SGS-CSTC Tianjin Branch

C1-8 to 9, 1/F, No.41, The 5th Aveune
Kaitai Business Incubation Building
TEDA, Tianjin
China 300457
Ph: +86 (0) 22 2529 3899
Fax: +86 (0) 22 2529 3819
Internet: www.cn.sgs.com

Red Hill Energy Inc.
Suite 203, 15A-5
Ambassador Office, Peace Avenue
Sukhbaataar District
Ulaanbaatar, Mongolia

Red Hill Energy Core Quality, 2006 Drill Holes
SGS Reference:

MNCOL2010/r276TJ

Client Reference:
Project:
Status:
Received:
Analyzed:
Reported:

Red Hill Energy Core Quality, 2006 Drill Holes
Average Coal Quality by Seam
Final
14 June 2006
30 June-21 July 2006; 26 June 2007
26 March 2010

Pages:

4

Date Issued:

26 March 2010

Authorised by:

For and on behalf of
SGS-CSTC Technical Services Co., Ltd.

RAY KOKE
TECHNICAL MANAGER

ISO 9001 Registered
ISO 17025 Accredited for Specific Tests: Licence No. L2774
The results in this analytical report pertain to the samples provided to this laboratory for preparation and/or analysis
as requested by the client.
This document is issued by the company subject to its General Conditions of service ( www.sgs.com/generalconditions ).
Attention is drawn to the limitations of liability, indemnification and justifications issues established therein.

SGS-CSTC Tianjin Branch

C1-8 to 9, 1/F, No.41, The 5th Aveune TEDA, Tianjin
Ph: +86 (0) 22 2529 3899
Fax: +86 (0) 22 2529 3819
Member of SGS Group

www.sgs.com

SGS-CSTC Tianjin Branch
C1-8 to 9, 1/F, No.41, The 5th Aveune
Kaitai Business Incubation Building
TEDA, Tianjin
China 300457
Ph: +86 (0) 22 2529 3899
Fax: +86 (0) 22 2529 3819
Internet: www.cn.sgs.com

SGS Reference: MN2010/r276TJ
Client Reference: Red Hill Core Plies, 2006
Project: Average Coal Quality by Seam
Status: Final
Reported: 26 March 2010
Page 1 of 4

ANALYTICAL REPORT
Ulaan Ovoo Average Coal Quality Specification - 2006 Drilling Programme
Proximate Analysis
Moisture
Ash
Sulfur
Volatile
F.Carbon
kcal/kg
Btu/lb
MJ/kg

% ar
20.03
12.46
0.40
28.65
38.86
5,092
9,165
21.322

% ad
10.97
13.87
0.44
31.90
43.26
5,668
10,203
23.737

Ultimate Analysis
Carbon
Hydrogen
Nitrogen
Oxygen

% ar
52.46
3.46
1.26
9.93

% db
65.77
4.33
1.58
12.46

Water Soluble Alkalies
Sodium
Potassium

% ar
0.017
<0.002

% db
0.021
0.003

Sulfur Forms
Pyritic
Sulfate
Organic

% ar
0.10
<0.03
0.27

% db
0.13
<0.04
0.33

Reducing
2161
2231
2342
>2404

Oxidizing
2412
>2473
>2518
>2551

°C
>1418

°F
>2585

Ash Fusion Temperature
IT
ST
HT
FT
Temperature
T250
Hardgrove Grindability Index
HGI
HGI Moisture (%)

58
9.53

Miscellaneous Analyses
3
Apparent Specific Gravity (g/cm )
Equilibrium Moisture (%)
Vitrinite Reflectance (R 0)

