BlackGold Signs Non-Binding MOU with Established Financial Institution in relation to a S$20 Million Convertible Bond Facility
- Non-binding Memorandum of Understanding signed on 30 November 2017 - Potential issuance of convertible bonds to raise up to S$20 million - Proceeds to be used to acquire a portion of BlackGold's equity interest in relation to the development of the Riau-1 Project
SINGAPORE, Dec 01, 2017 - (ACN Newswire) - The Board of Directors (the "Board" or "Directors") of BlackGold Natural Resources Limited (the "Company" and, together with its subsidiaries, the "Group" or "BlackGold") wishes to announce that on 30 November 2017, the Company entered into a non-binding memorandum of understanding (the "MOU") with an undisclosed lender (the "Lender"; collectively, the "Parties"), which is an international financial institution with established presence in Hong Kong and a rapidly expanding network across the globe, pursuant to which the Company intends to raise up to S$20 million by way of the issuance of convertible bonds (the "Convertible Bonds").
The Convertible Bonds will be used to finance BlackGold's acquisition of its equity interest in an ongoing cooperation project for the development, construction, operation and maintenance of a 2 x 300 megawatt coal-fired power plant in Riau province, Sumatra, Indonesia (the "Riau-1 Project").
This follows an earlier announcement released on 18 September 2017, in relation to BlackGold signing a Heads of Agreement ("HOA") with various parties to form a new consortium (the "Consortium") for the Riau-1 Project.
Subject to successful completion of: i) satisfactory due diligence; ii) the incorporation of the joint venture company for the purposes of the Riau-1 Project by China Huadian Engineering Co., Ltd. ("CHEC"), PT Pembangkitan Jawa-Bali ("PJB") and the Company; and iii) the Riau-1 Project signing the Power Purchase Agreement ("PPA") with PT Perusahaan Listrik Negara ("PLN"), the Parties will enter into a definitive agreement or term sheet for the proposed issuance of the Convertible Bonds. The MOU shall be valid until 23 February 2018, before which the Consortium, of which BlackGold is a part, must complete the signing of the PPA with PLN.
The conversion price will be the sum of: i) the volume weighted average price ("VWAP") at date of the definitive agreement(s) to be entered into by the parties in respect of the transaction; and ii) 50% of the last 30 trading days' VWAP before the date of such definitive agreement(s). The Convertible Bonds will have a 36-month maturity period from the drawdown date.
SAC Capital Private Limited has been appointed as the placement agent for the Convertible Bonds.
"We are delighted to sign this MOU together with such a prestigious securities company and greatly appreciate the support offered by the Lender during these early stages of the Riau-1 Project. BlackGold will continue to build relationships with new private investors to broaden our existing investor pool," said Mr Philip Rickard, BlackGold's Chief Executive Officer. "This is a testament to the confidence our investors have in us as a Company, our story and our vision. It is truly an encouragement to see individuals and companies share our mission and believe in our initiatives to be part of Indonesia's power generation future." Information on PLN, PJB and CHEC
PLN is Indonesia's state-run power distribution company.
PJB is a power generation company with the aim of promoting Indonesia's economic development by providing high-quality, reliable and sustainable energy supply. PJB is a wholly-owned subsidiary of PLN.
CHEC is a state-owned power engineering company in China. CHEC's core businesses encompass high tech product research and development, engineering design, general contracting, as well as energy technology research and services. CHEC is currently involved in project construction, investment, operation and maintenance of various power projects located in Indonesia. About BlackGold (Bloomberg Ticker: BHR:SP)
The Group is an Indonesia-focused coal mining company targeting Indonesia's rapidly growing power plant industry. Through long term, fixed offtake agreements with its principal customers, the Group has a customer portfolio consisting of state-owned and independent power plants and factories.
The Group, through its local subsidiaries, has the rights to three coal concessions in Riau, Indonesia.
