Moody's announces completion of a periodic review of ratings of Geo Energy Resources Limited

(Singapore, April 30, 2019) -- Moody's Investors Service ("Moody's") has completed a periodic review of the ratings of Geo Energy Resources Limited and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. The review did not involve a rating committee. Since 1 January 2019, Moody's practice has been to issue a press release following each periodic review to announce its completion.

This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed in a portfolio review and hence are not impacted by this announcement. For any credit ratings referenced in this publication, please see the ratings tab on the issuer/entity page on www.moodys.com for the most updated credit rating action information and rating history.

Key rating considerations are summarized below.

Geo Energy Resources Limited's (Geo Energy) B2 rating reflect its (1) position as a low-cost coal producer in Indonesia; (2) contractual arrangements with significant operators within the Indonesian coal sector, which mitigates execution risk; and (3) strong liquidity given its significant cash holdings.

The B2 ratings also reflect the company's (1) relatively short track record of operating as a pure-play mining company; (2) small scale and high degree of geographic concentration; (3) need to acquire coal assets to grow the business and increase coal reserves; and (4) exposure to thermal coal price volatility. (ends)