Indus: Capital raising in progress, awaits PLN?s reply over proposed mine mouth power plant
Friday, January 22 2016 - 02:57 AM WIB
ASX-listed Indus Coal Limited announced Friday that CPS Capital is progressing with the raising of up to A$500,000 by way of a debt drawdown facility as announced on January 18, 2016.
?This raising of capital is for working capital purposes and is subject to and conditional upon (amongst other things) the successful restructuring of the terms of its 2 existing bond issues,? Indus said in a statement.
Elsewhere, in relation its planned mine mouth power plant project in Jambi, Indonesia, Indus said that the Indonesian state-owned electricity firm PT PLN has yet to provide the results of its review over the proposed project.
As has been reported, Indus?s 38 percent owned coal mining subsidiary PT Berlian Mahkota Coal (BMC) has signed a MoU with a Tier 1 Chinese power plant engineering and construction company to develop a new mine mouth power plant on Block 9 in Jambi province, Indonesia. ?The results of the submission are yet to be announced by the PLN. The Board will provide an update once the outcome of the PLN?s review has been received,? Indus said.
BMC is the 100 percent owner of the Blok 9 coal concession in Central Tebo District, Tebo Regency, Jambi. The concession has an estimated JORC resource of 94,000,000 tons of thermal coal.
Indus requires immediate additional working capital to meet the terms of a deed of settlement and release relating to costs associated with the company?s corporate office of $175,000 of which $120,000 is due by January 28, 2016.
?In that regard, the Board wishes to advise that its securities remain suspended at the request of the company pending the release of an announcement regarding the debt drawdown facility, debt restructuring and outcome of the results of the PLN submission on or before 15 March 2016,? the company said.
Editing by Reiner Simanjuntak