Coal explorer Churchill Mining has increased its reserve target at East Kutai in Indonesia by 50 per cent to 150 million tonnes.

The Western Australia-based company, which last year agreed to buy a 75 per cent stake in the East Kutai project, has extended its area and recently doubled to 250 million tonnes the potential coal resource there. AIM-quoted Churchill now says it is reviewing its resource target to see if it can increase its goal of 500 million tonnes by the end of 2008.

Managing director Paul Mazak proclaims, ‘Churchill is ahead of schedule and budget in its exploration programme’. He stresses that the company is focused on establishing a solid mining reserve, ‘As quickly as possible, so that we can move to mine construction and production’.

Shares in Churchill, which soared from 9p last year to 73.5p two months ago, now trade at 69p, up 1.5p this morning, and value the company at £45.5 million. Partial profit taking might be prudent but there could be could be further advances.

Growth Company Investor subscribers have full access to all our AIM and small-cap share recommendations. To subscribe today with a half-price offer, and gain immediate access to all the recommendations, click here.

Churchill Mining	AIM	£18.82m	28.00p	0.00p
Click here for interactive charting
Other company articles:
Resource boost at Churchill			05/09/2008
Churchill lifts reserve target			27/05/2008
Resource boost for Churchill			14/04/2008
Midas Investment Management			06/11/2006