CBM IN THE SPRINGBOK FLATS COALFIELD: A MAJOR UNTAPPED ... · A MAJOR UNTAPPED SOURCE OF ENERGY Fossil Fuel Foundation Limpopo Coal Conference –25th October 2012 By: Oliver Barker

BANZI GEOTECHNICS ccP O BOX 72611, PARKVIEW, 2122, SOUTH AFRICA 23 DOVETON RD, PARKTOWN, 2193 TELEPHONE (011) 482-1192 Int. (2711)JOHANNESBURG, SOUTH AFRICA TELEFAX (011) 726-7744 Int. (2711)

SERVICES IN ENGINEERING, EXPLORATION AND ENVIRONMENTAL GEOLOGY,;

CBM IN THE SPRINGBOK FLATS COALFIELD:

A MAJOR UNTAPPED SOURCE OF ENERGY

Fossil Fuel Foundation Limpopo Coal Conference – 25th October 2012

By: Oliver Barker

Session 4: 15h50 – 16h30

AcknowledgementsBanzi Geotechnics cc assisted generously with technical support and allowed me the opportunity to conduct the literature research that gives substance to this paper.Numerous colleagues and friends who have given me advice and assistance over the last 25 yearsThe Petroleum Agency of SA provided assistance with reports on onshore oil and gas exploration.

BANZI GEOTECHNICS cc

Outline of Paper


IntroductionLocation of CoalfieldGeology, Structure and Resources;The Mineral Rights Situation• Exploration Rights – CBM• Prospecting Rights – Uranium• Prospecting Rights – Coal

q An Integrated Energy Roadmap;q Discussionq Conclusion

INTRODUCTION -


1


Regional Review – Springbok Flats Coalfield virgin territory;Significant exploration in the region started in the late 1960’s and continued into the late 1980’s’s;The main players were:

Anglo in the west, south of Bela Bela;Gencor in the central south near Tuinplaatsand Matahanjana/Moretele area;Rand Mines is also understood to have explored the coalfield

2


Chemical companies such as Sentrachemlooked at synfuelsin 1978 the Bop Government commissioned a study by Dames and Moore of the Matahanjana/Moretele area;

A mineable deposit was identified covering about 11000ha;Depth from 60m-300m (mean depth 260m);In situ mineable resource of 200M tonnes;Mining height of 1.25m with a mean raw ash content of 25%

The D&M report proposed an integrated development of the coal resource

LOCATION OF COALFIELD



South Africa’s coalfields names are regionally derived.The differences are gradual between the linked coalfields.Differences are marked between those coalfields that are remote from each other.The Springbok Flats basin is one such coalfield

South Africa’s Coalfields

There are 20 named coalfields in South Africa

Springbok Flats

Coalfield

Detailed Location Map of Springbok Flats Coal

Basin


1. The Basin lies about 90kmnorth of Johannesburg, 40kmfrom Pretoria

2. The basin covers and area of about 930 000ha

3. It is about 209km in length and 50-60 km in width

GEOLOGY AND STRUCTURE


Geology of the Springbok Flats

• Significantly the coals are shale-bounded and are of lower Beaufort age


• Deposition was from the NNE

• A full succession of the typical Karoo sequence is developed, including diamictites (Dwykacontinental tillites) at the base and Stormberg(Letaba) Basalts as a capping to the sequence

Stratigraphy


• Stratigraphy is after Roberts (1992)

• The stratigraphy comprises all the elements of the Karoo from basal diamictites (Dwyka) to the Letaba Lava Formation

• Letaba lavas covers extensive areas of the basin

• The division between the Warmbad and Turfpan formations is not well defined

• The sequence is shale and mudstone dominant

• The Coal Zone is mudstone bounded


• Deposition was from the NNE

• A full succession of the typical Karoo sequence is developed, including diamictites (Dwykacontinental tillites) at the base and Stormberg(Letaba) Basalts as a capping to the sequence

• Significantly the coals are shale-bounded and are of lower Beaufort age



• Faulting of the western margin and transgressive to the basin east of Bela Bela are post formational and had no affect on the early sedimentation

