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Results from drilling at Berkh Uul Coal Project

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ASX Announcement
18 December 2014
ASX Code: VKA
Results from drilling at Berkh Uul Coal Project, Mongolia
Viking Mines Limited (ASX: VKA, the “Company” or “Viking”) advises that it has received results from
its recently completed drilling program at the Company’s 100% owned Berkh Uul coal project (Figure
1) in northern Mongolia.
The drilling program, designed to infill and extend the existing drill coverage, commenced in the northeast of the licence area where there is pre-existing drilling within the confines of the current 38Mt
resource. The drilling progressed to the south, targeting extensions to the deposit to add to the current
resource. A total of 1,064.5m drilled were drilled in 18 holes (Table1, Figure 2).
The drilling tested the near surface, shallow west dipping eastern limb of a broad south plunging
synclinal structure, in which two main coal seams (Seams 1 and 2) are located. Holes were drilled
using open hole precollars, with PQ diamond tails through the target coal bearing zones, on a nominal
500m line spacing.
All holes were down-hole surveyed for geophysical and directional data, with all drill collars surveyed
to sub-metre accuracy. Geological logging was completed by Viking geologists under the supervision
of RSC Consultants.
A total of 87 samples were collected from PQ drill core for coal analysis at Bureau Veritas laboratory in
Ulaanbaatar. Note that the sampling of drill core was selective in that no inter-seam waste was
sampled or analysed, with a minimum coal sampling interval of 0.2m and maximum of 2m down hole.
Results are presented in Table 2. Overall results typically show:

ash content <14%

total moisture <15%

sulphur <0.7%, and

CV’s in the range 6,000-7,000 kcal/kg on an air dried basis.
These positive results indicate that the quality of the coal is comparable or better compared to the
historical drilling data, notwithstanding differences in the analytical methods and techniques performed.
Of particular interest are holes BU-14-14 and 15, drilled 500m south of the limit of previous drilling,
which intersected 7m and 9m true thickness respectively of coal at a depth of less than 80m. These
are the thickest intersections of coal recorded thus far in drilling on the project.
Suite 2, Level 1, 47 Havelock Street, West Perth WA 6005
T +61 8 6313 5151 F +61 8 9324 2977 W www.vikingmines.com
Viking Executive Chairman Jack Gardner commented “This first drilling program at the Berkh Uul
project by Viking, achieved prior to the onset of the winter field season recess, has confirmed both the
thickness and quality of the coal seams as indicated in historic drilling, and has extended the deposit
1.5km to the south of previous drilling. Coal was intersected at shallow depth of less than 80 metres in
17 of the 18 holes drilled, so further work is clearly justified to advance the project towards
development. We expect to receive the consultant geologists report on this drilling program in January
2015, at which time we will consider next steps including further drilling, resource updates and
economic studies.”
About the Berkh Uul Coal Project – Mongolia (Viking 100%)
Berkh Uul is located 400 km north of Ulaanbaatar in north-eastern Mongolia within the OrkhonSelenge coal district and within 20km of the Russian border. The project is within 40km of rail access
into Russian off-take markets, in close proximity to water, infrastructure and transport.
The deposit consists of shallow, consistent coal seams of high quality bituminous coal amenable to low
strip ratio open pit mining.
Discussions with nearby cement works and power stations confirm a local industrial demand for
unwashed Berkh Uul coal, due to its low ash and relatively high calorific value. To date four
Memoranda of Understanding for the supply of coal from Berkh Uul have been signed with local
industrial end-users.
On 17 March, 2014, Viking announced a new Indicated and Inferred coal resource estimate, classified
in accordance with the JORC (2012) Code, for the Berkh Uul coal project. The resource estimate was
completed by consultancy group, RungePincockMinarco Ltd, and totals 38.3 Mt. Of this, 21.4Mt is
classified as Indicated and 16.9Mt classified as Inferred. The coal is bituminous in rank (ASTM
classification) with average in situ quality as follows: Total Moisture 19.8%, Calorific Value 5,323
kcal/kg (air dried basis, adb), Ash 15.5% (adb), and Total Sulphur 0.37% (adb).
