Golden Energy acquires S. Sumatra coal mine

By Alexander Ginting

Petromindo|Khalsa

SGX-listed coal mining group Golden Energy and Resources Limited (GEAR) announced on Friday that its Indonesian listed 67% subsidiary has entered into conditional share purchase agreement with Indian firm GMR Infrastructure to acquire coal mine in South Sumatra.

Under the deal worth US$65.6 million, GEAR?s IDX-listed unit Golden Energi Mines Tbk (GEM) will acquire of companies that held stakes at PT Bara Sentosa Lestari (BSL) and taking over Mandatory Convertible Bonds issued by one of the companies acquired by GEM.

GEM CEO Bonifasius told Petromindo.com on Saturday that with the acquisition, GEM will acquire 100 percent shares of BSL.

BSL is a second generation CCOW mining license with 30 years of mining rights starting March 2011. It is located over an area of 24,385 hectares in Musi Rawas and Musi Banyuasin provinces in South Sumatra.