• The faulting produces “horst and graben” structures with offsets up to 850m in places

• Depth of coal seams of over 1000m occur south of the Warmbad Fault

• Large dolerite sills are developed both above and below the coal seams and are crosscutting in places

• In the Matahanjana and Tuiplaats areas the coals are relatively undisturbed


Map of Proposed Resource Blocks Springbok Flats

1


Matahanjana Sector

TuinplaatsCoalfield

East-West Sections in the Matahanjana Coalfield


Springbok Flats Target

The coal seams are:Deep +200m to over 1000m from surfaceThe coals are shale and mudstone bounded7m + coal and carbonaceous shale section


Springbok Flats Target


Typical Central Region Borehole

Section

Upper Zone Concentration of Uranium.

COAL RESOURCES


Map of Proposed Resource Blocks Springbok Flats

1


In-Situ Coal Resource Estimates


Regions and Areas Areas From Maps1NE Region 3,245,614,3842NE Shallow Area 1,131,701,7933NE Deep Area 2,113,912,591

4Central Region 1,673,598,4905Central Shallow Area 911,118,6996Central Deep Area 762,479,792

7SW Region 2,917,139,8888SW Shallow Area 1,906,749,5999SW Deep Area 1,010,390,289

10Total Resource Area (1+4+7) 7,836,352,763

Area in Hectares324,561.44113,170.18211,391.26

167,359.8591,111.8776,247.98

291,713.99190,674.96101,039.03

783,635.28

In Situ Resource Estimates


Table 1: In-situ resources for entire coalfield

Parameter Assumption Coal RD 1.55 Carb Shale RD 1.65

Use Table 3 Averages SW Region Central Region NE Region Total Area (m2) Total Area (ha)

Area (m2) 2,917,139,888 1,673,598,490 3,214,809,358 7,805,547,737 780,555Lower seam (m) 0.94 0.94 0.94Middle seam (m) 0.83 0.83 0.83Lower Zone (Shale between Coal Seems) (m) 1.17 1.17 1.17

Upper Zone (Assumed) (m) 0.75 0.75 0.75

Seam or Zone Nominal In Situ Resources by Region and Litho-type

Total Nominal In Situ

Resource

Assuming a 75% loss

over BasinPossible Resource lower seam (Gt) 4,263.76 2,446.17 4,698.84 11,409 2,852.19Possible Resource middle seam (Gt) 3,775.19 2,165.87 4,160.42 10,101 2,525.37Possible Lower Zone Resource (Gt) 5,632.90 3,231.66 6,207.69 15,072 3,768.07Possible Upper Zone Resource (Gt) 3,609.96 2,071.08 3,978.33 9,659 2,414.84Total Nominal Resources 17,281.81 9,914.79 19,045.28 46,241.87 11,560.47

A MINE PLAN HAS BEEN PROPOSED

That would operate between 60 and 300m from surfaceCould produce from a in situ resource of 200Mtonnes over just 11 000haA mine could produce 2.47Mtpa with a raw ash content of 25%A two stage wash would yield:• A high ash feedstock for fluidized bed applications and

power production and uranium separation• for liquefaction by direct/catalytic hydrogenation or

pyrolysis• A coking feedstock for coke manufacture may also be

viableBANZI GEOTECHNICS cc

AVERAGE MIDDLINGS / DISCARDS QUALITIES - BY SEAM -: MATAHANJANA DISTRICT


SeamAve.

Thick FractionY%

H2O%

Ash%

Vol%

FC%

C.V.(MJ/kg

)S%

Lower Seam(74BHs) 0,85m

*S1,45-F1,70Discard

27,127,1 2,5

29,963,2 28,4 39,2 22,47 1,46

Middle Seam(87BHs) 1,19

S1,45-F1,70Discard

21,620,5 2,2

27,162,4 30,6 40,1 23,21 3,11

Lower ZoneZone

(16BHs) 3,48mS1,45-F1,70

Discard

25,3

42,4 2,7

31,1

66,2 28,1 38,1 21,56 1,76

*Sink Relative Density C.F. F1,45

Average Quality Parameters by Seam – Matahanjana Sector


SeamAvg. Thick (m)