The information in this Report concerning the Berkh Uul Mineral Resource is extracted from Viking’s
announcement to the ASX entitled “New 38.3Mt resource for Merger Company’s Mongolian coal
project” dated 17 March, 2014, and is available to view on Viking’s website at www.vikingmines.com.
Viking confirms that it is not aware of any new information or data that materially affects the
information included in the original market announcement and, in the case of estimates of Mineral
Resources that all material assumptions and technical parameters underpinning the estimates in the
relevant market announcement continue to apply and have not materially changed. Viking confirms
that the form and context in which the Competent Person’s findings are presented have not been
materially modified from the original market announcement.
ENDS
Jack Gardner
Executive Chairman
Suite 2, Level 1, 47 Havelock Street, West Perth WA 6005
T +61 8 6313 5151 F +61 8 9324 2977 W www.vikingmines.com
Competent Persons Statement: The information in this Public Report that relates to Exploration Results, Mineral Resources or Ore
Reserves is based on information compiled by Mr David Lorge, who is a Member of the Society of Mining, Metallurgy, and Exploration
Inc. (SME) and a Fellow of the Society of Economic Geologists (SEG). Mr Lorge is a full time employee of RSC Consultants. Mr Lorge has
sufficient experience that is relevant to the style of mineralization and type of deposit under consideration and to the activity that he is
undertaking to qualify as a Competent Person as defined in the 2012 Edition of the Australasian Code for Reporting of Exploration
Results, Mineral Resources and Ore Reserves. Mr Lorge consents to the inclusion in the report of the matters based on his information in
the form and context in which it appears.
Forward Looking Statements:
This document may include forward looking statements. Forward looking statements may include, but are not limited to statements
concerning Viking Mines Limited’s planned exploration programs and other statements that are not historical facts. When used in this
document, words such as “could”, “plan”, “estimate”, “expect”, “intend”, “may”, “potential”, “should”, and similar expressions are
forward looking statements. Although Viking Mines Limited believes that its expectations reflected in these forward looking statements
are reasonable, such statements involve risks and uncertainties and no assurance can be given that actual results will be consistent with
these forward looking statements.
Table 1: Berkh Uul Drilling
Hole №
easting
northing
azimuth
elevation
depth, m
Precollar/PCD
PQ core
total
BU-14-01
696033
5523047
-90
787.8
24.0
39.0
63.0
BU-14-02
695815
5522835
-90
782.4
29.5
27.8
57.3
BU-14-03