Currently, the Group, through its subsidiary PT Samantaka Batubara, has a coal concession for an area of 15,000 hectares, and has over 500 million tonnes of Coal Resources (Resources and Reserves estimates reported in compliance with 2012 JORC Code). For more information, please visit www.blackgold-group.com.
Contact: BlackGold Group T: +65 6884 4418 E: info@blackgold-group.com
This press release has been prepared by the Company and its contents have been reviewed by the Company's Sponsor, SAC Capital Private Limited (the "Sponsor"), for compliance with the relevant rules of the Singapore Exchange Securities Trading Limited (the "SGX-ST"). The Sponsor has not independently verified the contents of this announcement.
This announcement has not been examined or approved by the SGX-ST and the SGX-ST assumes no responsibility for the contents of this announcement including the correctness of any of the statements or opinions made or reports contained in this announcement.
The contact person for the Sponsor is Mr. Sebastian Jones (Telephone number: +65 6532 3829), at 1 Robinson Road, #21-02 AIA Tower, Singapore 048542.
Source: BlackGold Natural Resources Ltd Sectors: Metals & Mining, Daily Finance, Energy, Alternatives, Daily News
Copyright ©2024 ACN Newswire. All rights reserved. A division of Asia Corporate News Network.
|
Latest Release
Mitsubishi Power Begins Commercial Operation of Seventh M701JAC Gas Turbine in Thailand GTCC Project; Achieves 75,000 AOH To-Date Apr 24, 2024 17:19 JST
| MC and Denka Sign J/V Agreement in Fullerene Business Apr 24, 2024 17:02 JST
| Mitsubishi Motors Posts Record Sales in the Philippines in FY2023 Apr 24, 2024 13:56 JST
| NEC Develops High-speed Generative AI Large Language Models (LLM) with World-class Performance Apr 24, 2024 13:25 JST
| Fujitsu SX Survey reveals key success factors for sustainability Apr 23, 2024 10:25 JST
| Fujitsu and METRON collaborate to drive ESG success: slashing energy costs, boosting productivity with new manufacturing industry solutions Apr 22, 2024 16:09 JST
| NEC Strengthens Commitment to Space Industry with Investment in Seraphim Space Venture Fund II Apr 22, 2024 15:09 JST
| Soft Space Launches the First and Only JCB Payment Gateway in Malaysia Apr 22, 2024 15:00 JST
| TOYOTA GAZOO Racing takes a one-two in Croatian thriller Apr 22, 2024 10:47 JST
| First-ever Mazda CX-80 Crossover SUV Unveiled in Europe Apr 19, 2024 13:50 JST
| Fujitsu develops technology to convert corporate digital identity credentials, enabling participation of non-European companies in European data spaces Apr 19, 2024 10:17 JST
| Mitsubishi Heavy Industries and NGK to Jointly Develop Hydrogen Purification System from Ammonia Cracking Gas Apr 18, 2024 17:01 JST
| Toyota Launches All-New Land Cruiser "250" Series in Japan Apr 18, 2024 13:39 JST
| Fujitsu and Oracle collaborate to deliver sovereign cloud and AI capabilities in Japan Apr 18, 2024 11:14 JST
| Eisai: Research on Treatments for Alzheimer's Disease Based on Its Pathological Mechanisms Recieves Award for Science and Technology (Research Category) Apr 18, 2024 10:53 JST
| All-New Triton Confirmed as First Double-Cab Pickup Truck to Achieve 2024 Five-Star ANCAP Safety Rating Apr 18, 2024 09:22 JST
| Eisai's Antiepileptic Drug Fycompa Injection Formulation Launched In Japan Apr 17, 2024 16:17 JST
| Honda Unveils Next-generation EV Series for China Apr 17, 2024 12:15 JST
| Lexus presents Time at the 2024 Milan Design Week Apr 16, 2024 18:49 JST
| Mitsubishi Corporation Announces Participation in a DAC Project in Louisiana, USA Apr 16, 2024 14:36 JST
|
More Latest Release >>
|