RD (Fraction) (Float/Sink

)

Yield % H20% Ash % Vol % FC % C.V. (Mj/kg) S % Raw

RD

Lower Seam 0.85 F 1.45 45.8 2.8 14.8 33.8 48.6 27.96 1.0674 Boreholes F 1.70 72.9 2.7 20.4 31.8 45.1 25.92 1.21

Raw 100.0 2.5 32.0 27.8 37.7 19.60 2.85 1.55

Lower Seam 1.19 1.45 57.9 2.6 14.6 35.4 47.4 28.11 1.5387 BH's 1.70 79.5 2.5 18.0 34.1 45.5 26.78 1.96

Raw 100.00 2.50 27.10 30.70 39.70 21.48 3.36 1.56

Lower Zone 3.48 1.45 32.30 2.70 15.40 34.70 47.20 27.84 1.3116 BH's 1.70 57.60 2.70 22.30 31.80 43.20 25.08 1.51

Raw 100.00 2.60 40.90 24.50 32.00 15.26 2.62

Petrogrpahic Analysis


Maceral Percentage RoVVitrinite 84% 0.65Exinite 4.5%Inertinite 6.8%Minerals 4.3%V/E Ratio 95%V+E % 84%

Petrographic analyses were conducted on composited F1,40fractions from 55 boreholes, yielding the following * maceraldistributions:

UNCONVENTIONAL GAS RESOURCES

(CBM)


DISTRIBUTION OF KNOWN GAS ACCUMULATIONS

SOUT

H A

FRICAN AGENCY FOR PROMOTION O

F PETROLEUM EXPLORATION AND EXPLO

ITATI

ON

The PASA produces Oil and Gas information for South Africa and very useful maps which assist explorers in locating targets

Springbok Flats Coalfield

Explorer Activity (May 2011)

Springbok Flats Coalfield

Distribution of applications

• As of May 2011 there are over 224 onshore gas and oil applications in SA

• Of these about 124 have been accepted and these now include shale gas and TCP’s for shale gas

• Of these about 73 applications are under evaluation

• Of the 224 some 51 have been converted to exploration licenses

• However there are no production licenses yet for on-shore gas production


CBM Applications

Almost 90% of the basin area is under applications;6 under evaluation and 3 Exploration Rights . One overlapping three others!

ONSHORE APPLICATIONS(Under Evaluation)

(06ER) - Springbok Flats (Anglo)(50ER) - Springbok Flats (Anglo)(68ER) - Springbok Flats (Badimo)(104ER) - Umbono CBM(175ER) - Msix(216ER) – Umbono CBM

ONSHORE EXPLORATIONRIGHTS

(84ER) – Great Force Investments(96ER) - Vibrant Veterans Energy(118ER) - Msix


Coal Rank and Gas Generation

South African Coals range in rank from Sub-bituminous through to Anthracite.The rank falls generally from east to west in the main Karoo basin.It is variable in the northern basins but is generally in the high volatile range.Coal seam rank shows slight variations within the bituminous C-Rank (0.6-0.8Rr) range.Where these coals are intruded by dolerite significant rank variations occur due to thermal effects.

Nominal Possible Potential Yield from SA CBM Project Lower Seam


Parameter Numbers Unit of Measurement

Area 780,555 hectares

Conversion Factor to ha 10,000 m²/ha

Area, m² 7,805,547,737 m²

Avg Thickness 0.94 m

In Situ Nominal Volume 7,360,497,515 m³

Avg SG 1.55 tonnes/m³

Mass 11,408,771,149 tonnes

Avg gas cont 6.0 m³/tonne

RESOURCE 68,452,626,892 m³ GIP (gas-in-place)

Conversion Factor to ft³ 35.3147 ft³/m³

RESOURCE, (Imp) 2,417,383,982,905 ft³

Recovery Factor 50%Est. Nominal Reserve 1,208,691,991,453 ft³Est. Nominal Reserve

