be interested to hear what experts think of the resource as described.



    HOMEX - Perth


    Exploration test drilling was carried out in three of the coal
    permits during the Quarter. A total of 21 holes were drilled for
    2,371 metres and 88 samples were collected for preliminary coal
    analysis. Downhole geophysical logging was carried out where hole
    conditions permitted.


    The drilling on Arcturus was confined to the southeastern sector of
    the permit where coal seams at relatively shallow depths had been
    reported previously. Eleven holes were drilled for a total of 983
    metres and the results integrated with those obtained on Departmental

    The drilling has outlined a coal deposit that is comprised of up to
    four seams. The best developed of which shows good consistency over a
    strike of 3.5km. The intersected thickness of this seam varies from
    2.5 to 7.0 metres over a depth range of 17.5 to 64.0 metres to the
    seam roof. Dips vary from 1 to 3 degrees.

    The preliminary analytical results of the raw coal samples indicate
    similar analysis results as those reported for the departmental core
    holes in the area. It appears to be a high volatile bituminous coal
    with a moderate to high ash content. Swelling tests indicate that no
    coking fraction is present. Composite samples of coal plies from the
    one core hole drilled on this program have been submitted for
    washability testwork.

    The coal deposit occurs on the western flank of a northwest trending
    anticline. Erosion of the Rangal Coal Measures is evident along the
    anticlinal axis, which appears to have formed a structural high
    during the outpouring of the Tertiary basalt. The drilling has traced
    this structure for a further 10km into the permit. Thickening of the
    coal seams appears to occur on the flanks of the structural high.
    Repetitions of the coal deposit could exist at shallow depths along
    the structure presenting new exploration targets for future drill

    A follow up programme of slim core drilling is planned to better
    delineate the deposit and to collect representative samples of the
    seams for quality testing.


    The drilling done at Kingower consisted of three holes being
    completed for a total of 543 metres. The program encountered
    difficult drilling conditions which prevented the recovery of clean
    samples from the coal bearing sequences. Core holes will be required
    on future programs to overcome these contamination problems.

    The full suite of coal seams that characterize the upper portion of
    the German Creek Formation was encountered by the drilling. Little
    structural disruption is evident and there is good correlation of
    seams between the holes despite the wide spacing. The German Creek
    Seam is split into two seams, the lowermost of which appears to
    thicken up dip from the 1970's Departmental holes and to the west.
    From east to west the holes intersected the seam at depths of 176,
    162 and 150 metres respectively.

    Thick Tertiary cover effectively masks the Permian coal bearing
    strata over much of the permit area. It does thin to the west,
    decreasing from 139 metres in the east to 86 metres in the most
    westerly hole. The basalt component also thins out to the west and is
    replaced by sand and clay. The thickness of the cover would appear to
    restrict opportunities for the development of open pit mining
    operations to the western sector of the permit.


    Seven holes were drilled at Moranbah East, for a total of 845 metres,
    targeting the Rangal Coal Measures.

    The drilling shows that the Rangal Coal Measures contain two major
    coal seams. The uppermost, or Leichhardt Seam, is best developed in
    the northern sub-blocks. The seam thins and splits to the south and
    is not readily recognised in the drill holes there.

    The lowermost, or Vermont Seam, which occurs near the base of the
    Coal Measures, was intersected in all seven holes. Below these is a
    mixed sequence of coal and ash that forms the Girrah Seam of the
    underlying Burngrove Formation. Interpretation of the down hole
    geophysical logs will be required to better define the Vermont Seam
    and characterize the individual plies.



    Drilling was carried out at the Cato, Mawson and Torrens prospects
    during the quarter. A total of 960 metres was drilled, 633 metres of
    reverse circulation (RC) and 327 metres of diamond core.

    Two new exploration licenses were granted to Aquila. Lake Gilles (EL
    3020) covers a strong regional gravity high with associated magnetic
    anomalism. Eurilla Dam (EL 3021) covers the eastern contact zone of
    the Wilcherry Hill granite complex. The compilation of previous
    exploration results together with an assessment of the regional data
    sets will be undertaken prior to the commencement of fieldwork on the


    A diamond core tail was drilled from CAT 006 to follow up on the gold
    mineralised intersection recorded in CAT 005 of 14 metres at 0.9 g/t
    gold from 70 metres. The hole intersected granite gneiss and
    amphibolite with discrete zones of biotite alteration, but no
    mineralisation. The results indicate that the gold mineralisation in
    this setting occurs in shallow north plunging shoots and needs to be
    followed up along the trend of the plunge.


    Hole number MAW 001 was extended from 100 metres and diamond core
    drilled to 288 metres. It intersected red-rock (hematite) altered
    granite gneiss and amphibolite before finishing in albitised
    quartzite. The source of the coincident gravity and magnetic anomaly
    was not explained. It could be at a deeper level than reached since
    the depth range that was modelled of 200 to 400 metres was not fully
    tested. It was decided not to extend MAW 002 at this time but to
    reassess the situation when a better understanding of the geological
    setting is established.



    * Background

    Aquila has initiated and has been successful in its application
    against Pasminco and MIM for access to documents relating to the
    circumstances surrounding the extension of MIM's right of pre-emption
    in respect of Pasminco's interest in the Ernest Henry Mine, which
    Aquila had contracted to purchase in January 2001.

    Based upon the discovery of documents already provided to Aquila,
    Aquila has determined that it has a cause of action against Pasminco,
    and on 24 July 2002, lodged a final proof of debt for $153,715,872
    with the administrators of Pasminco. The amount claimed represents
    Aquila's assessment of its damages arising from the termination of
    its agreement to acquire Pasminco's 49% interest in EHM.

    * Current

    In addition to seeking orders for the inspection of documents from
    MIM and Pasminco which have been masked for relevance and in some
    cases privilege, Aquila had also been seeking orders that Credit
    Suisse First Boston hand over all of the documents in its possession
    relating to its role as financial and corporate adviser to Pasminco
    in the transaction.

    The additional documents that Aquila is seeking to discover will
    assist the Company in determining whether it has a cause of action
    against MIM (in addition to Pasminco itself). A decision as to
    whether proceedings will be initiated against MIM will be made once
    this process has been completed.

    For further information please contact:-

    Mr Tony Poli
    Telephone: (08) 9474 3311
    Facsimile: (08) 9474 4433
    Email address: [email protected]
    Visit us at:

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