Cashed-up and seeking reserve extensions

摘要

Troy Resources NL is looking to secure a deal with either Rio Tinto Ltd or BHP Billiton Ltd on the coal potential at its Gutain Davaa project in north eastern Mongolia near the Russian border. Company chairman John Jones said while there was copper-gold prospectivity over the 800 square kilometre project area, it was primarily a coal play. "You wouldn't need to be too smart to realise that Rio and BHPB would be interested in doing a deal with us," he said. The project incorporates a coal basin spanning 180 km in length and 18 km in width. Drilling has started at the Toordogiin Shil target within the project with the first two holes completed and results pending. While the company's activities in Mongolia haven't set the market alight - it has spent 5 million US dollars over eight years with Jones adding he would have liked to have done better - it still remains a focus for the group. "It is very much greenfields work in Mongolia," he said.