| Thu 11 Nov 2010, 16:00 | | FSE - Firestone Energy Limited - Operations Update |
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FSE
FSE
FSE - Firestone Energy Limited - Operations Update
FIRESTONE ENERGY LIMITED
(formerly: Centralian Minerals Limited)
(Incorporated in Australia)
(Registration number ABN 058 436 794)
Share code on the JSE Limited: FSE Share code on the ASX: FSE
ISIN: AU000000FSE6
(SA company registration number 2008/023973/10)
("FSE" or "the Company")
OPERATIONS UPDATE
The Firestone Energy Limited (ASX/JSE : FSE)/Sekoko Joint Venture have made
tremendous progress in development of their Waterberg coal project adjacent
to the 30 year old Exxaro`s Grootegeluk coal mine within the Limpopo region
of South Africa.
HIGHLIGHTS
The Definitive Feasibility study (DFS) has been completed and signed offtake
expected by December 2010.
The current open cast has a 21 year mine life with a very low strip ratio of
overburden to saleable coal strip ratio of 2 to 1 and only 6.4% of the total
Coal gross tonnes in Situ (GTIS) (August 2010 resource update) will be mined
within this initial pit, so the coal seams are still open in all directions,
and 6 coal seams are still under the first stage 70m deep pit floor.
Submission of the Mining Rights application, Social Labour Plans and the
Environmental Impact Assessment (EIA) scoping report.
The Water Use Licence Authority (WULA) will be completed by end of November
2010 followed by the submission of the Environmental Management Program (EMP)
before the end of December 2010.
Completed site visits by the Department of Water Affairs (DWAF), the
Department of Environment and Tourism (DEAT) and the Department of Local
Economic Development Environment and Tourism (LEDET) which revealed no
issues, gives the Company confidence that our application for both WULA and
EMP will be accepted with minimal or no queries expected.
Following the submission of mining rights in June 2010 two Public
Participation Meetings (PPM`s) were held where interested and affected
parties (IAP`s) were invited. No major issues were identified but all
queries raised were attended to and mitigation plans put in place. The PPM`s
were followed by individual visits to IAP`s that raised specific concerns.
This process has also revealed no major concerns.
Sekoko Chairman, Mr Tim Tebeila, expects that the Record of Decisions (ROD)
will be issued at the end of Q1 2011, which will then lead to approval of
Mining Rights by Q2 2011. Removal of overburden and commissioning of the
plant will follow to enable the project to reach its first coal by the end of
2011 and then supply its off-take customer by Q2 of 2012.
FSE/Sekoko have completed the rail siding study. This involved the
implementation of a 7km line connecting to the main Transnet Freight Rail
(TFR) line going to Thabazimbi at a capital cost of A$20million. The
environmental studies relating to the rail siding construction will be
completed before the end of 2010. The off-taker, TFR and ourselves are part
of the team that will implement the rail siding.
Further information can be obtained by contacting the persons below on
+61 (08) 9287-4600.
John Dreyer Sizwe Nkosi
Chairman Non Executive Director
About Firestone Energy
Firestone Energy is an independent Australian exploration company focused on
developing coal projects in South Africa. The company is currently exploring
the richly endowed Waterberg coal field in Limpopo Province of South Africa.
The Company is committed to value-added growth through becoming an
independent coal and energy produces at its projects in South Africa.
The Company has entered into three joint ventures with Sekoko Resources, a
South African black empowerment company (BEE) and Sekoko has two directors on
the Board of Firestone Energy.
Corporate Details
ASX: FSE
Issued Capital:
2,401 million ordinary shares
Major Sharholders:
Sekoko Resources (Pty) Ltd
Colbern Fiduciary Nominees Ltd
Bell Potter Nominees Ltd
Directors and Officers:
John Dreyer (Chairman)
Timothy Tebeila (Deputy Chairman)
Colin McIntyre
John Wallington
Company Secretary
Jerry Monzu
Contact:
Suite B9, 431 Roberts Road
Subiaco, Western Australia 6008
Tel: +61 (0)8 9287 4600
Web: www.firestoneenergy.com.au
Pretoria
11 November 2010
Sponsor and Corporate Advisor
River Group
Date: 11/11/2010 16:00:01 Produced by the JSE SENS Department.
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