Share placement completed, Rajawali majority shareholder in Indo Mines

By Romel S. Gurky

Australia-listed Indo Mines Limited said that it had completed the placement of 250 million ordinary fully paid shares by Rajawali Group at $0.20 per share to raise $50.0 million, giving the Indonesian company a majority share ownership at 57.12 percent in the company.

Based on both companies? agreement signed on September 23rd of 2012, the company has changed the structure of its board of directors. Peter Chambers has been appointed as a non-executive director and chairman of the company. Darjoto Setyawan has been appointed as a non-executive director.

Zhang Xiangqing has resigned as a director with effect from the completion. Christopher Catlow has stepped down as chairman, but he will continue with the company as a non-executive director.

Christopher Catlow welcomed the appointment of Peter Chambers and Darjoto Setyawan to the board and thanked outgoing director Zhang for his contribution.

He said that he was delighted that the Rajawali Group shared the company?s vision in establishing an Indonesian steel industry based upon the country?s vast iron sand resources.

Incoming Chairman Peter Chambers commented that the Rajawali Group was delighted to be able to increase its position in the company and in doing so to allocate significant resources to ensure the successful development of the Jogjakarta Iron Project.

He confirmed that the Project was a key priority for the Rajawali Group and recognizes the value that the Project would bring to both the Jogjakarta economy and to the lasting development of the Indonesian steel industry.

Rajawali Group is owned by Indonesian tycoon Peter Sondakh, who has a number of mines operating in Indonesia as well as infrastructure and plantation projects.

Editing by Benget Besalicto Tnb.