BEK-open-pitAside from being a mine owner, Geo Energy Resources also is a third-party mining services provider for overburden removal, coal haulage and coal sales. NextInsight file photoGEO ENERGY RESOURCES has just announced two related deals.

Its subsidiary, PT Mitra Nasional Pratama, has entered into a mining services contract with PT Parisma Jaya Abadi (PJA).

Another subsidiary, Geo Coal International, entered into a coal mining cooperation agreement with PJA, which holds mining business permits for 5,000 hectares of land in the Kedung Murung and Lebak Mantan Villages, Kota Bangun and Muara Wis District, Kutai Kartanegara Regency, East Kalimantan Province.

Under the mining services contract, PT Mitra Nasional Pratama shall provide overburden removal in a specified work block of approximately 150 hectares within PJA's concession area.

PT Mitra Nasional Pratama shall receive a service fee of US$2.50 (excluding value added tax) per bank cubic metre for overburden removal.

400_charles-antonny-melati and mark zhouL-R: Geo Energy Resources chairman Charles Antonny Melati and chief investment officer Mark Zhou. NextInsight file photoUnder the mining agreement, PJA and Geo Coal International will cooperate to produce coal in the same 150-ha work block.

PJA has agreed to sell and deliver the coal produced from the work block  exclusively to Geo Coal International.

PJA has undertaken exploratory activities and guaranteed that the potential coal contained in the work block is approximately 420,000 metric tonnes of coal with calorific value in excess of 6,800kcal/kg (GAR).

The exploration results were made available to PT Mitra Nasional Pratama, which has commenced drilling and boring works at the work block to ascertain the coal deposit.

In the event that the volume of coal produced from the work block amounts to less than 420,000 metric tonnes, PJA will assign to Geo Coal International additional work blocks until the volume of coal produced reaches 420,000 metric tonnes.

Geo Coal International shall make an upfront payment of US$2.94 million to PJA within 14 days from Sept 24, the date of the Mining Cooperation Agreement.

The mining services contract and mining cooperation agreement are expected to have a positive impact on the net tangible assets per share and earnings per share of Geo Energy Resources for the current financial year ending 31 December

Share Prices

Counter NameLastChange
AEM0.9350.010
Best World1.6050.020
China Everbright0.4450.005
China New Town^0.070-
China Sunsine0.5200.010
Chip Eng Seng0.6550.005
CWG Intl^0.1670.002
$ CNMC Goldmine0.4150.010
Cordlife0.960-
Dutech0.480-
Food Empire0.5650.005
Geo Energy Res0.225-
Golden Energy0.4850.020
$ GSS Energy0.0880.002
G Invacom0.1580.003
Hiap Hoe0.6950.005
Hi-P0.4700.010
$ ISOTeam0.4150.010
King Wan0.1730.003
Lian Beng0.4550.005
Midas0.2250.005
Nordic0.280-
Oxley0.4750.020
Regal Intl0.140-
$ Rex Intl0.0690.001
$ Resources Prima0.0380.001
Riverstone0.8750.010
Roxy-Pacific0.5200.070
Sunningdale Tech1.1250.010
Serial System^0.140-
SingHoldings0.310-
Sino Grandness0.270-
Straco0.795-
Sunpower0.580-
Tiong Seng0.230-
$ Trendlines0.1700.010
Uni-Asia1.020-
ValueMax0.250-
XMH0.290-
Yamada Green Res0.4700.010
YZJ Shipbldg SGD0.8150.010
Powered by JoomlaGadgets

NextInsight RSS

rss_2 NextInsight - Latest News

Online Now

We have 251 guests and no members online