Yari Resources Unlocks Three Coal Markets From 282Mt Arcadia Project
Key Takeaways
- An independent review by 35-year coal specialist Chris McMahon of McMahon Resources has identified three potential product pathways — semi-soft coking coal, PCI, and high-energy thermal — from Yari's 282Mt Arcadia Coal Project in Queensland's Bowen Basin.
- The commercial foundation is a ~10% average in-situ ash content across the principal B, C and D seams, assessed across 44 bore cores and 1,472 samples, which supports high yields and reduced processing costs across all three product types.
- Selective mining targeting approximately 32% of the assessed low-ash deposit could achieve an average Crucible Swelling Number of ~3, the threshold relevant to semi-soft coking coal classification — a product that commands a meaningful price premium over standard thermal coal.
- Historical beneficiation testwork shows washing can lift CSN by approximately 1–2 points, providing an additional lever to upgrade product quality and expand the proportion of coal with semi-soft coking characteristics.
- Combined with the Rolleston South Coal Project's 222.9Mt resource, Yari now holds approximately 504.9Mt of JORC 2012 Coal Resources in an established Queensland district with existing road, rail and export infrastructure.
Multiple product pathways emerge from Arcadia’s 282Mt coal project
An independent coal-quality review has identified the potential for three distinct product pathways from Yari Resources’ recently acquired Arcadia Coal Project in Queensland’s Bowen Basin, pointing to a flexible asset with optionality across coal markets rather than a single-product deposit. The review was conducted by coal-quality specialist Chris McMahon of McMahon Resources, who brings more than 35 years’ experience in the Australian coal industry. Yari announced the Arcadia acquisition on 3 August 2026.
The Arcadia acquisition, announced on 3 August 2026, added a 282Mt JORC 2012 Mineral Resource to Yari’s portfolio and doubled the company’s coal footprint in the Rolleston area of Queensland’s Bowen Basin.
The Arcadia Coal Project holds a 282Mt JORC 2012 Mineral Resource, comprising 164Mt Indicated and 118Mt Inferred Resources. McMahon’s review examined historical data from 44 bore cores and 1,472 samples across the principal B, C and D seams of the Bandanna Formation, identifying the potential for semi-soft coking coal, pulverised coal injection (PCI), and high-energy thermal coal products. The assessed coal averages approximately ~10% in-situ ash, a figure that underpins all three product pathways.
When big ASX news breaks, our subscribers know first
What the coal-quality review found
Low ash opens the door to three distinct markets
In-situ ash content of approximately ~10% is the commercial foundation of the Arcadia review. Low ash means less waste material within the coal seam, which translates to reduced processing requirements, higher energy content, and lower production costs regardless of which product pathway is ultimately targeted.
The review identifies three potential products:
- Semi-soft coking coal: Preliminary tonnage-weighted analysis indicates selective mining could achieve an average Crucible Swelling Number (CSN) of approximately 3 across approximately 32% of the assessed low-ash deposit. This is a preliminary coal-quality assessment only, does not include loss or dilution, and does not represent a separate Mineral Resource estimate.
- PCI (pulverised coal injection): The low average in-situ ash supports potential for high-yield PCI products, including through selective raw coal mining.
- High-energy thermal: The naturally low ash supports a potential high-yield thermal product with limited processing required.
Historical beneficiation testwork indicates that washing can reduce ash and increase CSN by approximately 1–2 points, potentially improving product quality and increasing the proportion of coal displaying semi-soft coking characteristics.
Why product flexibility matters
Most coal deposits are developed around a single product specification, which locks the operator into one market. Arcadia’s low in-situ ash means Yari can potentially orient production toward whichever product commands the strongest pricing at the time of development, whether that is metallurgical, PCI, or thermal coal.
The three product pathways at a glance:
- Semi-soft coking coal — selective mining and beneficiation scenario; preliminary average CSN ~3 across ~32% of assessed low-ash deposit (preliminary assessment only)
- PCI coal — high-yield potential supported by low in-situ ash; selective raw coal mining pathway available
- High-energy thermal — naturally low ash supports high yield with limited processing required
Courtney Taylor, Managing Director
“Arcadia is emerging as a highly flexible coal opportunity. The naturally low in-situ ash provides the potential for a relatively high-yield thermal product, while accepting a lower yield through selective mining and beneficiation may produce a smaller proportion of coal with semi-soft coking characteristics.”
