Golden Eagle unit repays loan, corporate guarantee released
Tuesday, May 9 2017 - 11:33 AM WIB
IDX-listed coal mining firm PT Golden Eagle Energy Tbk said that Bank Permata has released so-called corporate guarantee and collateral provided by the company in relation to a 2015 loan obtained by its indirect subsidiary PT Internasional Prima Coal (IPC).
Golden Eagle said that the bank released on May 4 the corporate guarantee and collateral after IPC repaid the loan. The company said that with the release, it no longer has contingent liability in relation to the IPC bank facility.
IPC is a coal miner based in East Kalimantan which started production in 2010. Golden Eagle holds an effective 39 percent stake in IPC. Golden Eagle said that as part of the Rp 478.99 billion loan deal between IPC and Bank Pertamina, the company provided the collateral and corporate guarantee in proportion with the size of its stake in IPC.
IPC needed the loan to help finance working capital and acquisition program.
Editing by Reiner Simanjuntak