1.36
18.8
0.61

SGS-CSTC Tianjin Branch

% db
15.36
0.50
35.94
48.70
6,367
11,460
26.662

Mineral Ash Analysis (Ignited)
Silicon Dioxide, SiO 2
Aluminum Oxide, Al 2O3
Titanium Dioxide, TiO 2
Calcium Oxide, CaO
Iron Oxide, Fe 2O3
Magnesium Oxide, MgO
Sodium Oxide, Na2O
Potassium Oxide, K2O
Sulfur Trioxide, SO 3
Strontium Oxide, SrO
Barium Oxide, BaO
Manganese Oxide, Mn3O4
Phosphorus Pentoxide, (P2O5)

%
52.06
20.08
1.59
3.58
15.02
1.49
0.68
1.64
1.86
0.29
0.22
0.26
1.22

Trace Elements
Antimony
Arsenic
Barium
Beryllium
Boron
Bromine
Cadmium
Chlorine
Chromium
Cobalt
Copper
Fluorine
Lead
Lithium
Manganese
Mercury
Molybdenum
Nickel
Selenium
Silver
Strontium
Thallium
Tin
Vanadium
Zinc
Zirconium

ppm
<1
<1
228
1
16
<20
<0.4
<10
14
8
18
239
<4
4
191
<0.03
<4
11
<1
<0.4
272
<2
<2
35
31
25

C1-8 to 9, 1/F, No.41, The 5th Aveune TEDA, Tianjin
Ph: +86 (0) 22 2529 3899
Fax: +86 (0) 22 2529 3819
Member of SGS Group

www.sgs.com

SGS-CSTC Tianjin Branch
C1-8 to 9, 1/F, No.41, The 5th Aveune
Kaitai Business Incubation Building
TEDA, Tianjin
China 300457
Ph: +86 (0) 22 2529 3899
Fax: +86 (0) 22 2529 3819
Internet: www.cn.sgs.com

SGS Reference: MN2010/r276TJ
Client Reference: Red Hill Core Plies, 2006
Project: Average Coal Quality by Seam
Status: Final
Reported: 26 March 2010
Page 2 of 4

ANALYTICAL REPORT
Average Coal Quality by Seam (as-received basis)
Coal Seam
Gol Seam
Gol-1 Seam
Gol-2 Seam
Gun Seam
Gun-1 Seam
Gun-2 Seam
Mod Seam
Tag Seam

Total
Moisture
21.44
19.58
21.29
17.05
15.00
16.04
15.63
19.41

Fixed
Carbon
39.58
37.37
38.18
38.96
36.97
39.98
34.84
36.86

Sulfur
0.38
0.42
0.28
0.39
0.55
0.46
0.52
0.63

Calorific Value (ar)
Btu/lb
kcal/kg
9,482
5,268
8,752
4,862
9,298
5,165
9,363
5,202
8,654
4,808
9,500
5,278
8,367
4,649
9,126
5,070

Volatile
Matter
34.03
29.67
34.00
32.14
26.87
29.47
28.28
33.57

Fixed
Carbon
45.18
40.69
42.03
43.16
38.88
41.91
37.03
39.47

Sulfur
0.43
0.46
0.31
0.43
0.58
0.48
0.55
0.67

Calorific Value (ad)
Btu/lb
kcal/kg
10,818
6,010
9,530
5,294
10,236
5,687
10,370
5,761
9,100
5,056
9,959
5,533
8,894
4,941
9,774
5,430

Fixed
Carbon
50.62
46.61
48.53
47.32
43.48
47.62
41.42
45.76

Sulfur
0.49
0.52
0.35
0.47
0.65
0.54
0.61
0.78

Calorific Value (db)
Btu/lb
kcal/kg
12,111
6,729
10,913
6,063
11,813
6,563
11,364
6,313
10,180
5,656
11,315
6,286
9,948
5,526
11,328
6,293

Calorific Value (daf)
Btu/lb
kcal/kg
13,635
7,575
13,511
7,506
13,452
7,474
13,696
7,609
13,836
7,687
13,953
7,752
13,544
7,524
13,378
7,432

