APAC coal begins ASX debut
Thursday, July 10 2008 - 05:26 AM WIB
The Initial Public Offering (IPO) closed last week having reached the minimum subscription level of A$7 million.
APAC Coal?s major shareholder is Magnus Energy Group Ltd., a Singapore listed conglomerate with interests in oil, gas and coal.
On listing, APAC Coal will have a market capitalisation of around A$50 million.
APAC Coal was established in June 2007 to explore for coal and to bring into production a proven resource at its 68,360 ha concession East Kalimantan. APAC Coal intends to commence exploration and mining on selected areas within the locale of its coal concessions.
Chairman, Paul Piercy said, ?APAC Coal has entered into an exciting phase of its development and with the capital from the IPO proceeds we will be able to quickly commence production of thermal coal from a new mine which is currently in the pre-production phase.?
The company?s main Concession in East Kalimantan contains JORC compliant resources of approximately 5.1 million tonnes of coal. Of this resource, 1.4 million tonnes is inferred and 3.7 million tonnes are indicated. The resource has been established over a very small part of the Concession (an area of 890ha to a depth of 100m) and is located with established infrastructure including an access road, stockpile area and a loading jetty.
Piercy said coal will be sold principally in the domestic energy market with the intention of very quickly entering the international export market.(alex)