Indus amends dates on acquisition of coal mines in Jambi
Tuesday, April 23 2013 - 04:50 AM WIB
ASX-listed miner company Indus Coal Limited announced on Tuesday that it has entered into an agreement that amends some of the terms in the recent transaction to purchase 3 thermal coal bearing concessions, totaling 14,394 ha, all located in the Jambi province.
The 3 coal concessions are Block 7 (5,001ha), Block 8 (4,380ha) and Block 9 (5,013ha), located near each other in the Central Tebo district, Tebo regency, it said in report.
The new deal amended dates for each stage of the transaction, as follows:
1. Stage 1, Indus purchased a 38 percent shareholding in exchange for US$6,500,000 from Indonesian firm PT Batanghari Energi Prima (BEP) that solely owns Blocks 7 and 8, and from PT Berlian Mahkota Coal (BMC) which is the sole owner of Block 9. Completion of the purchase of Stage 1 occurred on January 25, 2013 and Indus now owns a 38 percent shareholding in BEP and BMC.
2. Stage 2, subject to and conditional upon Indus successfully raising financing in the amount of at least A$17,500,000 by 23 August 2013 (the new amended date) on terms and conditions to the satisfaction of Indus, Indus shall purchase from an unrelated Indonesian third party vendor a further 38 percent of the shares in BEP and BMC so that Indus has a 76 percent shareholding in BEP and BMC and completion of this sale and purchase shall occur on August 30, 2013. At completion, lndus shall pay US$9,500,000 for this additional 38 percent shareholding.
3. Stage 3, subject to and conditional upon all of the following conditions being satisfied:
? Purchase by Indus of the 62 percent of the shares in BEP and BMC thereby taking lndus? shareholding in BEP and BMC to 100 percent;
? Full payment by December 12, 2013 of US$15,000,000 having been made by Indus as set out above having occurred;
? The completion, by December 12, 2013, of a 150 hole HQ JORC compliant drilling program which results in the 3 coal projects having a JORC Indicated Resource of greater than 100,000,000 tons.
Editing by Dadan Wijaksana