C1-8 to 9, 1/F, No.41, The 5th Aveune TEDA, Tianjin
Ph: +86 (0) 22 2529 3899
Fax: +86 (0) 22 2529 3819

www.sgs.com

Ash
9.13
15.80
9.66
14.94
22.48
15.87
22.91
12.39

Volatile
Matter
29.85
27.24
30.86
29.05
25.55
28.11
26.62
31.34

Average Coal Quality by Seam (air-dried basis)
Coal Seam
Gol Seam
Gol-1 Seam
Gol-2 Seam
Gun Seam
Gun-1 Seam
Gun-2 Seam
Mod Seam
Tag Seam

Inherent
Moisture
10.51
12.45
13.29
8.33
10.61
11.98
10.42
13.70

Ash
10.28
17.19
10.68
16.38
23.64
16.64
24.26
13.26

Average Coal Quality by Seam (dry basis)
Coal Seam
Gol Seam
Gol-1 Seam
Gol-2 Seam
Gun Seam
Gun-1 Sea
Gun-2 Seam
Mod Seam
Tag Seam

Ash
11.33
19.45
12.25
17.55
26.45
18.90
26.96
15.35

Volatile
Matter
38.05
33.94
39.21
35.13
30.07
33.48
31.62
38.89

Average Coal Quality by Seam (miscellaneous analyses)
Coal Seam
Gol Seam
Gol-1 Seam
Gol-2 Seam
Gun Seam
Gun-1 Sea
Gun-2 Seam
Mod Seam
Tag Seam

Total
Total Core
Samples
(m)
CSN
89
215.7
25
40.2
45
114.6
9
18.8
2
3.3
1
1.3
14
17.3
4
6.0

SGS-CSTC Tianjin Branch

(FSI)
1.0
0.5
0.5
1.0
0.5
1.0
0.5
0.5

Specific
Gravity
1.32
1.38
1.34
1.37
1.46
1.36
1.46
1.39

Member of SGS Group

SGS-CSTC Tianjin Branch
C1-8 to 9, 1/F, No.41, The 5th Aveune
Kaitai Business Incubation Building
TEDA, Tianjin
China 300457
Ph: +86 (0) 22 2529 3899
Fax: +86 (0) 22 2529 3819
Internet: www.cn.sgs.com

SGS Reference: MN2010/r276TJ
Client Reference: Red Hill Core Plies, 2006
Project: Average Coal Quality by Seam
Status: Final
Reported: 26 March 2010
Page 3 of 4

ANALYTICAL REPORT
Ulaan Ovoo Average Coal Quality Specification - 2006 Drilling Programme
Analytical Basis
As-received (ar)
Air-dried (ad)
Dry basis (db)
Dry, ash-free (daf)
Dry, mineral matter-free (dmmf)
Moist, mineral matter-free (mmmf)
Net as-received (NAR, Nievel method)
Net as-received (NAR, Dulong method)

SGS-CSTC Tianjin Branch

Moisture
%
20.03
10.97

Ash
%
12.46
13.87
15.58

Volatile
Matter
%
28.65
31.90
35.83
42.44
41.48

20.030

Fixed
Carbon
%
38.86
43.26
48.59
57.56
58.52

Sulfur
%
0.40
0.44
0.50
0.59

Calorific Value
kcal/kg
Btu/lb
MJ/kg
21.322
5,092
9,165
23.737
5,668
10,203
6,367
11,460
26.662
7,542
13,576
31.583
5,875
5,063
5,013

C1-8 to 9, 1/F, No.41, The 5th Aveune TEDA, Tianjin
Ph: +86 (0) 22 2529 3899
Fax: +86 (0) 22 2529 3819
Member of SGS Group

10,576
9,114
9,023

24.604
21.203
20.992

www.sgs.com

SGS Reference: MN2010/r276TJ
Client Reference: Red Hill Core Plies, 2006
Project: Average Coal Quality by Seam
Status: Final
Reported: 26 March 2010
Page 4 of 4

