Yari Resources (ASX:YAR) is expanding its presence in Queensland’s Bowen Basin after agreeing to acquire the Arcadia Coal Project, a transaction that could significantly increase the company’s reported coal resource base. The Acquisition would add a second project alongside the company’s existing Rolleston South Coal Project, although the combined resource inventory remains an exploration-stage asset base rather than a developed Mining operation.

Company overview

Yari Resources was previously known as Yari Minerals Limited before shareholders approved a name change in May 2026, with the new name becoming effective on the ASX in June 2026. The company’s flagship asset is the Rolleston South Coal Project, comprising two granted exploration permits for coal covering approximately 272 square kilometres in Queensland’s Bowen Basin, around 20 kilometres south of Glencore’s Rolleston mine.

The company has reported a Rolleston South coal resource of 222.9 million tonnes, including 33.7 million tonnes in the Indicated category and 189.2 million tonnes in the Inferred category.

Arcadia acquisition expands resource position

On 3 August 2026, Yari entered into a binding but conditional share sale agreement to acquire 100% of the Arcadia Coal Project through Northern Comet Resources. The company has stated that the acquisition would expand its reported JORC 2012 coal resource base to approximately 505 million tonnes, combining Rolleston South and Arcadia resources.

The Arcadia project is reported to contain a JORC 2012 resource of 282 million tonnes. The acquisition structure includes upfront consideration, milestone-based payments and a 1.5% gross Revenue Royalty payable to Utopia Resources Pty Ltd. Completion of the transaction remains subject to the conditions outlined by the company.

Exploration progress at Rolleston South

Yari has continued technical work at Rolleston South, including coal quality drilling reported in March 2026. Results from drillhole RSC015C indicated potential washed product characteristics, including estimated product ash of approximately 7–8%, estimated Yield of around 85%, total sulphur of 0.35% and phosphorus of 0.07.

The company has highlighted the potential for Rolleston South to produce low-ash export thermal coal, pulverised coal injection products and semi-soft coking coal. However, these remain development concepts, with no mining reserve declared and much of the reported resource classified as Inferred.

Funding and capital structure

To support the Arcadia transaction, Yari completed a Placement at A$0.0045 per share, targeting approximately A$2.2 million. Shareholders approved resolutions related to the acquisition, placement tranches, Options and performance rights at a general meeting held on 21 September 2026.

On 25 September 2026, the company sought Quotation of 276.8 million placement shares. Following the issue, Yari indicated that quoted ordinary shares would increase to approximately 1.33 billion, with additional securities linked to the Arcadia acquisition and options still to be issued.

Key risks and milestones

The Arcadia transaction remains conditional, and completion is dependent on meeting the relevant requirements outlined in the company’s announcements. Further drilling, technical studies, mining approvals and environmental processes would require additional funding beyond the recent capital raising.

Coal sector conditions, including Commodity prices and policy settings, remain important factors for exploration and development companies. Yari’s projects are still at an early stage, meaning future development outcomes will depend on exploration results, approvals and funding availability.

The company held an investor webinar on 15 September 2026 outlining its Bowen Basin expansion plans. Further exploration activity and progress on the Arcadia acquisition will be key areas to follow.