OGL to set up a JV to develop E. Kalimantan coal
Monday, December 21 2009 - 05:10 AM WIB
Australian-listed firm Overseas & General Limited (OGL) has signed an agreement with PT. Indotrade Resources and Hong Kong-based firm Golden Focus Pte Ltd to set up a joint venture to explore for and exploit coal on 23,960 hectares of lands in East Kalimantan.
The joint venture will be incorporated in Indonesia in which OGL will hold 51 percent stake. The remaining shares will be held jointly by PT. Indotrade Resources and Golden Focus Pte Ltd, OGL said in statement on Monday.
This proposed joint venture will hold a 100 percent stake in PT Pagar Benua Borneo which is the concession holder.
OGL will undertake a due diligence in the next two months before signing a formal agreement with the joint venture partners. More details of the joint venture are still pending, it said.
PT Indotrade Resources is an Indonesian coal mining company established in Samarinda. Golden Focus Pte Ltd is the holding company of PT Indotrade Resources.(denny)