Morien Resources Corp. announced that the Nova Scotia Department of Environment and Climate Change has approved a request from Kameron Collieries ULC, owner and operator of the Donkin mine, to renew its industrial approval for the mine. The seven-year approval took effect on December 5, 2022, and expires on December 31, 2029.
The Donkin mine is an underground mining operation that produces cross-over coal, one that can be used for steelmaking or power generation. It has a probable mineable reserve of 58 million metric tons (mt). The reserve estimate is based on an indicated resource of 174 million mt. The mine has access to port facilities nearby.
Morien owns a gross production royalty for the mine of 2% on the revenue from the first 500,000 mt of coal sales per calendar quarter, net of certain coal handling and transportation costs, and 4% on the revenue from any coal sales from quarterly tonnage above 500,000 mt, net of certain coal handling and transportation costs.