SGS-CSTC Tianjin Branch
C1-8 to 9, 1/F, No.41, The 5th Aveune
Kaitai Business Incubation Building
TEDA, Tianjin
China 300457
Ph: +86 (0) 22 2529 3899
Fax: +86 (0) 22 2529 3819
Internet: www.cn.sgs.com

STANDARD METHODS

The tests contained within this report have been carried out in accordance with the following Standard Methods.
Coal Quality Parameters
Standard Test Method
Moisture (%)
ASTM D 3302:2005
As Received Basis
Moisture (%)
ASTM D 1412:2004
EQ Moisture Basis
Moisture (%)
ASTM D 3173:2003
Air Dried Basis
Ash (%)
ASTM D 5142:2004
Proximate Analysis (Dry Sulfur (%)
ASTM D 5142:2004
Basis)
Volatile (%)
ASTM D 5142:2004
kcal/kg
ASTM D 5865:2004
Hardgrove Grindability Index (HGI)
ASTM D 4089:2002
Carbon (%)
ASTM D 5373:2002
Ultimate Analysis
Hydrogen (%)
ASTM D 5373:2002
Nitrogen (%)
ASTM D 5373:2002
(Dry Basis)
Oxygen (%)
ASTM D 5373:2002
IT (°F)
ASTM D 1857:2004
Ash Fusion
ST (°F)
ASTM D 1857:2004
Temperature
HT (°F)
ASTM D 1857:2004
(Reducing/Oxidizing)
FT (°F)
ASTM D 1857:2004
SiO2 (%)
ASTM D 4236:2004
Al2O3 (%)
ASTM D 4236:2004
TiO2 (%)
ASTM D 4236:2004
Fe2O3 (%)
ASTM D 4236:2004
CaO (%)
ASTM D 4236:2004
MgO (%)
ASTM D 4236:2004
Mineral Analysis of Ash
K2O (%)
ASTM D 4236:2004
(% Weight Ignited Basis)
Na2O (%)
ASTM D 4236:2004
SO3 (%)
ASTM D 4236:2004
P2O5 (%)
ASTM D 4236:2004
SrO (%)
ASTM D 4236:2004
BaO (%)
ASTM D 4236:2004
Mn2O3 (%)
ASTM D 4236:2004
T250 (°F)
B&W Steam 40th Ed.
Ash Viscosity Temp.
Pyritic (%)
ASTM D 2492:2002
Sulfur Forms
Organic (%)
ASTM D 2492:2002
(Dry Basis)
Sulfate (%)
ASTM D 2492:2002
Trace Elements
Antimony
Arsenic
Barium
Beryllium
Boron
Bromine
Cadmium
Chloride
Chromium
Colbalt
Copper
Fluoride
Lead

Standard Test Method
Trace Elements
Standard Test Method
ASTM D 6357:2004
Lithium
ASTM D 6357:2004
ASTM D 6357:2004
Manganese
ASTM D 6357:2004
ASTM D 6357:2004
Mercury
ASTM D 3684:1994 (2006)
ASTM D 6357:2004
Molybdenum
ASTM D 6357:2004
ASTM D 6357:2004
Nickel
ASTM D 6357:2004
ASTM D 3761:1996 (2002) Selenium
ASTM D 6357:2004
ASTM D 6357:2004
Silver
ASTM D 6357:2004
ASTM D 4208:2002
Strontium
ASTM D 6357:2004
ASTM D 6357:2004
Thallium
ASTM D 6357:2004
ASTM D 6357:2004
Tin
ASTM D 6357:2004
ASTM D 6357:2004
Vanadium
ASTM D 6357:2004
ASTM D 3761:1996 (2002) Zinc
ASTM D 6357:2004
ASTM D 6357:2004
Zirconium
ASTM D 6357:2004
C1-8
to
9,
1/F,
No.41,
The
5th
Aveune
TEDA,
Tianjin
SGS-CSTC Tianjin Branch
Ph: +86 (0) 22 2529 3899
Fax: +86 (0) 22 2529 3819
Member of SGS Group

www.sgs.com