695720
5522477
-90
793.5
25.0
38.0
63.0
BU-14-04
695694
5522225
-90
803.4
30.0
27.0
57.0
BU-14-05
695597
5522249
-90
805.7
50.0
12.0
62.0
BU-14-06
695334
5521818
-90
819.1
30.0
30.0
60.0
BU-14-07
695448
5521784
-90
812.9
19.0
25.6
44.6
BU-14-08
695125
5521377
-90
797.0
50.0
50.0
BU-14-09
695038
5521417
-90
810.2
60.0
60.0
BU-14-10
694988
5520811
-90
780.9
12.0
18.0
30.0
BU-14-11
694643
5520489
-90
794.4
15.2
60.4
75.6
BU-14-12
694739
5520455
-90
792.8
31.5
28.5
60.0
BU-14-13
694814
5520424
-90
785.7
24.0
24.0
BU-14-14
694362
5520199
-90
802.5
35.5
27.5
63.0
BU-14-15
694 267
5520232
-90
805.4
44.0
47.0
91.0
BU-14-16
694005
5519986
-90
808.3
37.0
47.0
84.0
BU-14-17
693750
5519695
-90
808.3
60.0
60.0
BU-14-18
694104
5519951
-90
799.8
60.0
60.0
TOTAL
612.7
451.8
Suite 2, Level 1, 47 Havelock Street, West Perth WA 6005
T +61 8 6313 5151 F +61 8 9324 2977 W www.vikingmines.com
1,064.5
Table 2: Berkh Uul Sampling and Analytical Results
Hole
Number
BU-14-02
BU-14-01
BU-14-03
BU-14-04
BU-14-05
BU-14-06
BU-14-07
Sample
number
From (m)
To (m)
interval (m)
TM
(%)
IM
(%)
Ash
(%
adb)
VM
(%
adb)
FC (%
adb)
TS
(%
adb)
CV
(kcal/kg
adb)
Rdis
(adb)
001
30.6
30.9
0.3
12.60
3.90
5.30
38.80
52.00
0.72
6799
1.37
002
31.7
31.9
0.3
12.80
3.90
7.70
38.30
50.10
0.72
6585
1.39
003
32.0
33.0
1.0
11.80
6.50
6.40
38.60
48.50
0.53
6545
1.36
004
33.0
34.0
1.0
12.90
6.60
5.80
40.30
47.30
0.35
6560
1.35
005
34.0
35.0
1.0
15.70
4.20
10.90
38.70
46.20
0.36
6331
1.42
006
35.0
36.0
1.0
24.60
3.70
14.20
37.30
44.80
0.34
6154
1.45
007
36.0
36.7
0.7
12.80
5.80
5.90
38.40
49.90
0.50
6655
1.36
008
46.0
47.6
1.6
14.40
4.90
9.00
37.80
48.30
0.55
6452
1.40
009
47.8
49.2
1.4
9.50
5.00
5.50
39.30
50.20
0.37
6725
1.36
010
49.2
50.3
1.1
11.20
5.20
5.00
40.30
49.50
0.38
6743
1.36
011
28.7
29.5
0.8
9.20
6.20
4.30
40.80
48.70
0.72
6688
1.35
012
29.8
31.4
1.6
8.60
4.70
4.50
40.90
49.90
0.44
6767
1.36
013
31.4
33.0
1.6
9.90
4.60
11.60
41.60
42.20
0.27
6091
1.43
014
33.0
34.4
1.4
9.40
4.00
12.20
39.00
44.80
0.34
6148
1.44
015
34.7
36.0
1.3
13.40
4.80
7.10
40.00
48.10
0.35
6501
1.38
016
36.0
37.0
1.0
11.60
5.80
11.90
37.20
45.10
0.54
5952
1.43
017
37.0
38.0
1.0
11.30
5.40
6.30
40.40
47.90
0.38
6516
1.38
018
38.0
39.3
1.3
11.10
4.80
8.10
39.00
48.10
0.38
6435
1.39
019
42.5
43.5
1.0
10.00
4.70
5.30
40.10
49.90
0.62
6767
1.36
020
43.5
44.4
0.9
11.70
7.20
7.20
38.50
47.10
0.49
6368
1.37
021
51.5
53.0
1.5
15.10
8.40
6.00
38.60
47.00
0.50
6463
1.35
022
53.0
54.5
1.5
15.70
7.40
9.00
37.80
45.80
0.35
6184
1.42
023
54.5
55.5
1.0
17.40
5.10
8.10
39.40
47.40
0.44
6389
1.41
024
55.5
56.5
1.0
15.90
6.40
4.80
38.00
50.80
0.24
6649
1.35
025
46.3
47.0
0.7
33.30
15.70
25.90
31.30
27.10
0.26
2919
1.69
026
47.0
48.0
1.0
25.40
15.10
29.10
37.60
18.20
0.76
2754
1.71
027
50.7
51.3
0.6
13.40
7.10
7.40
