Singapore?s Links Island Holdings expands to coal mining industry

Singapore-based reclamation and dredging company Links Island Holdings Limited said Thursday its shareholders have approved the acquisition of entire interests held by Manhattan Investments Pte Ltd in three companies that engaged coal industry in Indonesia.

The three companies are ASL Energy Pte Ltd (ASLE), Lian Beng Energy Pte Ltd (LBE) and Tat Hong Energy Pte Ltd (THE). Manhattan Investments holds a 50 percent interest in each company.

Links Island said it would pay the acquisition with S$27.62 million worth of its shares plus up to S$5 million in cash.

ASLE, which was incorporated with ASL Marine, owns a fleet of tug boats and coal-carrying barges and charters them out to coal mines or their contractors in Indonesia. ASLE also indirectly holds exclusive rights to conduct mining operations and marketing of coal for a coal mine in Tabang district, East Kalimantan Province.

LBE provides services for overburden removal and dumping works for open cast coal mines in Indonesia. LBE's Indonesian subsidiary has secured a five-year overburden worth US$214 with PT Gunungbayan Pratamacoal for the removal and dumping of overburden material. LBE was incorporated with Lian Beng Group Ltd.

Meanwhile, THE is involved in the trading and leasing of machinery and equipment. THE enjoys a five-year equipment leasing agreement amounting to approximately US$70 million with Gunungbayan to lease mining equipment including 250-ton class excavators, 125-ton class excavators and 100-ton class dump trucks. Tat Hong Holdings holds the remaining interest in THE.

?The expected completion date for the acquisition is towards the end of December 2004,? Links Island added. (Robert)