Coal Fe fails to acquire Jambi coal mine
Thursday, February 7 2008 - 12:01 AM WIB
ASX-listed firm Coal Fe Resources cancels plan to acquire 60 percent stake in Jambi coal mining form PT. Nusantara Thermal Coal (NTC).
The company said in an announcement Thursday that the plan collapsed after Coal Fe and PT.Bungo Raya Nusantara, the owner of NTC failed to fulfill the conditions precedent as stipulated in the conditional Share Sale Agreement.
NTC is a 3rd generation Coal Contract of Work holder with the right to mine an area of 2,832 hectares for a period of 30 years commencing on 27 March 2006 in Muara Bungo Regency, Jambi Province. Geological due diligence undertaken by a consultant showed the mine?s JORC-compliant recoverable reserves of 24 million tonnes. (alex)