1.2 TCF

Nominal Possible Potential Yield: Springbok Flats: Middle Seam





Area, m² 7,805,547,737 m²




Mass 10,101,476,731 tonnes




RESOURCE, (Imp) 2,140,383,721,791 ft³

Recovery Factor 50%

Est. Nominal Reserve 1,070,191,860,895 ft³

Est. Nominal Reserve 1.1 TCF

Nominal Possible Potential Yield : Springbok Flats: Lower Carbonaceous Shale Zone





Area, m² 7,805,547,737 m²




Mass 18,269,406,693 tonnes




RESOURCE, (Imp) 3,871,071,699,244 ft³

Recovery Factor 50%



Nominal Possible Potential Yield: Springbok Flats: Upper Zone


Parameter Numbers Unit of MeasurementArea 780,555 hectares


Area, m² 7,805,547,737 m²




Mass 11,708,321,606 tonnes




RESOURCE, (Imp) 2,480,855,190,045 ft³

Recovery Factor 50%



Total Estimate: Nominal Resource for the Sprinbok Flats 5.5 TCF

Prospecting for Coal and Uranium



SAMRAND is not user freindlyNo clear data has been able to be obtained on the current prospecting rights in the coalfieldIt is known that there are prospecting rights issued for Coal Status of Uranium rights is not clearThis situation contrast markedly with Petroleum rights

Prospecting Rights

SAMRAD WEBSITE IS NOT FULLY OPERATIONAL

Search Current Applications Search Back

Province App ID Applicant Type of Right

App Status

View Map Notification Upload

LP 30/5/1/1/2/0106 PR INNOVAGE JV MINING (PTY) LTD

prospecting right

Map Location View N/A

LP 30/5/1/1/2/0119 PR INNOVAGE JV MINING (PTY) LTD

prospecting right


LP 30/5/1/1/2/0365 PR LIMPOPO COAL COMPANY (PROPRIETTARY) LIMITED

prospecting right


LP 30/5/1/1/2/0365 PR LIMPOPO COAL COMPANY (PROPRIETTARY) LIMITED

prospecting right


LP 30/5/1/1/2/0378 PR COPPER MINE (PTY) LTD prospecting right


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limpopo

If we click the short cut to the “Map Location” Link we get the following error:

SAMRAD WEBSITE IS NOT FULLY OPERATIONAL


An Integrated Energy Roadmap



A Roadmap or the Optimization of the Springbok Flats coalfield

CBM/cmm• Energy and chemical feedstockUranium mining • Wash Plant stockpile + (FBC to

Stockpile?)Coal Mining –• FBC feedstock Energy;• Liquefaction – chemical industry• Coke production chars and

briquettesUCG - Possibly much later

Location of Coalfield Relative

to Energy Demand Centres

• It lies midway between the platinum mines of the east and western Bushveld and a less than 50km south of the Mokopane Platinum mine

• This coal basin is thus perfectly situated to supply energy to the new mining and industrial hubs of Steelpoort, Mokopane, and Rustenburg


• Bushveld Complex • Springbok

Flats Coalfield

Steelpoort

Mokopane

Rustenburg

An Integrated Energy Model

BANZI GEOTECHNICS ccThe Springbok Flats Coal Use Road Map



The Springbok Flats Coalfield is an enormous untouched source of energyThe methane resources should be realised either as CBM or CMM during coal miningPrevious work has indicated that it is possible to establish a mine that could feed a multiproduct chemical and energy industry.Coal mining would also produce uranium as a by-product

Summary - 1


At this stage UCG should not be contemplated:• Large Number of Conflicting CBM

Applications• Contamination by uranium• Potential for contamination of critical

near surface aquifers;• Difficulty in burn control ?

Summary 2


A “Roadmap” for the Springbok Flats coalfield indicates that a combination of mining, CBM/CMM and Uranium Production should precede UCG

CONCLUSION

Documents

CBM IN THE SPRINGBOK FLATS COALFIELD: A MAJOR UNTAPPED ... · A MAJOR UNTAPPED SOURCE OF ENERGY Fossil Fuel Foundation Limpopo Coal Conference –25th October 2012 By: Oliver Barker