Your browser does not support javascript
FSE: CR5
NYSE - AMEX: CDY
TSX: CDU

Carbon Creek

Email 'Carbon Creek' item to a friendShow printable version of 'Carbon Creek' item in a New Window

Overview

Commodity

Metallurgical Coal

Overview

The Carbon Creek deposit is an advanced metallurgical coal development project located in the Peace River Coal District of northeast British Columbia, Canada. The project has a current resource estimate of 166.7 million tonnes measured and indicated with an additional 167.1 million tonnes inferred. The Company released results of an independent Preliminary Economic Assessment in December 2011 which outlines the robust nature of the deposit. Plans for 2012 include exploration drilling aimed at expanding the current resource base and advancing the Carbon Creek asset towards feasibility and a production decision.

Ownership

Cardero acquired a 100% interest in Coalhunter Mining Corp. via a plan of arrangement in June 2011. Coalhunter Mining was renamed Cardero Coal Ltd. (a wholly-owned subsidiary of Cardero Resource Corp.) and holds 75% joint venture interest in & is the operator of the Carbon Creek Metallurgical Coal project.

Location

The project is located in the Peace River Coal District of northeast British Columbia, Canada

CARBON CREEK METALLURGICAL COAL DEPOSIT

Current Resource Assessment

  Measured Mt Indicated Mt Inferred Mt Mineable Tonnes (millions)
Surface
33.1
20.1
19.6
21.8
Underground
42.4
71.1
147.5
115.2
Total
166.7
167.1
137.0*
A resource estimation of the Carbon Creek property was completed in accordance with the procedures and criteria of GSC Paper 88-21 as required by NI 43-101. The mineral resource estimates for surface and underground moderate geology-type coal, ASTM Coal Rank is mvB, reported from the current Carbon Creek geologic mode. The resource statement is current as of Oct 2011. *Mineable coal tonnes contain 1.7 million tonnes inferred.

Preliminary Economic Assessment

Sale Price Sensitivity
IRR %
NPV 8%
NPV 10%
NPV 12%
Best Case $270/t
46.3
$1,755M
$1,335M
$1,033M
Best Case $185/t
29.3
$752M
$551M
$408M
Low Case $141/t
16.1
$229M
$142M
$79M
Undiscounted Post-tax Cash Flow $3,113M