Cockatoo Coal : Baralaba North Resource Report

COAL RESOURCE REPORT‌‌‌‌‌‌‌‌‌‌‌‌‌‌‌‌‌‌‌‌‌‌‌‌‌‌‌‌‌‌‌‌‌ - BARALABA NORTH COAL DEPOSIT

Queensland, Australia

Prepared For

COCKATOO COAL LIMITED

By

John T. Boyd Company

Mining and Geological Consultants Brisbane, Australia

Report No. 5153.004

NOVEMBER 2016

John T. Boyd Company

Mining and Geological Consultants

Chairman

James W. Boyd

President and CEO

John T. Boyd II

Managing Director and COO

Ronald L. Lewis

Vice Presidents Richard L. Bate Robert J. Farmer James F. Kvitkovich Russell P. Moran Donald S. Swartz John L. Weiss Michael F. Wick William P. Wolf Managing Director - Australia

Ian L. Alexander

Managing Director - China

Iisheng (Jason) Han

Managing Director - South America

Carlos F. Barrera

Managing Director - Metals

Gregory B. Sparks

Assistant to the President

Mark P. Davic

Brisbane John T. Boyd Company (Australia) Pty. Ltd.

ABN 76 095 540 417

Level 11

388 Queen Street

Brisbane, QLD 4000

61 7 3232-5000

61 7 3232-5050 Fax

[e-mail]

Pittsburgh (Headquarters)

[phone]

[e-mail]

Denver

[phone]

[e-mail]

Beijing

86 10 6500-5854

[e-mail]

Bogota

[phone]

[e-mail]

www.jtboyd.com

23 November 2016

File: 5153.004

Cockatoo Coal Limited Level 4

10 Eagle Street

Brisbane QLD 4000

Attention: Mr Brian Wyatt

General Manager - Baralaba Mine

Subject: Coal Resource Report

- Baralaba North Coal Deposit

Dear Sir

This report presents John T. Boyd Company's [BOYD] Resource Report for the Baralaba North coal deposit which has been prepared in accordance with the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves, 2012 Edition.

In preparing this report, we undertook a rigorous review and compilation of available data for the deposit. A site visit was undertaken by Mr Benson, BOYD Senior Geologist prior to completion of the report.

Respectfully submitted,

JOHN T. BOYD COMPANY

By:

John T. Boyd II President and CEO

U:BOYD_PROJECTS5153.004 Cockatoo Coal Resource Statement Baralaba NthReportFinal5153.004 Cvr_Ltr 20161123.docx

TABLE OF CONTENTS

Page

LETTER OF TRANSMITTAL TABLE OF CONTENTS

1. GENERAL STATEMENT 1-1

2. Introduction 1-1

3. Project Overview 1-1

4. Scope of Work 1-2

5. BOYD Project Team 1-2

6. Disclaimer 1-2

7. Statement of Interest 1-3

8. JORC Declaration 1-3

Figure 1.1: General Location Map 1-5

1. SUMMARISED FINDINGS 2-1

2. Introduction 2-1

3. Coal Resource Estimates 2-2

4. Comparison with Previous Estimate 2-3

1. PROJECT DESCRIPTION 3-1

2. Location 3-1

3. Tenure 3-1

4. Topography 3-1

5. Baralaba North Mine 3-2

Figures

1. 1: Map Showing Baralaba North Tenements 3-3

2. 2: Topography Map 3-4

1. GEOLOGY AND COAL RESOURCES 4-1

2. Exploration History 4-1

3. Previous Exploration 4-1

4. Exploration by CCL 4-1

5. Hole Types 4-1

6. Geological Logging 4-2

7. Sampling 4-2

8. Geophysical Logging 4-2

9. Laboratory Analysis 4-2

10. Data Management 4-3

11. Geological Setting 4-3

12. Regional Geology 4-3

13. Deposit Geology 4-3

14. Coal Quality 4-5

15. Table 4.1: Drill Hole Types 4-6

    TABLE OF CONTENTS - Continued

    Figures

    Page

16. 1: Borehole Location Plan 4-7

17. 2: Structural Features 4-8

18. 3: Cross Sections 4-9

19. 4: Generalized Stratigraphic Column 4-10

Seam Thickness

4.5: Boyd 4-11

4.6: Cameron 4-12

4.7: Reid 4-13

1. 8: Doubtful 4-14

2. 9: Dawson 4-15

3. : Dunstan 4-16

4. : Wright 4-17

5. : Coolum 4-18

6. : Dirty 4-19

7. : Depth Of Weathering 4-20

Raw Ash (% ad)

4.15: Boyd 4-21

4.16: Cameron 4-22

4.17: Reid 4-23

1. 8: Doubtful 4-24

2. 9: Dawson 4-25

3. 0: Dunstan 4-26

4. 1: Wright 4-27

5. 2: Coolum 4-28

6. 3: Dirty 4-29

1. DATA ANALYSIS AND MODELLING 5-1

2. Data Analysis 5-1

3. Seam Intersections 5-1

4. Coal Quality 5-1

5. Modelling 5-2

6. Topography 5-3

7. Structure 5-4

8. Coal Quality 5-4

9. In Situ Moisture 5-5

10. In Situ Density 5-6

11. Table 5.1: Seam Intersection Statistics 5-7

12. RESOURCE ESTIMATION 6-1

13. Resource Classification 6-1

14. Reasonable Prospects for Eventual Economic Extraction 6-1

15. Points of Observation 6-1

16. Resource Limits 6-2

17. Confidence Criteria 6-2

18. Resource Estimation 6-3

19. Estimated Coal Quality 6-5

20. Previous Estimates 6-5