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The Mount Klappan Coal Project is approximately 100 kilometres southeast of the village of Iskut and 160 kilometres northeast of the town of Stewart in northern British Columbia.  It contains one of the world's largest undeveloped resources of high-rank anthracite coal.  The four deposits (Lost Fox, Hobbit-Broatch, Sumitt, and Nass) contain measured resources of 107.9 million tonnes, indicated resources of 123 million tonnes, and inferred and speculative resources of 2.572 billion tonnes.  Fortune Minerals has completed a technical feasibility study on the mine and a preliminary economic assessment for the transportation of coal products from Mount Klappan using a buried slurry pipeline as well as rail and truck haulage options.

Overview

The initial Mount Klappan coal licences were acquired by Gulf Canada Resources Ltd. (Gulf) in 1981.  During the following decade, Gulf spent $65 million on exploration and development programs, including geology, trenching, and drilling outlining the significant resources and reserves on the property.  Comprehensive engineering, marketing, transportation, environmental, and feasibility studies were also carried out.  In 1985 and 1986, 200,000 tonnes of run-of-mine coal was mined from the Lost Fox and Hobbit-Broatch deposits, and 100,000 tonnes of clean coal products were produced in a pilot plant constructed at the site for trial cargos to customers in North America, Asia, and Europe.  No further significant work was carried out until Fortune Minerals purchased the property in 2002 from a subsidiary of ConocoPhillips following its takeover of Gulf.

Experience

Rescan/RTEC was commissioned by Fortune Minerals to undertake all aspects of environmental and socio-economic work leading to mine permitting.  The components of the “natural environment” studies include: meteorology, noise and air quality, hydrology, hydrogeology, water quality, aquatic resources, fish and fish habitat, wetlands, soils and reclamation planning, vegetation and ecosystem mapping, wildlife, and geochemistry (acid rock drainage and metals leaching).  Water quality and wildlife are key issues in view of the major rivers in the region and the inherent hunting values. 
Components of the “human environment” in progress include: archaeology, land use, socio-economics, country foods, traditional use, and consultation.  Due to the sites proximity to the communities of the Tahltan First Nation, the Project requires a strong consultation component. 

Baseline reports have been completed and Rescan/RTEC is waiting for the okay to initiate the Environmental Effects Assessment prior to submission of the Application to the provincial and federal governments.