Business
Project Update/EGM
Project Update/EGM.
About this update from Gcm Resources Plc
[{"type":"text","content":"\n Asia Energy PLC\n30 June 2006\n\n PRESS RELEASE 30/6/2006\n ASIA ENERGY PLC\n\n (Incorporated in England and Wales under the Companies Act 1985 (as amended)\n with registered number 4913119)\n\n\n Project Update and Convening of Extraordinary General Meeting\n\n\n\nProject update\n\n\n\nAsia Energy Plc ('The Company') has established a world-ranking resource of 572\nmillion tonnes of thermal and semi-soft coking coal having obtained\nenvironmental clearance to mine the coal by the most economically practical\nmethod of open pit 'shovel and truck', and the Company has also submitted its\nScheme of Development and Feasibility Study for the mine to the Government of\nBangladesh. Plans are in place for the mine and its operations, for land\nacquisition, resettlement and water management and for transporting the coal to\nlocal and export markets. In accordance with the contract with the Government of\nBangladesh, the Company is now waiting for formal approval to start mining and\nis confident that this will be forthcoming.\n\n\n\nTwo independent consultants, SRK Consulting and URS Australia Pty Ltd, have\nreviewed the key aspects of the Project, being mining, environmental, social,\nlogistics, transport and marketing and their reports will form part of a Project\nInformation Memorandum which the Company will distribute to the international\nbanking community shortly.\n\n\n\nThe Company's plans remain on track to invest US$ 1.1 billion (before finance\ncosts) to reach full production of 15 million saleable tonnes of coal per annum\nand to operate the mine for 30-plus years.\n\n\n\nExtraordinary General Meeting\n\n\n\n\n\nThe Company is today announcing the convening of an Extraordinary General\nMeeting to propose Resolutions to enable the Board to allot shares and to do so\nfor cash on a non pre-emptive basis.\n\n\n\nThe Board remains of the view that the Project will be funded by a mix of debt\nand equity and, with this in mind and in anticipation of the approval of the\nScheme of Development and Feasibility Study for the Company's Phulbari Coal\nProject by the Government of Bangladesh, the Board and its advisers have been\nreviewing the possibilities for funding the Project. The purpose of the\nResolutions is to enable the Board to have maximum flexibility and to be able to\nconclude a quick way forward to fund the development of...