MRV Bowen Basin Coal
In August of 2015, Moreton Resources Limited. announced to the ASX that is was restructuring the Company. As a key outcome of this restructure, MRV Bowen Basin Coal PTY LTD was developed with the specific intent of advancing the Mackenzie Project, which is well positioned within the world renowned coking coal precinct, the Bowen Basin. This move will form a key component of MRV’s overall strategy. The move also allows for the 100% transfer of MDL503 and an associated EPC1445 (transfers currently being undertaken) to MRV Bowen Basin Coal PTY LTD. This will allow the Company to develop through these two assets, being a Mineral Development License and an Exploration Permit for Coal within the Bowen Basin, its aspirations of advancement of a metallurgical coal asset to which the Company year on year has continued to advance as a mid-term future option.
The Board of Moreton Resources has taken this step to allow MRV Bowen Basin Coal PTY LTD to advance as a single entity, which will enable the potential project to operate with far greater transparency and engagement with critical stakeholders, neighbouring operators and the investment community. This will ensure the benefits of its close location to significant infrastructure and surrounding mining operations are fully utilised, allowing it to be realised as a genuine high value asset.
More recently in the depressed coal market, neighbouring assets and companies have continued to demand considerable prices, whilst well down on the 2008-2010 era, but never the less highly relevant to our Mackenzie assets. The announcement made by Wesfarmers on 20 January 2014 to acquire MDL162, saw the company gain a Coal Reserve of 67 million tonnes, and a total in-situ Coal Resource of 255Mt (74Mt Measured, 86Mt Indicated and 95 Mt Inferred), which was then divested for $70 million by Peabody Energy Budjero Pty Ltd. Furthermore, the sale of Carabella Resources Limited in early 2014 clearly indicates the demand for Bowen Basin Coal Resources.