Compliance completed a $2.1 million exploration program consisting
of geological seismic surveys and development drilling to confirm
coal continuity and structure. As part of the 2006 exploration
program a bulk sample was completed from one of the old adits
that was located. Results of this bulk sample were inconclusive
and the Company was not able to replicate prior washability
and carbonization tests. Washability results from the
2006 drill core did verify previous drillhole washability results
producing a yield of 40 to 45% for a metallurgical coal product
of 8.5% ash. Additional work is needed in this area and
will be incorporated in future exploration programs.
Area of exploration focus for the 2006 exploration program
Eric Beresford, Director standing beside 3.5 meter coal seam at adit #1 during the 2006 exploration program.