Coal Asia mining venture in Davao endorsed for ECC
Filipino-owned firm Coal Asia Holdings is awaiting the issuance of its environmental compliance certificate (ECC) before it can move to the next phase of its exploration and anticipated commercial development at its coal operating contract (COC) in Davao Oriental.
The company, in a press release, emphasized that the Department of Energy (DOE) has "favorably endorsed its coal mining project to the DENR (Department of Environment and Natural Resources) for the issuance of ECC."
Coal Asia added that "the coal resource and reserves have been reported and were validated by the DOE."
It similarly indicated that it "completed all pre-development work in the first quarter of 2014 as committed to its investors and the general public."
Out of the 10 coal-bearing basins, it stressed that comprehensive drilling program had already been completed in three blocks. The total coverage of its area is 7,000 hectares.
At this stage, Coal Asia emphasized that it so far "developed mine access roads, erected base camp facilities to include warehouse, mine office as well as laboratory."
The company also built a jetty port "for ship loading of its coal about 13 kilometers away from mine site," plus, it already acquired the land where coal mining operation will take place.
For its drilling, the company said it "undertook detailed mine planning works" and such was supported by a computer modeling method "to confirm the mineable coal reserves in the identified basins."
It must be culled that when the company held its initial public offering in 2012, one of the questions thrown its way had been the extent of its recoverable coal reserves.
For all the coal drilling contracts awarded by the DOE, the aim is to discover the next one that could yield the scale of reserves matching or even surpassing the production level of Semirara.
Coal Asia noted that if its project will move favorably to commercial development, it will meet part of the requirements of coal-fired plants in Mindanao.