Mincorp eyes coal mining JV with ATPK

London Stock Exchange-AIM section-listed mining firm Mincorp PLC said on Monday it was in advanced talks to enter into coal mining joint venture with Indonesian Stock Exchange-listed coal mining firm APTK Resources Tbk.

Under the proposed deal Mincorp will be granted exclusive mining rights to selected tenement(s) over a period of five years upon the understanding that Mincorp pay an agreed price per metric tonne that reflects an attractive discount to that currently being achieved in the market.

?Mincorp PLC made a strategic acquisition (5.5%) of ATPK Resources and maintains its view that ATPK is an undervalued company with approximately 78 million tons of coal reserves predominantly in East Kalimantan,? the company said.

Mincorp PLC is planning a fundraising to be completed within 2008 to further evelop the potential of the Company's existing assets and provide the necessary funding to fulfil any obligations ensuing from the agreement with ATPK, the company said.(denny)