Black Warrior
Allegiance completed the acquisition of the Black Warrior Mine (Mine) in August 2021. The Mine is an operating mine located 25km northwest of Birmingham Alabama that produces a steel making coal supplied to Alabama Power as a thermal coal for the last decade.
Allegiance is ramping production from an historical 200,000 tonnes per annum of saleable coal to 600,000 tonnes per annum and re-directing most of the coal for export to steel mills on the seaborne market.
The Mine comprises around 8Mt of hard coking coal including the highly regarded Mary Lee and Blue Creek coal seams. Coal is surface mined, washed, then transported to a barge loadout facility where it is loaded into barges on the Black Warrior river then transported to McDuffie Coal Terminal in the Port of Mobile, Gulf of Mexico. McDuffie Terminal is an active terminal for the export of coking coals.
Prior to completing the acquisition of the Black Warrior Mine Allegiance commissioned a JORC compliant resource statement summarised in the table below.
| Leased |
Measured |
Indicated |
Inferred |
Total Mt |
Total Mt |
| Newcastle |
0.436 |
0.715 |
0.141 |
1.289 |
53.98 |
| Mary Lee |
0.991 |
1.449 |
745.8 |
3.186 |
64.41 |
| Blue Creek |
0.748 |
0.997 |
0.557.2 |
2.303 |
82.74 |
| Total |
2.175 |
3.161 |
1.441 |
6,779 |
72.21 |
| Unleased |
Measured |
Indicated |
Inferred |
Total Mt |
Total Mt |
| Newcastle |
0.002 |
0.212 |
0.119 |
1.333 |
53.98 |
| Mary Lee |
0.006 |
1.073 |
0.513 |
1.592 |
64.41 |
| Blue Creek |
0.004 |
0.635 |
0.235 |
0.874 |
82.74 |
| Total |
0.012 |
1.921 |
0.867 |
2.800 |
72.21 |
The Mary Lee and Blue Coal seams are well recognised and highly regarded on the seaborne metallurgical coal market. The Mine will export these coals to steel mills while the Newcastle coal seam will be either supplied to the Alabama Power market or used as a blending coal with New Elk coals.
| |
|
Newcastle |
Mary Lee |
Blue Creek |
Total Mt |
| Proportion |
% |
18 |
37 |
45 |
53.98 |
| Ash |
% |
10.42 |
11.50 |
9.96 |
64.41 |
| VM |
% |
32.30 |
30.65 |
30.97 |
82.74 |
| Sulphur |
% |
1.40 |
1.06 |
0.88 |
72.21 |
| FSI |
|
8.0 |
8.5 |
8.0 |
|
| Fluidity |
ddpm |
30,000 |
27,000 |
27,000 |
|
| Phos |
% |
0.02 |
0.01 |
0.12 |
|
| RoMax |
% |
0.96 |
1.03 |
1.02 |
|
| CSR calc. |
|
58 |
66 |
65 |
|
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