Pan Asia update South Kalimantan coal project
Wednesday, April 30 2014 - 07:57 AM WIB
Completion of $500,000 second stage Capital Raising
In March 2014, the Company raised a further $504,000 after issuing 24m shares at $0.021 The Company is currently expecting a third tranche placement of funds to be received in early May 2014.
Possible sale of Interest in TCM Project
The Company is continuing negotiations with Singaporean / Indonesian groups for the possible sale / funding of its 75% interest in the TCM project. These negotiations are now very advanced and the Company expects them to be concluded in the very near future. A successful completion of such an arrangement could see the asset rerated with the Company also retaining an interest funded to production.
TCM Project ? South Kalimantan (75% Owned)
During the quarter the Company continued its? activity on the TCM project including:
- The modelling of various low, front end capex / fast production scenarios for the development of the mine
- Discussions with possible equipment suppliers for the supply of underground equipment and OEM financing arrangements
- Discussions with Chinese underground mining contractors with specific capability in similar rock conditions
- Met various regulatory requirements under the mining licence, including the monthly and quarterly environmental reports and payment of the annual concession fees
- Progressed outstanding permitting and access arrangements
- Developed an infill drill plan for the northern part of the concession to increase the level of confidence in that part of the resource from inferred status to indicated status.
The Company owns a 75% interest in PT Transcoal Minergy, the owner of mining operation production licence 545/091/IUP-OP/D.PE/2010 dated 28 April 2010, located in the Tanah Bumbu Province in the Regency of South Kalimantan
Pan Asia CEO Alan Hopkins said: Commercially, we have had a very active quarter with the Company very close to choosing its? preferred path for the TCM project. Once various preconditions are met we expect to be able to announce the path forward for this project which may see the Company?s asset rerated with a funded interest retained to production? (end of excerpt)