Understanding coal quality — why CSN and ash content matter to investors
Two technical measures drive the Arcadia story. In-situ ash is the proportion of non-coal material (rock and mineral matter) present within the seam before any processing. Lower ash means more coal and less waste per tonne mined, which reduces processing costs and supports higher energy content and pricing.
Crucible Swelling Number (CSN) is an empirical measure of a coal’s caking or swelling behaviour when heated. It is a key indicator of metallurgical coal characteristics. A CSN of approximately 3 is relevant to semi-soft coking coal classification, which sits below hard coking coal but above thermal coal on the pricing spectrum, commanding a meaningful premium over standard thermal product.
Beneficiation refers to the washing process that removes impurities from raw coal. It reduces ash content, can lift CSN by approximately 1–2 points, and generally enhances overall product quality, making it a critical lever for product upgrading at Arcadia.
Chris McMahon, Director and Principal Consultant, McMahon Resources
“Arcadia’s low average in-situ ash provides a strong starting point for assessing multiple coal products. Of particular interest is the preliminary indication that selective mining could achieve an average CSN of around 3 across a meaningful proportion of the assessed low-ash coal, while historical washability results indicate beneficiation can further improve product quality.”
The next major ASX story will hit our subscribers first
Expanding Arcadia’s technical dataset and next steps
Yari is progressively expanding the Arcadia technical dataset beyond the drilling incorporated into the 2017 geological model. The current review includes five additional cored petroleum/CSG wells not previously incorporated into that model, along with three 2022 coal-exploration holes designated LDAP001, LDAP002, and LDAP003. Further historical drillholes and datasets have been identified and are being progressively validated and incorporated into the Arcadia database.
The next phase of work will see Yari and McMahon Resources undertake detailed analysis to define potential product proportions, yields, specifications and beneficiation requirements across the coking, PCI and thermal pathways.
| Product Type | Key Characteristic | In-Situ Ash Basis | Beneficiation Required | Status |
|---|---|---|---|---|
| Semi-soft coking coal | Selective mining targeting average CSN ~3 across ~32% of assessed low-ash deposit | ~10% average in-situ ash | Beneficiation can increase CSN by ~1–2 points and reduce ash | Preliminary assessment |
| PCI coal | High-yield PCI potential supported by low in-situ ash; selective raw coal mining pathway available | ~10% average in-situ ash | Optional; beneficiation offers further ash reduction and quality uplift | Preliminary assessment |
| High-energy thermal | Naturally low ash supports high-yield thermal product with limited processing | ~10% average in-situ ash | Limited processing required; beneficiation available for further uplift | Preliminary assessment |
Arcadia’s development sits within Yari’s broader district-scale consolidation strategy in the Rolleston area. Combined with the Rolleston South Coal Project (222.9Mt JORC 2012 resource), Yari now holds exposure to approximately 504.9Mt of reported Coal Resources in an established Queensland coal district, with access to existing road, rail and export infrastructure.
Yari’s coal resource upgrade in Queensland expanded the total reported resource base that now underpins the district-scale consolidation strategy, with the Rolleston South and Arcadia projects together representing approximately 504.9Mt of JORC 2012 Coal Resources.
Managing Director Courtney Taylor pointed to the broader strategic context underpinning the company’s Bowen Basin positioning. “These are exciting times for Yari and our shareholders as we continue our resource expansion in the Bowen Basin, supporting our district-scale consolidation strategy amid rising competition for resources within the tier-one basin.”
Don’t Miss the Next ASX Coal Breakout
Big News Blast delivers FREE breaking ASX mining and energy alerts to your inbox within minutes of release, complete with in-depth analysis already done. Join 30,000+ subscribers staying ahead of the market across coal, gold, lithium and more. Click the “Free Alerts” button to start receiving real-time alerts the moment market-moving news breaks.