39.50
46.00
0.48
6413
1.36
028
51.8
53.3
1.5
11.50
6.10
3.80
40.40
49.70
0.46
6783
1.34
029
53.3
54.8
1.5
13.30
6.80
4.00
39.80
49.40
0.49
6692
1.33
030
54.8
56.2
1.4
10.40
6.00
4.20
40.10
49.70
0.77
6798
1.33
031
51.2
51.7
0.5
8.80
3.30
19.80
33.90
43.00
0.57
5515
1.63
032
52.5
54.0
1.5
12.10
7.10
6.80
37.50
48.60
0.35
6468
1.37
033
54.0
55.2
1.2
10.10
5.60
4.20
40.70
49.50
0.39
6738
1.36
034
55.2
56.8
1.6
12.10
4.90
4.00
39.00
52.10
0.21
6755
1.37
035
29.5
29.9
0.4
28.80
10.60
32.80
36.50
20.10
0.17
2694
1.83
036
30.0
30.8
0.8
26.70
10.80
39.60
33.00
16.60
4.24
2092
1.89
40.2
40.5
0.3
40.8
41.0
0.2
11.50
4.70
20.40
28.50
46.50
0.47
5403
1.58
037
Suite 2, Level 1, 47 Havelock Street, West Perth WA 6005
T +61 8 6313 5151 F +61 8 9324 2977 W www.vikingmines.com
Hole
Number
Sample
number
From (m)
To (m)
interval (m)
BU-14-08
Not sampled, Drilled by PCD to end of hole
BU-14-09
Not sampled, Drilled by PCD to end of hole
BU-14-10
BU-14-11
BU-14-12
BU-14-13
BU-14-14
BU-14-15
TM
(%)
IM
(%)
Ash
(%
adb)
VM
(%
adb)
FC (%
adb)
TS
(%
adb)
CV
(kcal/kg
adb)
Rdis
(adb)
038
21.0
22.0
1.0
11.20
6.50
8.40
40.30
44.80
0.42
6306
1.40
039
22.0
23.0
1.0
11.30
5.80
7.60
39.30
47.30
0.38
6523
1.39
040
23.0
23.9
0.9
13.50
5.30
3.60
42.10
49.00
0.56
6941
1.34
041
15.2
16.5
1.3
28.10
13.90
13.70
44.80
27.60
0.44
3989
1.47
042
56.8
58.0
1.2
11.30
6.00
8.20
38.90
46.90
0.58
6433
1.37
043
58.0
59.0
1.0
10.00
5.40
8.80
39.40
46.40
0.39
6441
1.39
044
59.0
60.0
1.0
10.70
4.50
8.20
38.70
48.60
0.47
6596
1.39
045
60.0
61.5
1.5
10.40
6.30
5.70
38.90
49.10
0.54
6624
1.36
046
62.5
63.5
1.0
10.10
5.70
8.90
37.90
47.50
0.59
6418
1.39
047
63.5
65.0
1.5
10.20
5.20
13.20
35.60
46.00
0.49
6052
1.50
048
65.2
66.4
1.2
10.90
6.40
7.50
39.00
47.10
0.71
6487
1.40
049
66.4
67.7
1.3
3.10
4.50
8.00
37.70
49.80
0.60
6586
1.41
050
69.2
69.8
0.6
8.80
5.00
12.20
36.80
46.10
0.84
6236
1.44
051
31.7
33.0
1.3
11.40
4.30
5.20
40.50
50.00
0.51
6813
1.39
052
33.0
34.5
1.5
10.40
4.80
10.50
37.60
47.10
0.38
6311
1.45
053
34.5
36.2
1.7
12.30
5.40
7.90
38.20
48.50
0.46
6480
1.41
054
37.5
38.5
1.0
9.90
4.60
10.20
36.50
48.70
0.58
6393
1.42
055
38.5
40.0
1.5
13.70
5.10
9.60
35.90
49.40
0.50
6381
1.41
056
40.8
41.8
1.0
11.90
4.00
6.60
40.00
49.40
0.59
6774
1.36
057
41.8
42.8
1.0
12.70
4.30
18.50
34.60
42.60
0.57
5725
1.58
058
44.5
45.2
0.7
10.70
3.80
12.60
36.00
47.60
0.77
6308
1.43
059
6.7
7.3
0.6
28.90
11.90
14.90
43.80
29.40
0.31
4202
1.60
060
8.5
9.5
1.0
28.10
13.00
16.50
48.70
21.80
0.38
4049
1.61
061
12.4
13.9
1.5
14.20
4.30
16.20
34.20
45.30
0.64
5789
1.45
062
35.5
37.2
1.7
11.70
5.20
13.00
34.00
47.80
0.51
4228
1.41
063
37.9
39.4
1.5
13.90
6.90
5.50
39.30
48.30
0.53
6562
1.33
064
40.8
42.5
1.7
12.20
5.50
11.60
35.60
47.30
0.69
6124
1.40
065
44.0
44.9
0.9
11.90
4.90
9.90
36.00
49.20
