spring of 1969 by mid,1970 coal deliveries from the navajo mine under the requirements of both contracts will advance to a yearly rate of 8.5 million tons and this output will be higher than that of any other coal mine operating in the united states the navajo mine has committed under these contracts approximately 326 million tons of the total strippable reserves of 1.1 billion tons we are actively seeking markets for the remaining 774 million tons of uncom mitted reserves the blackwater mine located in queensland australia completed its first year of operation coking coal shipments from this mine commenced in january and totalled 833,000 long tons for the fiscal year by 1970 its yearly output will increase to 2,400,000 long tons to fulfill long-term sales contracts with the japanese steel industry totalling 21.7 million long tons over a ten-year period utah also holds exploration rights over a large area in central queens land north of the blackwater mine in 1966 utah entered into a joint ven ture agreement with mitsubishi australia pty limited a subsidiary of mitsubishi shoji kaisha ltd the prominent japanese trading company to conduct exploration and develop mines in this area utah controls 85 per cent of the joint venture which has recently discovered some of the world's largest new deposits of coking coal in central queensland aus tralia an agreement has been reached with the queensland government which was ratified by parliament giving the joint venture mining rights within the area we have started negotiating for long-term sales contracts in the japanese market last year we reported to you that our geologists had discovered copper mineralization on properties within the bay claims now known as island copper located on rupert inlet at the northern end of vancouver island in british columbia canada during the past year we conducted further exploration and other work on these properties we have now established that these claims contain proven and probable ore reserves of approximately 180 million tons assaying 52 copper and 025 molybdenum sulfide with minor precious metal values utah also controls other properties in the united states which contain substantial reserves but for which markets have not yet been established these include the dayton iron ore deposit in western nevada jointly owned with cyprus mines corporation a coal deposit at craig colorado 200 miles west of denver and a coal deposit near kanab in southern utah our mineral exploration programs have been rewarding and in 1968 we continued our search for various metals and non-metallics including utah s afiiliale marcona mining co mines and beneficiates high grade iron ore shipping 8,347n000 tons