0.60
6338
1.39
066
45.0
46.4
1.4
10.10
5.20
10.70
37.70
46.40
0.60
6302
1.40
067
50.0
50.5
0.5
12.60
4.30
20.90
32.20
42.60
0.80
5507
1.58
068
44.0
46.0
2.0
15.70
8.90
6.00
36.80
48.30
0.53
6416
1.34
069
69.5
70.2
0.7
10.90
4.40
6.90
37.70
51.00
0.58
6670
1.38
070
70.8
72.0
1.2
11.80
5.20
12.30
36.20
46.30
0.54
6149
1.41
071
73.2
75.0
1.8
13.10
7.20
7.30
37.50
48.00
0.56
6441
1.36
Suite 2, Level 1, 47 Havelock Street, West Perth WA 6005
T +61 8 6313 5151 F +61 8 9324 2977 W www.vikingmines.com
Hole
Number
Sample
number
From (m)
To (m)
interval (m)
TM
(%)
IM
(%)
Ash
(%
adb)
VM
(%
adb)
FC (%
adb)
TS
(%
adb)
CV
(kcal/kg
adb)
Rdis
(adb)
072
76.0
77.8
1.8
11.30
6.60
16.20
33.70
43.50
0.64
5709
1.44
79.0
80.0
1.0
80.2
80.8
0.6
11.70
5.50
8.40
38.30
47.80
0.62
6492
1.37
80.8
81.8
1.0
82.0
82.7
0.7
12.70
6.60
9.20
36.50
47.70
0.62
6342
1.37
075
85.6
86.2
0.6
11.80
4.90
11.60
36.90
46.60
0.80
6266
1.40
076
40.3
40.7
0.4
15.20
5.00
7.60
37.10
50.30
0.76
6584
1.36
077
41.1
42.7
1.6
18.80
6.80
8.10
36.80
48.30
0.82
6449
1.36
078
56.8
57.4
0.6
13.80
5.90
10.30
37.60
46.20
0.64
6350
1.38
079
59.0
60.0
1.0
14.70
6.50
9.00
36.70
47.80
0.57
6334
1.37
080
61.1
61.8
0.7
12.60
4.50
28.70
31.30
35.60
0.57
4825
1.58
081
62.5
63.0
0.5
15.50
6.70
9.30
37.80
46.20
0.70
6302
1.37
082
68.8
70.4
1.6
15.00
6.60
8.50
38.10
46.80
0.61
6383
1.36
083
71.7
72.7
1.0
15.30
4.80
15.80
35.70
43.70
0.04
5876
1.43
084
72.7
73.8
1.1
15.60
4.20
8.30
39.60
47.90
0.82
6607
1.38
085
76.8
78.2
1.4
13.40
4.80
13.30
36.10
45.80
0.66
6103
1.43
086
78.2
79.5
1.3
11.70
4.40
7.60
40.00
48.00
0.71
6642
1.37
087
80.0
80.7
0.7
11.50
4.90
15.50
37.00
42.60
0.64
6000
1.44
073
074
BU-14-16
BU-14-17
Not sampled, Drilled by PCD to end of hole
BU-14-18
Not sampled, Drilled by PCD to end of hole
Note: Air Dried Basis(adb); TM- total Moisture; IM-Inherent Moisture; VM-Volatile Matter; FC – Fixed
Carbon; TS- Total Sulphur; CV- Calorific Value; Rdis- in situ Relative Density.
Suite 2, Level 1, 47 Havelock Street, West Perth WA 6005
T +61 8 6313 5151 F +61 8 9324 2977 W www.vikingmines.com
Figure 1: Location of the Berkh Uul coal project in Mongolia
Suite 2, Level 1, 47 Havelock Street, West Perth WA 6005
T +61 8 6313 5151 F +61 8 9324 2977 W www.vikingmines.com
Figure 2: Berkh Uul Drill Hole Location Plan
Suite 2, Level 1, 47 Havelock Street, West Perth WA 6005
T +61 8 6313 5151 F +61 8 9324 2977 W www.vikingmines.com
For further information please contact:
www.vikingmines.com
info@vikingmines.com
Company
Jack Gardner
Executive Chairman
+61 8 6313 5151
Corporate Advisor
Matthew Howison
Emerald Partners Ltd
+61 2 9251 5067
Suite 2, Level 1, 47 Havelock Street, West Perth WA 6005
T +61 8 6313 5151 F +61 8 9324 2977 W www.vikingmines.com
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